Offsets Credits Regulatory Proposal
Bill or Act:
Summary of Decision:
A decision has been made to continue engaging on a program that enables the creation of offset credits for use in Ontario's cap and trade program. A new proposal has been posted with a proposed Ontario Offset Credits regulation and incorporated protocol, for a 45 day public review and comment period (EBR 013-1460). The proposed regulation will define the overall process, criteria and administrative requirements involved in the creation of an offset credit that can be used to meet a compliance obligation in Ontario's cap and trade program, while the incorporated protocols will outline the rules specific to each initiative type or class. A revised draft of the Landfill Gas protocol is proposed as the first incorporated protocol.
November 18, 2016
Summary of Proposal:
To help mitigate climate change - one of the most urgent issues of our time - Ontario is implementing a greenhouse gas cap and trade program. A cap and trade program effectively reduces the amount of greenhouse gas pollution going into our atmosphere by setting a limit on emissions, rewarding innovative companies, providing certainty for industries, and creating more opportunities for investment.
Offset credits will increase the compliance options for facilities covered by the cap and trade program while extending the environmental benefits of greenhouse gas mitigation beyond the capped sectors. An amendment to the Cap and Trade Program Regulation (O.Reg. 144/16) to include offsets provisions will be developed to allow for high quality offset credits with integrity, transparency and financial value within Ontario's cap and trade program.
On November 16, 2015 the Ministry of the Environment and Climate Change posted a policy paper to the Environmental Registry (012-5666) for 30 days to gather comments on the design options under consideration for Ontario's greenhouse gas cap and trade program. In addition, since May 2015, Ontario has met with over 700 stakeholders on cap and trade, including industries, associations, environmental organizations, and labour groups. Offsets have been an integral part of those discussions.
The Ministry is now posting a regulatory proposal that provides an overview of the criteria, process and administrative requirements for the registration of offset initiatives and the creation and issuance of offset credits that can be used to meet a compliance obligation.
October 4, 2017