Nova Scotia introduces Cap-and-Trade legislation

A press release on September 29  announced that the Nova Scotia government has introduced amendments to the Environment Act, enabling regulations to set caps on GHG emissions, distribute and enable trading of emission allowances within the province, and set a province-wide greenhouse gas emission target for 2030.  The province will create a Green Fund to support climate change initiatives and innovations, and  money from emissions sales and fines will be deposited there.  Next steps include “developing greenhouse gas reporting regulations this fall and consulting with stakeholders on them”.

The amending legislation, Bill 15, received first Reading in the Legislature on September 29 as a means to satisfy the requirement of the Pan-Canadian Framework on Clean Growth and Climate Change.   However, reaction from the Ecology Action Centre in Halifax urges the federal government to reject the plan, stating that “A carbon pricing system that doesn’t actually put a price on carbon, support low-income people, or incentivize clean growth truly misses the point.” The EAC also warns of the risks of extreme volatility since the plan is structured to create a carbon market within Nova Scotia alone – covering a population of under a million people and about 20 businesses. In  “Time for Ottawa to cry foul over Nova Scotia cap-and-trade proposal” published in the Hill Times and reposted at Pembina (Nov. 2) , the verdict is similarly negative: “Nova Scotia’s cap-and-trade system could cause the province to lose its foothold on climate leadership. In order to secure a clean, prosperous economy into the future, the provincial government should consider other approaches.”

The Ecology Action website has compiled documents and submissions from the provincial consultations leading up to the September announcement. The Canadian Centre for Policy Alternatives Nova Scotia Office published a Backgrounder in May 2017 which outlines its proposals for a stronger cap-and-trade policy.

Still advocating for Environmental Rights as Human Rights. Evidence from Alberta, and innovative proposals for Nova Scotia

The Pembina Institute recently compiled three case studies related to energy development in Alberta, in an effort to document the adverse effects on individuals, communities and regions that result from weak environmental laws or regulatory enforcement.  The Environmental Law Centre in  Alberta also  published a series of reports in late 2016, including a module, Substantive Environmental Rights , which discusses environmental rights as a human right. Since 2014, the Blue Dot campaign, led by the David Suzuki Foundation and Ecojustice ,  has been advocating for environmental rights to be enshrined in the Canadian Charter of Human Rights and Freedoms.

Now, from the Pembina Institute comes The Right to a Healthy Environment: Documenting the need for environmental rights in Canada.  It consists of:  Case Study #1:  Individual impacts of intensive hydraulic fracturing activity in rural Alberta   ;  #2 Community impacts of air pollution in urban central Alberta (related to coal-fired electricity plants), and #3 Regional impacts of oilsands development in northern Alberta   (which examines the rights of First Nations).

In Nova Scotia, the Nova Scotia Environmental Rights Working Group of the East Coast Environmental Law Association  released their proposed and innovative  Nova Scotia Environmental Bill of Rights  on April 21 2017.  The bill states that the people “have a right to a healthy and ecologically balanced environment”, and that the “primary responsibility” to protect and conserve that environment falls to the province.  It also states that “there is a history of environmental racism in Nova Scotia that has disproportionately and negatively affected historically marginalized, vulnerable, and economically disadvantaged individuals, groups or communities, particularly Indigenous People and African Nova Scotians”.  The bill is based on the Precautionary Principle, the Polluter Pays Principle, the Non-Regression Principle, the Intergenerational Equity Principle, and the Principle of Environmental Justice and Equity.  Nova Scotians go to the polls in a general election on May 30; a guide to the policy positions of the Liberal, Conservative and NDP parties is here at the CBC website.  According to the Ecology Action Centre in Halifax, the provincial NDP party has pledged to support an Environmental Bill of Rights .

 

 

 

 

Cap-and-Trade proposals for Nova Scotia – and beyond?

A discussion paper released in early March by the government of Nova Scotia proposes the structure of a cap-and-trade system for the province, as required by the Pan-Canadian Framework on Clean Growth and Climate Change .  Nova Scotia is a reluctant participant in the national carbon pricing regime of the Framework, having walked out of one of the federal-provincial meetings on the topic in October 2016.

The Discussion paper, Nova Scotia Cap and Trade Program Design Options , proposes a plan which covers only those sectors required by the Framework, and grants free allocations to them, including Nova Scotia Power and the suppliers of fossil fuel. Sectors not included represent about 10% of emissions, and would be allowed to sell offsets into the system.  Fugitive emissions will not be included.  As stated in the Discussion paper, the system will not align itself with any other provinces. Yet, days after the release, and in apparent contradiction to the Discussion paper, the CBC reported that the Premier is still in discussion with the provinces of New Brunswick and Prince Edward Island about a regional system : see “Welcome to join: Atlantic cap and trade system explored” .

