Fragmentation the Defining Trend in Canada’s Carbon Policy

The International Institute for Sustainable Development has published a policy brief which analyses Canada’s carbon policy developments in 2012 and identifies key trends to watch for in 2013. The authors note that “accommodating the historical patchwork of provincial policy is pushing the country down a path of further fragmentation, increasing the risk of high-cost compliance and decreasing the likelihood of meeting Canada’s aspirational GHG targets.” And further, “In 2012 the federal government set an important precedent …. The Canada-Nova Scotia Equivalency Agreement has therefore established a pattern of federal policy deferral that is expected to become entrenched in 2013. The splitting of policy responsibility, with architecture provincially tailored but GHG performance standards nationally set, will underscore policy development in 2013.” Among the recommendations for 2013: “Mechanisms for coordination of policy, whether through linkage, equivalency agreements or even common LCDR markets, should be nurtured and supported. Quebec’s experiment with linking permit trade bi-laterally with California is an important precedent to watch”.

Canadian Carbon Policy Year in Review and Emerging Trends, 2012 is available at:
http://www.iisd.org/pdf/2012/regulating_carbon_canadian_policy.pdf

 

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