Articles tagged with "carbon-pricing"
A Pipeline That Won't Be Built and the Real Trade Beneath the Canadian Climate Deal - CleanTechnica
The article analyzes the Canadian Smith Carney memorandum of understanding (MOU) concerning climate policy and a new crude oil pipeline, challenging the initial perception that the federal government is retreating on climate commitments in exchange for pipeline support. Instead, it argues the deal represents a political compromise where symbolic backing for a pipeline—unlikely to be constructed given market realities and financing challenges—is traded for concrete improvements in industrial carbon pricing and methane emissions control. The pipeline primarily exists in political rhetoric rather than in capital markets or regulatory feasibility, making the climate setbacks smaller than they appear, while the environmental gains may be more significant than commonly recognized. The piece contextualizes the current deal by revisiting the earlier agreement between Alberta Premier Rachel Notley and Prime Minister Justin Trudeau, which balanced Alberta’s introduction of a carbon price and emissions caps with federal support for the Trans Mountain Expansion pipeline. While that deal initially made sense as it brought Alberta into a national climate framework, the federal government’s later decision to purchase and develop the pipeline transformed it
energyclimate-policycarbon-pricingmethane-controloil-pipelineTrans-Mountain-ExpansionCanadian-energy-infrastructureOttawa-Alberta "grand bargain” could trade away Canada’s climate framework if firm negotiations don’t follow - Clean Energy Canada
The recent memorandum of understanding (MOU) between the federal government and Alberta on energy policy presents both opportunities and risks for Canada’s climate framework, according to Rachel Doran, executive director at Clean Energy Canada. While the deal includes promising commitments such as Alberta’s pledge to increase its industrial carbon price to $130 per tonne—higher than the federal backstop price scheduled for next year—there is concern that without firm federal negotiations, key federal climate regulations like the Clean Electricity Regulations, oil and gas emissions caps, and methane regulations could be weakened. Doran warns that granting exemptions to one province risks undermining the durability of national regulations, as other provinces may seek similar carveouts. The agreement also highlights potential benefits in electricity infrastructure, including transmission interties between British Columbia and Saskatchewan and commitments to add thousands of megawatts of clean power. This could enhance Canada’s energy security, lower household energy costs, and build on existing renewable strengths such as hydro, solar, wind, and battery storage. However
energyclean-energycarbon-pricingclimate-policyelectricity-regulationsindustrial-emissionsenergy-infrastructureWhat If Private Air Travel Meant The Wealthiest Had To Pay A Climate Tax? - CleanTechnica
The article from CleanTechnica discusses a growing international proposal to impose a climate tax on private jet travel, particularly targeting first- and business-class seats. Known as the Premium Flyers Solidarity Coalition Declaration, this initiative aims to make the wealthiest air travelers pay a fair share for the disproportionately high carbon emissions generated by private jets, which contribute significantly to global warming despite aviation accounting for about 2.5% of global CO₂ emissions. The tax would address the aviation sector’s historically favorable tax treatment and help fund climate finance, potentially raising up to $200 billion annually by 2035. The International Monetary Fund (IMF) supports carbon pricing as a means to incentivize technological innovation and efficiency improvements in aviation, accelerating the sector’s transition to net zero emissions. Several countries have expressed support for the Declaration, including industrialized nations like Spain and France, as well as less industrialized countries such as Benin, Kenya, and Nigeria, which stand to benefit from climate finance due to their lower emissions
energyclimate-taxcarbon-pricingaviation-emissionsprivate-jetsenvironmental-policysustainable-travelAmbitious Car CO2 Standards More Important Than Ever After Lawmakers Vote To Weaken 2040 Target - CleanTechnica
EU lawmakers have voted to weaken the 2040 climate emissions reduction target from 90% to 85%, signaling continued commitment to climate action but with less ambition. Alongside this, the implementation of the EU’s carbon pricing mechanism on road and heating fossil fuels (ETS2) has been delayed by one year. While this delay is seen as a setback by environmental groups like Transport & Environment (T&E), it is considered preferable to a proposed three-year postponement that would have significantly reduced government revenues and increased ETS prices. T&E emphasizes that despite these setbacks, member states must use ETS2 revenues proactively to support low- and middle-income households and invest in green technologies. The weakening of the 2040 target and the ETS2 delay underscore the heightened importance of maintaining ambitious car CO2 standards, which provide a clearer and more immediate signal to businesses and consumers about Europe’s green transition. T&E warns that diluting these foundational elements of the EU Green Deal risks prolonging dependence on volatile fossil fuel
energycarbon-emissionsEU-Green-Dealclimate-policyrenewable-energycarbon-pricinggreen-technologiesBudget 2025 has the right signals on the importance of the clean economy but fails to connect its benefits to everyday Canadians - Clean Energy Canada
