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ARTICLE · 22 JUNE 2022

Canada's Greenhouse Gas Offset Credit System Creates Green Incentives For Regulated Facilities (Update)

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This is an update to our previous bulletin dated March 7, 2021 regarding the federal government's proposed Greenhouse Gas Offset Credit System Regulations.

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This is an update to our previous bulletin dated March 7, 2021 regarding the federal government's proposed Greenhouse Gas Offset Credit System Regulations (the "Regulations").

On June 8, 2022, Canada published the final Regulations 1 under sections 192 and 195 of the Greenhouse Gas Pollution Pricing Act ("GGPPA") 2 and section 5 of the Environmental Violations Administrative Monetary Penalties Act3 These Regulations are now in force.

The Regulations establish an offset credit system for projects started after January 1, 2017 that reduce greenhouse gases ("GHGs") either by preventing GHGs from being emitted or by removing GHGs from the atmosphere and to which a federal protocol applies.

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The foregoing provides only an overview and does not constitute legal advice. Readers are cautioned against making any decisions based on this material alone. Rather, specific legal advice should be obtained.

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