Doing their bit

Regarding the even more important question of who assumes financial responsibility for the reductions, the Climate Change Plan for Canada indicates that the 55 Mt of reductions to be secured through the covenants and emissions trading system are to be paid for by industry. [...] In light of these considerations, CANet’s position is that •. the federal government must stick to its position that industry be required to secure the 55 Mt of reductions with no financial incentives or assistance being provided in exchange; and •. the policies used to achieve the remaining 44 Mt of reductions allocated to industry in the Plan must be designed to ensure that industry bears a shar [...] The possibility of opening up offset credit creation broadly poses a major threat to the environmental integrity of several extremely important areas of the Climate Change Plan for Canada, as illustrated in figure 2. The following table shows the emission reduction targets that the Plan lays out, over and above the 55 Mt from covenants, in all the areas in which offset credits could potentially be [...] CANet therefore calls on the federal government to ensure that the targets set by covenants represent 55 Mt of emission reductions that are fully additional to •. the reductions that the Climate Change Plan for Canada allocates to large industry via programs in Action Plan 2000 and Budget 2001, the target of 10% of new electricity generating capacity from low-impact renewable sources, the programs [...] Doing Their Bit: Ensuring Large Industrial Emitters Contribute Adequately to Canada’s Implementation of the Kyoto Protocol 19 The issues in detail In light of the above, the federal government, before agreeing to the targets set by covenants, will need to evaluate carefully whether the programs (other than covenants) in the Climate Change Plan for Canada intended to achieve emission reductions in