Latest news with #AlbertaTechnologyInnovationandEmissionsReduction
Calgary Herald
12-05-2025
- Business
- Calgary Herald
Alberta places 'indefinite freeze' on industrial carbon tax
Alberta is indefinitely freezing the industrial carbon tax at $95 per tonne for heavy emitters. Article content Premier Danielle Smith said the decision comes in the wake of the ongoing tariff threats by U.S. President Donald Trump and after industry feedback indicating that further increases would be 'detrimental' to businesses and market competitiveness. Article content 'Alberta remains committed to reducing emissions through the development and implementation of new technologies, not unrealistically high taxes, while responsibly powering the world for decades to come,' Smith said at a Monday press conference. Article content Article content The carbon price was set to increase to $110 per tonne in 2026 under the Alberta Technology Innovation and Emissions Reduction (TIER) program and continue to increase to $170 per tonne by 2030 — which the province had agreed to with Ottawa in late 2022 to comply with federal standards. Article content Article content According to Smith, any additional increases above $100 per tonne will 'wipe out any benefits' the province has seen so far. She said Ottawa's decision to increase the carbon tax to $170 per tonne by 2030 would be 'devastating' to the Alberta economy. Article content 'This is yet another example of Ottawa overstepping,' Smith said. Article content Parliament is set to resume at the end of May after being prorogued in January. Prime Minister Mark Carney and his cabinet are set to be sworn in on Tuesday. Article content Alberta's industrial carbon tax system has been in place since 2007. Under the program, industry pays into a central TIER fund when emissions exceed specified limits. The fund is used to support various technologies and initiatives aimed at reducing greenhouse gas emissions. Article content Article content Environment and Protected Areas Minister Rebecca Schulz said revenue in the TIER fund has fluctuated and did not voice concerns on how various initiatives will be funded if the annual $15 increase on industrial carbon price is stagnant. Article content Article content 'This year we've been able to even increase some of our investments. I think some of that fluctuation is normal. Again, the most important piece has to be economic competitiveness for our industry,' Schulz said. Article content Article content Article content Article content
Calgary Herald
12-05-2025
- Business
- Calgary Herald
Varcoe: Alberta to freeze industrial carbon price at $95 a tonne
The federal consumer carbon tax is dead and buried, but the Alberta government is now setting its sights on freezing the price on the industrial carbon price in the province. Article content The UCP government will announce Monday that it won't increase the carbon price on heavy emitters to $110 a tonne next year under its Alberta Technology Innovation and Emissions Reduction (TIER) program — as it had agreed to in a deal with Ottawa in late 2022 to meet federal equivalency requirements. Article content Article content Article content Alberta Environment Minister Rebecca Schulz said with global trade instability, an industrial carbon price above $100 a tonne for emissions would make the province 'exceptionally uncompetitive,' while a levy at $170 'would completely decimate our industry.' Article content 'With what we're seeing in terms of uncertainty with our trade relationships south of the border and, of course, proposed tariffs, this is not the time to go and increase the carbon tax,' she said in an interview. Article content 'We will be freezing that at $95, and so right now, that keeps us in compliance with the federal backstop but does send a message to the federal government that we are not interested in making our industries uncompetitive at a time like this.' Article content Article content Alberta has had a carbon price placed on heavy emitters since 2007. Article content The TIER program is applied to any large facility that emits more than 100,000 tonnes of carbon dioxide equivalent greenhouse gases. Article content Facilities that exceed their requirements can generate performance credits, while those that don't meet the limit can either buy Alberta-based offsets or pay into the TIER fund at a level of $95 per tonne this year.
