It’s Not Easy Being Green: The Challenge of Carbon Competitiveness

The Conference Board of Canada, 56 pages, January 3, 2019
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This report examines the Pan-Canadian Framework on Clean Growth and Climate Change and where competitive risks to Canadian firms may come from.

Document Highlights

The success of Canada’s ambitious agenda for reducing carbon emissions will be measured by its ability to reduce emissions and effectively manage competitiveness. This report develops areas where current policy does not sufficiently address concerns over firms’ competitiveness.

The federal benchmark criteria of the Pan-Canadian Framework on Clean Growth and Climate Change are not sufficient to address some of the concerns that arise when the provinces develop their own programs. For the framework to function effectively, three main concerns need to be addressed: ensuring common scope and stringency, managing domestic uncertainty, and mitigating carbon leakage abroad.

Table of Contents

Executive Summary

Chapter 1—Pan-Canadian Carbon Pricing and Federal Policy

  • Carbon Pricing in Canada

Chapter 2—Pan-Canadian Carbon Pricing? Federal Targets, Provincial Programs

  • Alberta: Program Variation in Carbon Pricing
  • Ontario: Policy in Flux
  • Cap and Trade
  • Pan-Canadian Carbon Pricing: Questions and Recommendations

Chapter 3—Plugging the Leak

  • What Is Carbon Leakage?
  • What Factors Influence Carbon Leakage?
  • Carbon Leakage: Scope, Impact, and Recourse
  • Recommendations and Further Research

Appendix A—Bibliography

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