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ARTICLE · 26 MARCH 2021

Canada's Proposed Emission Offset Credit System Under The Greenhouse Gas Pollution Pricing Act

Earlier this month the Government of Canada published the draft Greenhouse Gas Offset Credit System Regulations (Regulations) under the Greenhouse Gas Pollution Pricing Act (GGPPA).

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Earlier this month the Government of Canada published the draft Greenhouse Gas Offset Credit System Regulations (Regulations) under the Greenhouse Gas Pollution Pricing Act (GGPPA). With the Regulations the government intends to establish a federal emission offset credit system, allowing eligible projects to generate offset credits through voluntary emissions reductions. The government hopes the federal offset credit system will incentivize GHG reduction projects in a number of industries. The Regulations are open for comment until May 5, 2021, with comments directed to [email protected].

Further reading 

In 2018 the Government of Canada enacted the GGPPA, which establishes a federal greenhouse gas (GHG) pollution pricing scheme comprised of two parts: (i) a charge on fossil fuels paid by producers, distributors and other prescribed users of fossil fuels; and (ii) an output-based pricing system (OBPS) for industrial facilities emitting

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