Pan-Canadian Price On Carbon

On October 3, Prime Minister Trudeau pre-empted climate negotiations with Canada's premiers by announcing the federal government's plan to impose a pan-Canadian price on carbon. The plan requires all Canadian jurisdictions to have a system for carbon pricing in place by 2018, with a view to ensuring Canada meets its objective to reduce carbon emissions to 30% below 2005 levels by 2030.

Although provinces and territories will have the flexibility to decide how they will implement carbon pricing, the federal government will set a floor price for carbon emissions. For 2018, the price will be set at $10 per tonne of greenhouse gases emitted. That price will rise by $10 each year until 2022, when the federally set minimum price will be $50 per tonne.