An excellent summary of the features and failings of the plan appears in a post from the  Environmental Law blog from Dalhousie University.  It states that the proposed plan    seems designed to meet the minimum GHG emission reductions obligations under the Pan-Canadian Framework, while also minimizing any impact on Nova Scotia’s economy. “We are clearly far from getting our C&T system right. To do so, would take time, careful analysis and a public dialogue on priorities and values rather than starting assumptions that all we care about is trying to preserve the status quo for as long as we can.” Unfortunately, the deadline for public submissions was March 31, less than a month after the release.

Political Manipulation Could Derail Nova Scotia’s Cap and Trade System”  in the Halifax Examiner is also highly critical. Author Brendan Haley decries the lack of time and opportunity for public input, and states that political expediency seems to be motivating the design of the carbon pricing system .  The Ecology Action Centre also has concerns over the proposed system   – their position paper is here .

 

 

 

 

Canadian government announces a phase-out of “traditional” coal-fired electricity by 2030

On November 21, the federal Environment Minister announced  that the four remaining provinces with coal-fired electricity  (Alberta, Saskatchewan, New Brunswick, and Nova Scotia) must  speed up the their emissions reduction targets. All traditional coal-fired units (i.e. those without carbon capture and storage)  will be required to meet a performance standard of 420 tonnes of carbon dioxide per gigawatt hour by no later than 2030, and performance standards must be developed  for new units to ensure they are built using efficient technology.  Details are set out in a Backgrounder  .  To allow for flexibility, Equivalency Agreements can be negotiated under the Canadian Environmental Protection Act , and both Nova Scotia and Saskatchewan are pursuing such agreements.  Nova Scotia, which announced  on November 21 that  it would  implement a cap and trade system which would  meet or exceed the federal emissions reduction target , will be allowed to continue to use coal in high-demand winter months even after 2030, (with no  specific date set yet for full compliance) .  Saskatchewan, which relies heavily on carbon capture and sequestration technology to meet its recent emissions reduction plan, is “displeased”  about the coal phase-out plan, according to a CBC report .  Alberta has already announced its own plans   for a coal phase-out by 2030, promising  support for workers and communities.  See the “Liberals present plan to phase out coal-powered electricity by 2030” CBC (Nov. 21) for a good overview.

 What does this mean for coal workers?  Currently, coal-fired power  generated at 35 plants represents over 70% of emissions in Canada’s electricity sector, but provides  only 11% of our  electricity.  The coal industry employs approximately 42,000 direct and indirect workers.   In “Canada’s rejection of coal will clear the air but impact workers and power bills” , the CBC (Nov. 22) examines the likely higher  electricity bills in store for consumers, and  the likely job losses.  The CBC article quotes Warren Mabee, a researcher with the Adapting Canadian Work and Workplaces to Climate Change project and the associate director of the Queen’s Institute for Energy and Environmental Policy: he states that many workers in coal mines will be laid off  “while others will shift to extracting metallurgical coal, which is used in the steel-making process.”  It is important to note that the government press release explicitly promises:“ The Government of Canada will work with provinces and labour organizations to ensure workers affected by the accelerated phase-out of traditional coal power are involved in a successful transition to the low-carbon economy of the future.”

Much of the government’s motivation for its initiative comes down to the health benefits of removing pollutants of coal-fired electricity – carbon dioxide, sulphur dioxide, nitrous oxide, mercury and other heavy metals .  The Pembina Institute, along with the Canadian Association of Physicians for the Environment, Canadian Public Health Association   and others, released   Out with the coal, In with the new: National benefits of an accelerated phase-out of coal-fired power  on November 21.  The report estimates that a  national coal phase-out by 2030 would prevent  1,008 premature deaths, 871 ER visits, and health outcomes valued at nearly $5 billion (including health and lower productivity costs) between 2015 and 2035.  The Pembina Institute reacted to the government announcement, calling it “timely” and “necessary .  Clean Energy Canada responded with  Quitting coal will drive clean growth and cut pollution.   BlueGreen Canada, which includes the United Steelworkers union, recently published the  Job Growth in Clean Energy report, which recognizes the world-wide decline of the coal industry, and states that, “if properly supported now, Alberta’s renewable energy sector will create enough jobs to absorb the coal labour force”.

Nova Scotia holds off on a Carbon Tax

In advance of the Nova Scotia Budget  on April 19, the  Nova Scotia Federation of Labour, CCPA-Nova Scotia, and clean energy groups issued an  Open Letter    calling for made-in-Nova Scotia carbon pricing, stating “The Nova Scotia government should immediately create a multi-sectoral working group on this issue, including environmental, anti-poverty and fair economy groups.”  Their concerns were not addressed in the Budget, as government policy focused mainly on  protecting the small budget surplus reported.  For a summary, see the CBC report here   .