Written by: Heather Donaldson
On September 21, 2020, Ontario Minister of the Environment, Conservation and Parks announced the Federal government accepted Ontario’s Emission Performance Standards (EPS) program as an alternative to the federal output-based pricing system (OBPS). After Ontario cancelled the Cap and Trade program in July 2018, the federal OBPS became the default program for regulation greenhouse gases in the province.
The EPS does not enforce a blanket cap on emissions and takes specific industries and facilities into consideration. This allows for a tailored approach to various industries. The EPS program covers the same polluters as the OBPS, however it phases in stringency over time allowing industries more time to meet their targets.
“I strongly believe that it is a better program for Ontario’s environment and economy, and I am proud of Ontario’s EPS program. This program balances our province’s plan to fight climate change, as we work towards our 2030 greenhouse gas reduction targets under the Paris agreement, with economic growth as economies in Ontario and across Canada are struggling due to impacts of COVID-19. Having an EPS program in place in this province will give regulatory certainty and minimize costs for industry during this time of unprecedented challenge.” - Jeff Yurek, Minister of the Environment, Conservation and Parks
The transition date has not yet been announced.