Most people would agree that our ozone layer is a beloved friend, but not all can agree on how to save it.
While the introduction of a carbon tax is approved by environmental agencies and petroleum producers alike, it does not appear that the federal government will be enforcing these changes any time soon.
The National Round Table on the Environment and the Economy is a group of individuals with training in environmental sciences or experience in the industry. They released their “Getting to 2050: Canada’s Transition to a Low-emission Future” report Mon., Jan. 7 recommending a carbon tax, cap and trade system, or some combination of both to decrease carbon emissions. Their goal is to cut 20 per cent by 2020 and roughly 65 per cent by 2050. However, NRTEE only plays an advisory role to the federal government and its recommendations are not binding.
David Suzuki Foundation climate change policy analyst Dale Marshall doubted these targets would be reached in time.
“In the long-term, I am very confident that what came out on [Jan. 7] will be implemented,” he said. “I don’t know how long it is going to take and the fact that the federal government immediately distanced itself from the findings isn’t terribly hopeful in the short-term.”
Marshall admitted he was confident action would be taken eventually, if only because it would be- come clear that it was necessary.
Canadian Association of Petroleum Producers president Pierre Alvarez is satisfied with the current rate of progress. He supports the NRTEE recommendations, but with minor opposition on certain details.
“If you look at the far end of their scheme, which is $150 or $200 a tonne, that would have a dramatic and negative impact on the economy,” said Alvarez. “Our hope is that if you start with a lower number, escalating over time with the money going into technology, you could avoid having to reach those kinds of values.”
Alvarez explained Alberta’s current legislation sets the price at $15 per tonne on certain emissions is an example of progress. The money is currently going towards a technology fund which is used to research methods on reducing carbon emissions which that Alvarez strongly supports.
Despite the lack of urgency to implement the law, environment minister John Baird did agree that some regulations needed to be put in place. Baird acknowledged the technology fund is an essential step in the reduction process.
“We’ve got to put a price on carbon,” said Baird at a House of Commons media conference Mon., Jan. 7. “We’ve got to have an approach that seeks to deal with air pollution at the same time. But, the key point is that we have announced significant and deep reductions that industry is already responsible for. Six per cent last year, six per cent this year and an additional six per cent next year.”
The regulatory cuts are aimed at all major polluters in the country and will continue with a two per cent annual decrease until 2010. However, both Marshall and Alvarez noted change needed to encompass more than just regulatory reforms. Marshall explained he would like to see a cap and trade system on large industry, including the oil and gas sector, so their emissions are reduced.
“A carbon tax on downstream fuel usage, whether it’s gasoline for vehicles or natural gas for heating, consumers pay a tax on the fossil fuel that they burn,” he said. “On top of that, have a regulatory system for areas that aren’t captured and don’t react very well to carbon price: things like fuel efficiency regulations for vehicles and appliances.”
Baird is currently focusing on a system that allows the market to set the carbon price based on the reductions it is forced to make. Alvarez, while content that carbon reductions are occurring, is stressing patience.
“While it might not be as fast as some people [would] like to see, I do think you are seeing a shift,” said Alvarez. “Companies and consumers do understand that everybody has a role to play.”