Federal GHG Offset System Overview
U
P
D
A
T
E
O
N
T
H
E
F
E
D
E
R
A
L
G
H
G
O
F
F
S
E
T
S
Y
S
T
E
M
CFA Annual General
Meeting
February 24
th
, 2021
O
V
E
R
V
I
E
W
•
Federal GHG Offset System being developed as part of Canada’s
strengthened climate plan -
A Healthy Environment & A Healthy
Economy
(Dec. 2020).
•
Canadian farms have an important role to play in reducing GHG
emissions through implementation of conservation activities or
adopting new management practices or technologies.
•
The Federal GHG Offset system will create opportunities to earn
revenue for GHG reductions from eligible projects while at same time,
stimulate innovation and private sector investment.
–
Broadens the carbon pollution price signal across the economy
•
Offsets credits can be used by regulated facilities under federal
carbon pollution pricing system for industry (Output-based Pricing
System) to meet compliance obligations or government / private
sector to meet emission reduction or net-zero targets.
K
E
Y
D
E
S
I
G
N
C
O
N
S
I
D
E
R
A
T
I
O
N
S
•
The design of the Federal GHG Offset System is informed by
CCME’s Pan-Canadian Offset Framework (Nov. 2018)
•
System will be national in scope and based on the following
principles:
–
Reductions must occur in Canada
–
Complementary to existing climate policy
–
Administratively simple
•
To generate federal offset credits, a project must achieve GHG
reductions that are:
–
R
e
a
l
:
P
r
o
j
e
c
t
s
t
a
r
t
e
d
a
f
t
e
r
J
a
n
1
,
2
0
1
7
a
n
d
i
s
f
u
n
c
t
i
o
n
a
l
l
y
e
q
u
i
v
a
l
e
n
t
t
o
b
a
s
e
l
i
n
e
–
Q
u
a
n
t
i
f
i
a
b
l
e
:
U
s
e
s
a
n
a
p
p
r
o
v
e
d
f
e
d
e
r
a
l
o
f
f
s
e
t
p
r
o
t
o
c
o
l
–
A
d
d
i
t
i
o
n
a
l
:
T
h
e
o
f
f
s
e
t
p
r
o
j
e
c
t
w
o
u
l
d
n
o
t
o
c
c
u
r
i
n
t
h
e
a
b
s
e
n
c
e
o
f
t
h
e
o
f
f
s
e
t
s
y
s
t
e
m
.
–
V
e
r
i
f
i
a
b
l
e
:
T
h
e
r
e
d
u
c
t
i
o
n
s
/
r
e
m
o
v
a
l
s
c
a
n
b
e
c
o
n
f
i
r
m
e
d
b
y
a
t
h
i
r
d
p
a
r
t
y
–
U
n
i
q
u
e
:
P
r
o
j
e
c
t
c
a
n
n
o
t
g
e
n
e
r
a
t
e
c
r
e
d
i
t
s
i
n
t
w
o
s
y
s
t
e
m
s
f
o
r
t
h
e
s
a
m
e
r
e
d
u
c
t
i
o
n
s
–
P
e
r
m
a
n
e
n
t
:
A
n
y
C
O
2
s
e
q
u
e
s
t
e
r
e
d
m
u
s
t
b
e
p
e
r
m
a
n
e
n
t
P
R
O
T
O
C
O
L
D
E
V
E
L
O
P
M
E
N
T
•
Federal offset protocols will set out a consistent approach for
quantifying GHG emissions reductions and removals for specific offset
project types.
•
Enhanced Soil Organic Carbon
has been identified as one of the first
federal offset protocols scheduled for development.
–
Includes adoption of sustainable agricultural land management activities which reduce
emissions and enhance soil carbon sequestration on agricultural lands
–
Specific farming practices eligible for offset credit generation will be established as part of the
protocol development process
–
Activities must be additional: meaning above and beyond business-as-usual (or common
practice), not required by law or regulations, not covered by carbon pollution pricing and have
started on or after January 1, 2017.
•
Next project types under consideration for federal offset protocol
development include
Livestock Feed Management
.
•
Additional project types will be considered in the future as more
information or data becomes available and as their potential evolves.
N
E
X
T
S
T
E
P
S
:
F
E
D
E
R
A
L
G
H
G
O
F
F
S
E
T
S
Y
S
T
E
M
•
Two discussion paper released (June 2019 & July 2020) seeking
input on key system design features.