Clean Energy Canada’s executive director Rachel Doran responded to Canada’s Budget 2025 by acknowledging its positive signals toward supporting the clean economy and low-carbon industries as key drivers of the country’s economic future and international competitiveness. The budget emphasizes regulatory certainty, private capital mobilization, and incentives for clean technologies, including strengthened industrial carbon pricing and maintained Clean Electricity Regulations. Notably, the introduction of the Critical Minerals Sovereign Fund aims to secure supply chains vital for clean technologies and energy security, positioning Canada strategically in global trade. However, Doran criticizes the budget for failing to directly connect the clean economy’s benefits to everyday Canadians. She highlights the termination of programs like the Greener Homes Grant and Loan, uncertainty around the EV Availability Standard, and the lack of renewed federal EV rebates, which could reduce affordability for households facing fossil fuel price volatility. She calls for improved market conditions through competition and tariff adjustments to enhance EV accessibility. Additionally, the budget lacks ambitious nation-building efforts to expand clean electricity infrastructure,
energyclean-energyclean-economycarbon-pricingcritical-mineralsclean-technologyrenewable-energyETS2 Reform Will Limit Price Spikes and Make Redistribution Easier, Says T&E - CleanTechnica
The European Commission has confirmed measures to stabilize prices under the upcoming ETS2 carbon pricing scheme, which targets road and heating fuels. To prevent price spikes, a price cap mechanism will allow additional emission allowances to be released if the carbon price exceeds €45 per ton of CO₂. This approach aims to provide price certainty for households and businesses while keeping prices aligned with current carbon prices in countries like Germany and France. Additionally, a frontloading mechanism will enable member states to auction emission allowances as early as 2026, generating revenues ahead of the ETS2’s 2027 launch. Transport & Environment (T&E) welcomes these reforms, emphasizing that the early revenue generation can help governments fund support measures for low and middle-income families. Such measures include making greener alternatives like public transport and electric vehicle leasing more affordable, facilitating a just transition away from fossil fuels. T&E urges governments to act decisively to implement redistribution policies and complementary actions to assist vulnerable households and small businesses as the carbon price takes effect. The
energycarbon-pricingEU-ETS2clean-transportrenewable-energyclimate-policyemissions-trading-systemFrom Steward to Saboteur: America’s Role in the Failure to Govern the Maritime Commons - CleanTechnica
The article discusses the recent failure of the International Maritime Organization (IMO) to adopt a global carbon-pricing mechanism for the shipping industry, highlighting it as a contemporary example of Garrett Hardin’s “tragedy of the commons.” The ocean, serving as a shared resource and waste sink, suffers from overuse as nations prioritize short-term economic benefits from cheap fossil-fuel-driven trade while deferring the long-term environmental costs globally. The proposed carbon levy, part of the IMO’s Net-Zero Framework, aimed to price emissions and fund cleaner fuel infrastructure, but collapsed primarily due to heavy lobbying by the United States, which warned smaller countries of trade and diplomatic repercussions. Saudi Arabia and some allies supported the U.S. stance, framing the levy as a threat to competitiveness, resulting in a one-year postponement and a missed opportunity to align maritime shipping with global climate goals. The article further explores differing ideological interpretations of Hardin’s tragedy of the commons. Classical economists see the failure as a pricing problem solv
energymaritime-industrycarbon-pricingclimate-policyInternational-Maritime-Organizationfossil-fuelsenvironmental-regulationUS-Led Pressure On Shipping Deal An Attack On EU Sovereignty, Says T&E - CleanTechnica
The article from CleanTechnica reports that the US, UAE, Saudi Arabia, and other oil-producing countries are pressuring the European Union to abandon its stringent green shipping regulations in favor of a weaker global agreement under negotiation at the International Maritime Organization (IMO), known as the Net Zero Framework (NZF). This framework would impose only modest carbon pricing on shipping emissions and is criticized for being significantly less ambitious than the EU’s existing measures, such as the Emissions Trading System (ETS) and the FuelEU Maritime law, which mandate carbon pricing and green fuel use. The pressure includes demands for the EU to drop its own carbon pricing and green fuel mandates, which would undermine years of progress in Europe’s decarbonization and energy transition efforts. Transport & Environment (T&E), an environmental advocacy group, warns that accepting the US-led deal would compromise EU sovereignty and climate leadership by handing control over to foreign oil interests. The NZF would exempt about 85% of Europe’s shipping emissions from carbon
energydecarbonizationshipping-emissionscarbon-pricinggreen-fuelsEU-energy-policyclimate-actionCarbon Leakage in the Aviation Sector: Is it a problem, and if so, what can be done to address it? - CleanTechnica
The article from CleanTechnica examines the issue of carbon leakage in the aviation sector, particularly in relation to the European Union’s climate policies such as the EU Emissions Trading System (ETS) and the Fit for 55 package. Carbon leakage occurs when emissions shift outside regulated areas to avoid compliance costs, for example, passengers choosing connecting flights through non-EU hubs like Istanbul, Doha, or Dubai to bypass EU climate charges. However, recent analyses commissioned by Transport & Environment (T&E) and conducted by CE Delft and Lexavia Aviation Consultants reveal that the risk of carbon leakage in aviation is minimal. At most, only about 3% of the expected 38.4 million tons of CO2 emissions savings by 2035 could be lost due to leakage, indicating that EU climate measures remain largely effective. The risk is mainly concentrated on a few long-haul routes, and expanding the EU ETS to all departing flights would only marginally increase ticket prices by 2-6%, with non-E
