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Stephanie Cairns, Member, Alberta Climate Leadership Panel

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Alberta's New Climate Policy and Opportunities / Challenges for Harmonization

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Stephanie Cairns, Member, Alberta Climate Leadership Panel

  1. 1. Alberta’s new climate policy and opportunities/challenges for harmonization Stephanie Cairns June 22, 2016 North American Climate Policy Forum
  2. 2. Credit: Amber Bracken/ The Canadian Press Premier Notley Launches Alberta Climate Plan with leaders from industry,  environmental, and health sectors.  November 2015
  3. 3. 2007 Specified Gas Emitters  Regulation for Large Final Emitters Output based  intensity standard 12% reduction in GHG  intensity compared to  historic baseline Compliance options:  $15/t payment into an  Alberta technology fund/  Alberta offsets/ Alberta  credits  15% 2016 20% 2017 $20/t 2016 $30/t 2017
  4. 4. Make climate change enough that even Trump would act  ‐  50  100  150  200  250  300  350 1985 1990 1995 2000 2005 2010 2015 2020 2025 2030 2035 Emissions (Mt CO2e) Alberta Historic and Forecast Emissions Historic 2014 Trends Draft 2015 Trends 2014 Emissions Trends  uses 2013 NEB reference  production forecast 2015 Emissions Trends  uses draft 2015 NEB  reference production  forecast  Oilsands 2030
  5. 5. •A “carbon competitive” energy  industry in a global context •Cleaner and less carbon intensive  electricity generation  •More efficient use of energy  across the economy, in buildings,  homes and transportation Alberta Climate Leadership Plan: Three main thrusts 
  6. 6. Incentives can steer the market Oil Sands  22% Other Oil and  Gas  23% Electricity  17% Other Industry,  Manufacturing,  & Construction  9% Agriculture,  Forestry, &  Waste  9% Transportation 11% Buildings and  Houses 9% Alberta 2013 emissions:  267 MT (37% National  Emissions) Economy ‐wide  coverage Carbon levy  extended to  transportation and  fuels $20/t 2016 $30/t 2017
  7. 7. Incentives can steer the market Oil Sands  22% Other Oil and  Gas  23% Electricity  17% Other Industry,  Manufacturing,  & Construction  9% Agriculture,  Forestry, &  Waste  9% Transportation 11% Buildings and  Houses 9% Alberta 2013 emissions:  267 MT (37% National  Emissions) LFE shift to  output  based  performance  standards Jan.2018 SGER coverts  to Carbon  Competitiveness  Regulation:  Sector‐specific output  based performance  standards, based on  best quartile of  performance in sector. Compliance options  unchanged
  8. 8. Source: Canada’s Eco‐ Fiscal Commission
  9. 9. Incentives can steer the market Oil Sands  22% Other Oil and  Gas  23% Electricity  17% Other Industry,  Manufacturing,  & Construction  9% Agriculture,  Forestry, &  Waste  9% Transportation 11% Buildings and  Houses 9% Alberta 2013 emissions:  267 MT (37% National  Emissions) 2030 Coal  phase‐out Negotiated shut  down of ~6 plants  on top of 12 plants  already affected by  federal coal regs &  provincial air regs 2/3 of retired coal  will be replaced with  renewable power,  through a clean  power call Final generation mix  2/3 natural gas,     1/3 renewables
  10. 10. Incentives can steer the market Oil Sands  22% Other Oil and  Gas  23% Electricity  17% Other Industry,  Manufacturing,  & Construction  9% Agriculture,  Forestry, &  Waste  9% Transportation 11% Buildings and  Houses 9% Alberta 2013 emissions:  267 MT (37% National  Emissions) 100 MT  cap on oil  sands 30 MT  headroom  above current  emissions Implementation still  TBD
  11. 11. Incentives can steer the market Oil Sands  22% Other Oil and  Gas  23% Electricity  17% Other Industry,  Manufacturing,  & Construction  9% Agriculture,  Forestry, &  Waste  9% Transportation 11% Buildings and  Houses 9% Alberta 2013 emissions:  267 MT (37% National  Emissions) 45%  reduction  in CH4 emissions  by 2025 14 MT, cost <$30/t Eligible for offsets to  2020; Regulations take  effect post 2020
  12. 12. Incentives can steer the market Oil Sands  22% Other Oil and  Gas  23% Electricity  17% Other Industry,  Manufacturing,  & Construction  9% Agriculture,  Forestry, &  Waste  9% Transportation 11% Buildings and  Houses 9% Alberta 2013 emissions:  267 MT (37% National  Emissions) Energy  Efficiency  Agency First concerted  energy efficiency  programming in  province  Stand alone utility  model dictated by  structure of Alberta  electricity market
  13. 13. Renewables,  bioenergy,  technology ,  35% Green  infrastructure  (transit), 23%Energy  efficiency, 7% ates low  middle  come  seholds,  24% 1% cut small  business tax  rate , 9% support for  vulnerable  communities,  2% Use of  Carbon  Levy  revenue:  $9.6 B/ 5 years
  14. 14. Stephanie Cairns Director, Sustainable Communities Sustainable Prosperity scairns@sustainableprosperity.ca sustainableprosperity.ca

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