Question Period Note: Clean Fuel Standard

Clean Fuel Standard

• The Clean Fuel Standard plays a key role in Canada’s national climate change strategy and complements other measures like carbon-pollution pricing.
• The Standard will lower the carbon intensity of fuels, resulting in significant emissions reductions while also stimulating investment and innovation in clean fuels.
• Using cleaner fuels in transportation, industry, and buildings is one of the biggest steps Canada can take to fight climate change, reduce pollution, and make our economy cleaner and more competitive.
• The first phase will cover fuels used in transportation, a sector responsible for about one quarter of Canada’s greenhouse gas emissions.
• The Clean Fuel Standard will accelerate Canada’s transition to a low-carbon economy by helping Canadian companies develop innovative technologies that can deliver clean solutions at home and be sold in global markets.
SUPPLEMENTAL
• Canada’s Clean Fuel Standard builds on the successful low-carbon fuel requirements that are already in place in California, B.C., and Europe.

• The Clean Fuel Standard will significantly reduce GHG emissions by lowering the lifecycle carbon intensity of fossil fuels. The regulations will take a market-based approach leading to investment and innovation in low carbon fuels and technologies, such as advanced biofuels, carbon capture and storage (CCS) and electric vehicles. A credit trading system will provide flexibility for fossil fuel producers to comply at lower costs, in order to mitigate price impacts on fuel purchasers.
• Since its announcement in 2016, Environment and Climate Change Canada has engaged broadly with stakeholders and provinces. On June 30, 2019, the Government of Canada released the Proposed Regulatory Approach for the first phase of the Clean Fuel Standard regulations covering liquid fossil fuels, including gasoline and diesel, which are mainly used in the transportation sector. Extensive comments were received from stakeholders and are being considered in the development of the draft regulations.
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Question Period notes as provided by the Department to the Minister’s Office