energycarbon-leakageaviation-emissionsEU-Emissions-Trading-Systemsustainable-aviation-fuelclimate-policycarbon-pricingShipping's Climate Reckoning: The IMO’s $36 Billion Pivot - CleanTechnica
The article discusses the International Maritime Organization’s (IMO) recent decision to implement carbon pricing on shipping fuels, marking a significant $36 billion shift toward decarbonizing the shipping industry. Tristan Smith, director of UMAS and a professor at University College London, provides expert insight into the complex and uncertain landscape of maritime decarbonization. He highlights the industry's struggle to identify a clear dominant alternative fuel, noting that once-promising options like LNG, methanol, and hydrogen have lost favor due to cost and feasibility concerns. The nuclear option has also resurfaced, but consensus on the best path forward remains elusive. Smith emphasizes that the future fuel pathway will largely depend on current choices made by the shipping sector, as the types of ships built will influence fuel production infrastructure development. This creates a feedback loop where fleet decisions and fuel availability shape each other. Many industry players are hesitant to commit to a specific fuel type without clearer evidence of supply infrastructure, leading some to hope biodiesel might fill the gap despite
energymaritime-decarbonizationshipping-industrycarbon-pricingclean-fuelshydrogen-fuelsynthetic-fuelsIMO’s Crucial Moment: How Shipping Finally Started Tackling Climate Change - CleanTechnica
The article centers on a conversation with Tristan Smith, a maritime decarbonization expert and director of UMAS, discussing recent progress by the International Maritime Organization (IMO) in addressing climate change through shipping. Smith’s background in defense engineering shifted toward maritime decarbonization about 15 years ago, leading him to work extensively on policy, technology, and corporate behavior related to reducing shipping emissions. His leadership in the 2014 IMO greenhouse gas study helped establish credibility and influence within the IMO, enabling him to advise member states on climate policy for shipping. Smith explains the distinction between domestic and international shipping emissions, noting that domestic emissions fall under individual countries’ jurisdiction and are included in their nationally determined contributions (NDCs) under the UNFCCC. In contrast, international shipping emissions—occurring on the high seas—are regulated by the IMO. These emissions are significant, estimated at about one gigaton of CO₂ equivalent annually, with operational CO₂ alone around 700 million tons. The
energymaritime-decarbonizationclimate-changeshipping-fuelsInternational-Maritime-Organizationcarbon-pricingsustainable-shippingWhy Clean Equals Competitive When Building Canada’s Trade Alliances Beyond the US - Clean Energy Canada
The article from Clean Energy Canada highlights the urgent need for Canada to diversify its trade alliances beyond the United States in response to deteriorating trust and unpredictable trade policies under the Trump administration. Canada is well-positioned to pivot towards global markets, as it holds trade agreements covering 60% of the global economy. Importantly, Canada’s top non-US trade partners have committed to net-zero emissions, implemented carbon pricing, and are adopting carbon border adjustments and electric vehicle (EV) requirements. These policies signal a global shift away from fossil fuels toward clean energy, creating growing demand for low-carbon products and technologies. Canada’s competitive advantage lies in its abundant clean energy resources, low electricity costs, and rich deposits of critical minerals essential for clean technology, such as cobalt, lithium, nickel, and copper. The country’s renewable energy capacity has expanded significantly and continues to attract substantial investment, with Indigenous partnerships playing a key role. The global market for clean energy technologies is projected to nearly triple by 2035, offering Canada an opportunity to grow its clean economy, support domestic demand, and increase exports. To capitalize on this, the article recommends a coordinated industrial policy focused on industries that align with net-zero goals, trade diversification, and building domestic clean supply chains using Canadian resources and expertise. In summary, Canada’s future economic competitiveness hinges on embracing clean energy and leveraging its natural and technological assets to meet the evolving demands of global trade partners committed to sustainability. This strategic shift will help Canada reduce reliance on the US market, enhance energy security, and position the country as a leader in the global clean economy.
clean-energyrenewable-energycarbon-pricingelectric-vehiclesclean-technologyenergy-policylow-carbon-economyPrime minister’s mandate letter creates clear opportunities for building a cleaner, more affordable Canada - Clean Energy Canada
clean-energyelectric-vehiclessustainable-constructioncarbon-pricingenergy-efficiencyrenewable-resourcesclean-technologyHow to Defuse the EU’s Carbon Tax Time Bomb
energycarbon-pricingclean-energyEU-regulationssustainabilityenvironmental-policyenergy-costsClimate accountability report highlights need to modernize B.C.’s approach to climate action
climate-actionBritish-Columbiaclean-energyclimate-accountabilityzero-emission-vehiclescarbon-pricingenvironmental-policyCanada’s 10 largest non-U.S. trade partners focused on building clean economies, and Canada can deliver: report
Canadatrade-partnersclean-economynet-zero-commitmentscarbon-pricingeconomic-diversificationelectric-vehicles