Alberta’s Climate Change
Strategy Renewal
Update October 9, 2013
Overview
Where are we today?
- Context and success to
date
Where do we need to go?
- Emissions trends
- Policy considerations
How do we get there?
- Policy renewal
- Federal GHG
regulations
#9: Canada
#1: China
#2: U.S.
Greenhouse Gas Emissions in the Canadian Context
283
233
0.3
72
8
2
56
64
72
2010 GHG Emissions
22
20
171
191
82
91
Data from NI 2012
17
Forecast - EC Outlook 2020
EC Outlook, October 18, 2010
19
20
2
9
2
18
12
Alberta’s Climate Change Strategy
Carbon Capture and Storage – 139 Mt by 2050
 Key element of Alberta’s Climate Change Strategy
 $1.24 billion for two large-scale CCS projects
 Alberta’s geology ideal for CCS
 2.76 Mt reduction
Greening Energy Production – 37 Mt by 2050
Provincial Generating Capacity
 Hydro, Wind, Solar and Biomass – 15 per cent and
percentage is growing (70% increase since 1998)
 Micro-generation policy
Bioenergy Producer Credit Program
 $440 million over 5 years will support 30
bioenergy facilities until March 2016
Renewable Fuels Standard
 2% biodiesel blend with diesel
 5% ethanol blend with gasoline
 Biofuel must have 25% fewer GHG
emissions than equivalent fossil fuel
Energy Efficiency – 24 Mt by 2050
 Residential sector: $52 million, 3 year
incentive program
 Incentives for other sectors
 Commercial Transportation Program
 Commercial Lighting Program
 Agriculture Sector
 Municipal Climate Change Action Centre
 GreenTRIP - $2 billion provincial
investment towards improving public
transit
 EE Framework completed May 2013
Regulating Greenhouse Gas Emissions



In 2007, Alberta regulated large
industrial GHG emissions
Existing facilities required to
immediately reduce per unit GHG
output by 12%
Three compliance options:



Physically reduce emissions
Purchase serialized Alberta offsets
$15 dollar/tonne towards technology
fund
RESULTS (March 2013 –
preliminary numbers):
 40 million tonnes
of emissions avoided (from BAU)
 $398 million into the
Climate Change and
Emissions Management
Fund
 $213 million invested in 51
clean energy projects
Technology and Innovation Fund
 $398 million collected to date
 Announced funding for 51 clean technology initiatives
 More than $213 million allocated
 Leverage approximately $5:1 in private investment
 Expect >$1B worth of clean technology projects at
current leverage
 Project emissions reductions
estimated at 10.2 MT by 2020
Offsets
34 offset protocols
20 Mt of offsets retired to
date
Top offsets:
 agriculture (tillage)
 wind
 energy efficiency
 enhanced oil recovery
 nitric acid abatement
 wastewater management
Offset Project Types Submitted for Compliance
6,000,000
Nitric Acid Abatement
Anaerobic Wastewater
Treatment
Forest Harvest Practice
5,000,000
Biofuel
EOR
Acid Gas
Tonnes of CO2e Reduced
4,000,000
Landfill Gas
Compost
Energy Efficiency
3,000,000
Tillage
Hydro
Biomass Energy
2,000,000
Wind
1,000,000
0
2007
2008
2009
2010
2011
2012
Adaptation
 Province-wide vulnerability assessment
completed
 Cross-Ministry risk assessments and
adaptation strategies for 9 Ministries
complete
 Comprehensive climate change government
adaptation strategy underway
 Stakeholder consultation plan under
development
 Provincial Adaptation Strategy to follow
Where do we need to go?
Policy Considerations





Alberta is under a microscope internationally
Alberta is not on track to meet our targets
Growing emissions
Social license and competitiveness key concerns
Federal action
Federal Regulations
Environment Canada moving forward
with a sector-by-sector approach to
regulating GHGs in Canada:
 Transportation – passenger
cars/ trucks/ RFS
 Coal-fired electricity – phase
out of coal – equivalency focus
 Oil and gas – stretch target with
compliance flexibility
 Emissions Intensive Trade
Exposed – “achievable”
performance standards
 Natural-gas fired electricity
under development
Policy Renewal Objectives:
Reduce greenhouse gas emissions and
maintain strong economic activity in
Alberta
Ensure a fair distribution of the costs
imposed by climate policy
Ensure Alberta’s outcomes are achieved
through appropriate jurisdictional
authority
Enable market instruments integral to
bridge the gap between current and
long-term policies and reductions across
the economy
Incent technological innovation
necessary for long-term deep reductions
and transformational change
Determine effect of policy on market
access/ social license/ competitiveness
Alternative and Renewable Energy
Framework
Alberta’s competitive electricity system is working
well - maintaining it is a priority
The Alternative and Renewable Energy Policy
Framework will be part of a renewed Climate
Change Strategy and feed into the Canadian
Energy Strategy
Policy options for electricity, transportation and
thermal end uses of alternative and renewable
energy are being examined during development of
the Framework
Stakeholders invited to submit ideas, concerns
and interests relating to alternative and renewable
energy development for consideration in the
development of the Framework
CONCLUSIONS
 Climate change highly
political
 Lack of international
movement has lead to
regionalized approaches
 Link with economic and
social objectives critical
 Strategic investment in
research, innovation and
technology needed
 Consumers and
producers part of the
problem and the solution