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- Draft Reduction of Carbon Dioxide Emissions from Coal-Fired Generation of Electricity Regulations

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Excerpt From Draft Reduction of Carbon Dioxide Emissions from Coal-Fired Generation of Electricity Regulations

As part of the Government of Canada’s plan to regulate carbon emissions, sector by sector, the Government of Canada recently released the Draft Reduction of Carbon Dioxide Emissions from Coal-Fired Generation of Electricity Regulations (the “Draft Regulations”). In summary, the Draft Regulations aim to phase out the use of coal-fired generation units, unless such units are associated with carbon capture storage systems (“CCS”) that enable such generation units to meet the intensity limits set by the Draft Regulations. This raises issues for domestic coal producers that supply coal-fired electrical energy generation units.

The Draft Regulations

The Draft Regulations apply to coal-fired electricity generation units that have been characterized as either (i) old, (ii) new, or (iii) existing:

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