Details Of The Alberta Carbon Levy Announced

The implementation of the Climate Leadership Plan by Budget 2016 includes preliminary details of a Carbon Levy that will become effective on January 1, 2017.

The Alberta Budget 2016 announced the implementation of Alberta's Climate Leadership Plan:

• Phasing out coal-fired electricity generation;
• Developing renewable energy;
• Legislating a limit on oil sands emissions; and
• Targeting a 45% reduction in methane gas emissions from the oil and gas sector.

The implementation of the Climate Leadership Plan by Budget 2016 includes preliminary details of a Carbon Levy that will become effective on January 1, 2017. The Carbon Levy will initially feature a $20/tonne price on carbon emissions, rising to $30/tonne effective January 1, 2018. The Carbon Levy is expected to raise $2.4-billion annually when fully implemented. Revenues should slowly fall in subsequent years as Albertans should be incented to emit less carbon.