Regulating Carbon in Canada

The brief uses the Canadian Integrated Modelling System (CIMS) to evaluate proposed regulations requiring new or modified coal plants to meet a performance standard of 375 g CO2e/kWh. The analysis projects that these regulations would reduce electricity sector emissions by 5 million tonnes (Mt) in 2020 and 20 Mt by 2030, with an average cost of $26 per tonne of GHG reduced. The findings indicate that coal generation would be primarily displaced by natural gas turbines, which are expected to account for 77-78% of the replacement, while carbon capture and storage (CCS) and renewables would play smaller roles.

• The proposed regulations target new or modified coal-fired power plants, requiring a performance standard of approximately 375 grams carbon dioxide equivalent (CO2e) per kilowatt-hour (kWh). This standard applies to roughly 54 per cent of fossil fuel generation and 8 per cent of total forecast electricity generation in 2020.
• The regulations are projected to reduce emissions by 5 million tonnes (Mt) in 2020 and 20 Mt by 2030. This represents a reduction of approximately 6 per cent of the forecast 91 Mt of electricity emissions in 2020.
• The estimated average cost of the greenhouse gas (GHG) reductions from 2015 to 2030 is $26 per tonne (in 2011 Canadian dollars). This would result in an average annual increase in capital expenditures of $260 million within the electricity sector.
• Natural gas is the primary fuel displacing coal under the proposed regulations, accounting for more than 60 per cent of the displaced coal. National demand for coal for electricity production is projected to fall by 7 per cent from the baseline in 2020 and 39 per cent by 2030.
• Natural gas turbines are the dominant technology used to replace coal, accounting for 77 per cent of replacements in 2020 and 78 per cent in 2030. Coal plants with carbon capture and storage (CCS) are projected to replace 18 per cent in 2020 and 15 per cent in 2030, while renewables account for 6 per cent in both years.

APA

Sawyer, D., & Stiebert, S. (2012). Regulating Carbon in Canada. International Institute for Sustainable Development. https://www.iisd.org/system/files/publications/regulating_carbon_canada_electricity.pdf

Chicago

Sawyer, Dave, and Seton Stiebert. Regulating Carbon in Canada. International Institute for Sustainable Development, 2012. https://www.iisd.org/system/files/publications/regulating_carbon_canada_electricity.pdf.

Wikipedia

{{cite report |last1=Sawyer |first1=Dave |last2=Stiebert |first2=Seton |title=Regulating Carbon in Canada |publisher=International Institute for Sustainable Development |date=April 2012 |url=https://www.iisd.org/system/files/publications/regulating_carbon_canada_electricity.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{sawyer2012regulating, author = {Sawyer, Dave and Stiebert, Seton}, title = {{Regulating Carbon in Canada}}, institution = {International Institute for Sustainable Development}, year = {2012}, month = apr, url = {https://www.iisd.org/system/files/publications/regulating_carbon_canada_electricity.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }