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Canada clean fuel standard draws fire for reliance on upstream credits

September 28, 2021


One of Canada’s flagship pieces of climate regulation has run into criticism from clean fuel lobby groups as Prime Minister Justin Trudeau prepares to start his third term in office, with industry advocates arguing it is out of step with Canada’s goals to achieve net-zero emissions.

The Clean Fuel Standard is set to come into force in December 2022, and was envisaged as a pillar of Canada’s carbon emissions reduction plan. But a coalition of 26 clean fuel trade associations, producers and climate think tanks are now warning that the regulation in its current form will delay rather than incentivize the adoption of low-carbon fuels.

“The CFS as the draft is now proposed shouldn’t go ahead,” said Ian Thomson, president of Advanced Biofuels Canada, one of the organisations calling for a change.

“It has the potential to be a great regulation … but the messaging right now is essentially going to defer by a decade the adoption of fuels that are critical to net-zero future.”

Advanced Biofuels Canada and other industry groups have been lobbying the government privately for months to toughen up the regulation. They said so far the government has shown little inclination to do so, and risks missing an opportunity to boost Canada’s clean fuel industry.

[Nia Williams]

More: Canada’s clean energy lobby groups call for changes to draft Clean Fuel Standard

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