Environmental Law 2025

CANADA Law and Practice Contributed by: Laura Duke, Will Shaw and Emma Russell, Lawson Lundell LLP

13.2 Targets to Reduce Greenhouse Gas Emissions Canada is a signatory to the major international cli- mate change conventions. As a party to the Paris Agreement, Canada has committed to an economy- wide target to reduce greenhouse gas emissions by 40–45% below 2005 levels by 2030. The Canadian Net-Zero Emissions Accountability Act formalises Canada’s target of achieving net-zero emissions by 2050 and establishes a series of interim emissions reduction targets at five-year milestones towards that goal. Although the federal government signed the Paris Agreement and has set emission targets, Canada is a federal system and both the federal and provincial levels of government have the jurisdiction to regulate matters concerning the environment. In recognition of the collaborative approach needed for progress on climate change, the federal and provincial Ministers of the Environment developed the Pan-Canadian Frame- work on Clean Growth and Climate Change, which was built on four pillars: • pricing carbon pollution; • complementary actions to reduce emissions; In 2018, Canada enacted the Greenhouse Gas Pollu- tion Pricing Act (GGPPA) to ensure consistent national standards for carbon pricing in Canada. Pursuant to the GGPPA, every jurisdiction in Canada is required to have a price on carbon pollution, either through its own pricing system tailored to local needs or through the application of the federal pricing system. If a province or territory decides not to price pollution or proposes a system that does not meet the standards set by the federal government, the federal system or “backstop” is put in place. In April 2025, the federal government implemented legislative amendments to repeal the consumer fuel charge framework under the GGPPA. This indicates a recent shift in federal policy away from consumer carbon tax, while the framework continues to apply to large industrial emitters. In 2022, the federal government registered the Clean Fuel Regulations under the Canadian Environmental • adaptation and climate resilience; and • clean technology, innovation and jobs.

Protection Act 1999. These regulations are aimed at reducing greenhouse gas emissions in Canada by set- ting carbon intensity limits for fuels by fuel types and requiring fuel suppliers to lower the carbon intensity of the fuels they produce in accordance with those limits. Suppliers can maintain compliance with the estab- lished limits by participating in a credit market estab- lished by the Clean Fuel Regulations. Credits can be created by undertaking projects that reduce the car- bon intensity of fuels, supplying low carbon fuels, or supplying fuel or energy to advanced vehicle technol- ogy (eg, electric or hydrogen vehicles). The carbon intensity reduction requirements under the Clean Fuel Regulations came into force on 1 July 2023. In December 2024, the federal government finalised and implemented the Clean Electricity Regulations, which – at a high level ‒ imposed an emissions cap on fossil-fuel generating units exporting to the grid. These regulations were put forward as part of the federal government’s emissions reduction plan and specifically aimed at increasing electrification and decarbonising the grid. 14. Asbestos and Polychlorinated Biphenyls (PCBs) 14.1 Key Policies, Principles and Laws Relating to Asbestos and PCBs Asbestos management in Canada is governed by both occupational health and safety legislation and envi- ronmental legislation. At the federal level, this includes statutes such as the Hazardous Products Act and the Canada Consumer Product Safety Act, as well as the Prohibition of Asbestos and Products Containing Asbestos Regulations. These regulations prohibit the importation, sale and use of asbestos, as well as the manufacture, importation, sale and use of products containing asbestos (with some exceptions). The responsibility for removing or managing asbestos present in a building generally lies with the building owner. However, in some provinces, the occupier of a building (eg, a tenant or project developer) may also bear some responsibility.

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