How Should Alberta Regulate Industrial Emissions?

Official title: Technology Innovation and Emissions Reduction engagement

Closed Regulations & Permits Economy & Jobs Environment & Climate Natural Resources
Alberta asked for feedback on its Technology Innovation and Emissions Reduction (TIER) system before it launched in January 2020. The system targets large industrial facilities—mainly oil and gas—that produce over half of Alberta's greenhouse gas emissions. Facilities emitting more than 100,000 tonnes annually must cut emissions by 10% in 2020, then 1% more each year. Companies can reduce emissions directly, buy credits, use offsets, or pay into a fund for clean technology research.

Why This Matters

Work in oil and gas, or know someone who does? This system shapes how Alberta's biggest employers manage their environmental footprint. The TIER Fund also directs money toward clean tech research—potentially creating new jobs. For everyone else, it's about whether Alberta can cut emissions without hurting the economy.

What Could Change

Large industrial facilities now face mandatory emission reduction targets starting at 10%. The TIER Fund collects payments from companies that don't meet targets—money goes to clean technology research, carbon capture projects, and Alberta's deficit. Electricity plants must meet a 'good-as-best-gas' standard, matching the cleanest natural gas facilities.

Key Issues

  • What emission threshold should trigger TIER requirements?
  • How should new facilities and best-in-class performers be treated?
  • What compliance flexibility options should be available?
  • How should the TIER Fund be designed for innovation funding?
  • How should conventional oil and gas producers below the threshold be treated?

How to Participate

  1. Review the TIER Discussion Document to understand the proposed system.
  2. Learn about the final TIER regulations that resulted from this engagement.

What Happened

Feedback from Albertans and industry stakeholders informed the development of the new TIER regulations, which came into effect on January 1, 2020. The regulations replaced the Carbon Competitiveness Incentive Regulation.

View Final Decision

Key Documents