•
Regulations are under development; targeting timelines:
–
Proposed regulations (CGI) winter 2021
–
Final regulations (CGII) fall 2021
•
Federal offset protocol development will begin in spring 2021
•
ECCC is establishing a
Roster of Technical Experts
to support the
development of federal offset protocols.
–
Experts with significant expertise related to offset project development;
GHG verification; sector-based best management practices; offset
protocol development; and/or relevant academic research may be
placed on
Technical Expert Teams.
–
To be considered, download the Candidate Profile Form from our
website
5
T
H
A
N
K
Y
O
U
To receive updates on the development of the federal GHG offset
system email us at:
ec.creditscompensatoires-offsets.ec@canada.ca
Federal GHG Offset System in Canada aims to create revenue opportunities for GHG reduction projects, stimulate innovation, and broaden carbon pollution pricing. The system is designed based on key considerations like real, quantifiable, verifiable, and permanent GHG reductions. Additionally, protocols are being developed for specific offset project types such as Enhanced Soil Organic Carbon and Livestock Feed Management.
Uploaded on Feb 27, 2025 | 0 Views
Download Presentation
Please find below an Image/Link to download the presentation.
The content on the website is provided AS IS for your information and personal use only. It may not be sold, licensed, or shared on other websites without obtaining consent from the author.If you encounter any issues during the download, it is possible that the publisher has removed the file from their server.
You are allowed to download the files provided on this website for personal or commercial use, subject to the condition that they are used lawfully. All files are the property of their respective owners.
The content on the website is provided AS IS for your information and personal use only. It may not be sold, licensed, or shared on other websites without obtaining consent from the author.
E N D
Presentation Transcript
UPDATE ON THE FEDERAL GHG OFFSET SYSTEM CFA Annual General Meeting February 24th, 2021
OVERVIEW Federal GHG Offset System being developed as part of Canada s strengthened climate plan - A Healthy Environment & A Healthy Economy (Dec. 2020). Canadian farms have an important role to play in reducing GHG emissions through implementation of conservation activities or adopting new management practices or technologies. The Federal GHG Offset system will create opportunities to earn revenue for GHG reductions from eligible projects while at same time, stimulate innovation and private sector investment. Broadens the carbon pollution price signal across the economy Offsets credits can be used by regulated facilities under federal carbon pollution pricing system for industry (Output-based Pricing System) to meet compliance obligations or government / private sector to meet emission reduction or net-zero targets.
KEY DESIGN CONSIDERATIONS The design of the Federal GHG Offset System is informed by CCME s Pan-Canadian Offset Framework (Nov. 2018) System will be national in scope and based on the following principles: Reductions must occur in Canada Complementary to existing climate policy Administratively simple To generate federal offset credits, a project must achieve GHG reductions that are: Real: Project started after Jan 1, 2017 and is functionally equivalent to baseline Quantifiable: Uses an approved federal offset protocol Additional: The offset project would not occur in the absence of the offset system. Verifiable: The reductions / removals can be confirmed by a third party Unique: Project cannot generate credits in two systems for the same reductions Permanent: Any CO2sequestered must be permanent
PROTOCOL DEVELOPMENT Federal offset protocols will set out a consistent approach for quantifying GHG emissions reductions and removals for specific offset project types. Enhanced Soil Organic Carbon has been identified as one of the first federal offset protocols scheduled for development. Includes adoption of sustainable agricultural land management activities which reduce emissions and enhance soil carbon sequestration on agricultural lands Specific farming practices eligible for offset credit generation will be established as part of the protocol development process Activities must be additional: meaning above and beyond business-as-usual (or common practice), not required by law or regulations, not covered by carbon pollution pricing and have started on or after January 1, 2017. Next project types under consideration for federal offset protocol development include Livestock Feed Management. Additional project types will be considered in the future as more information or data becomes available and as their potential evolves.
NEXT STEPS: FEDERAL GHG OFFSET SYSTEM Two discussion paper released (June 2019 & July 2020) seeking input on key system design features. Regulations are under development; targeting timelines: Proposed regulations (CGI) winter 2021 Final regulations (CGII) fall 2021 Federal offset protocol development will begin in spring 2021 ECCC is establishing a Roster of Technical Experts to support the development of federal offset protocols. Experts with significant expertise related to offset project development; GHG verification; sector-based best management practices; offset protocol development; and/or relevant academic research may be placed on Technical Expert Teams. To be considered, download the Candidate Profile Form from our website 5
THANK YOU To receive updates on the development of the federal GHG offset system email us at: ec.creditscompensatoires-offsets.ec@canada.ca
