Clean fuel standard

The Government of Canada announced on November 25, 2016 that it would consult with provinces and territories, Indigenous Peoples, industries, and non-governmental organizations to develop a clean fuel standard to reduce Canada’s greenhouse gas emissions (GHG) through the increased use of lower carbon fuels, energy sources and technologies.

The intent is that the clean fuel standard would be a performance-based approach that would incent the use of a broad range of low carbon fuels, energy sources and technologies, such as electricity, hydrogen, and renewable fuels, including renewable natural gas. It would establish lifecycle carbon intensity requirements separately for liquid, gaseous and solid fuels, and would go beyond transportation fuels to include those used in industry and buildings. The approach would not differentiate between crude oil types produced in Canada or imported. The clean fuel standard would complement the pan-Canadian approach to pricing carbon pollution.

The objective of the clean fuel standard is to achieve 30 megatonnes of annual reductions in GHG emissions by 2030, contributing to Canada’s effort to achieve its overall GHG mitigation target of 30% emission reduction below 2005 levels by 2030.

Regulatory framework - December 2017

On December 13, 2017, Environment and Climate Change Canada published a regulatory framework on the clean fuel standard. The framework outlines the key elements of the design of the clean fuel standard regulation, including its scope, regulated parties, carbon intensity approach, timing, and potential compliance options such as credit trading. The clean fuel standard regulatory framework was published December 13, 2017 on Environment and Climate Change Canada's website and in the Canada Gazette, Part 1 on December 23, 2017.

With the publication of the clean fuel standard regulatory framework, officials from Environment and Climate Change Canada will engage industry, other governments, non-governmental organizations and other stakeholders to work through the technical details of the clean fuel standard.  Written comments on the regulatory framework below may be provided by January 19, 2018.   Comments received in writing and as part of the engagement on technical details will inform the design of draft regulations to be published in late 2018.

Next steps

  • Winter 2017 - Consultations on the framework and technical aspects of the regulations with multi-stakeholder consultative and technical working groups
  • Further public engagement to be organized as required (e.g., webinars)
  • Late-2018 - Publication of proposed regulations in Canada Gazette, Part I
  • Mid-2019 - Publication of final regulations in the Canada Gazette, Part II

Consultations

Since January 2017, Environment and Climate Change Canada  has engaged stakeholders, provinces and territories, Indigenous Peoples, industries, and non-governmental organizations to seek views on the design for the development of the clean fuel standard through the following activities:

Release of the Clean fuel standard: Summary of stakeholder written comments on the discussion paper report – November 6, 2017

Environment and Climate Change Canada released a report prepared by the International Institute on Sustainable Development (IISD) which summarizes the comments received in response to the discussion paper. The report can be obtained here: Clean fuel standard: Summary of stakeholder written comments on the Discussion Paper.

Technical webinars - April 2017

A series of five (5) technical webinars were held in April 2017 to seek early input from stakeholders in advance of the development of a proposed clean fuel standard framework.  The report can be obtained by contacting Environment and Climate Change Canada at: ec.cfsncp.ec@canada.ca  

Multi-stakeholder workshop on the clean fuel standard - March 6, 2017 and Webinars on March 23 and 24, 2017

A broad, multi-stakeholder workshop was held on March 6, 2017 in Ottawa, Ontario to hear initial views on the key elements and considerations in the design of the regulatory framework as laid out in the discussion paper on clean fuel standard. Webinars were also held on March 23 and 24, 2017. The report can be obtained by contacting Environment and Climate Change Canada at: ec.cfsncp.ec@canada.ca

Discussion paper on the clean fuel standard - February 24, 2017

A discussion paper on the clean fuel standard was published to  seek early views to help inform the development of a regulatory framework in advance of developing the clean fuel standard. The paper laid out different approaches being used in other jurisdictions to reduce GHG emissions from fuels and posed technical questions related to the potential applicability of various elements of a clean fuel standard, including scope, timing and stringency. The discussion paper can be obtained here: Clean fuel standard: Discussion paper. The comment period closed on April 25, 2017.  Copies of submissions from organizations that consented to make their comments public can be obtained by contacting Environment and Climate Change Canada at: ec.cfsncp.ec@canada.ca

Clean fuel standard roundtable - February 7, 2017

On February 7, 2017, Environment and Climate Change Canada held a roundtable on the clean fuel standard with industry, provinces and territories and non-governmental organizations. Documents from the workshop are available by contacting Environment and Climate Change Canada at: ec.cfsncp.ec@canada.ca

Information webinar on announcement and consultation plan - January 30 and 31, 2017

Environment and Climate Change Canada hosted broad webinar sessions on the Governments November 2016 Clean fuel standard announcement and on the consultation process. 

Ongoing engagement on the clean fuel standard

Engagement with National Indigenous Organizations is being undertaken in conjunction with consultations organized by the department on other climate change regulations.

Engagement and discussions with provinces and territories will continue through a federal/provincial/territorial working group.

News

December 2017: News Release: Minister McKenna releases framework to make Canada’s fuels cleaner

December 2017: Background: Canada’s Clean Fuel Standard: how it will work

November 2016: Background: Government of Canada to Consult on the Development of a Clean Fuel Standard

Contact information

For more information or to receive email notifications of changes regarding Environment and Climate Change Canada’s actions on the clean fuel standard, please contact us at: ec.cfsncp.ec@canada.ca

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