Canada Finalises Clean Fuel Regulations to Achieve Net-Zero Emissions
The Canadian Minister of the Environment and Climate Change, Steven Guilbeault, has announced the publication of the final Clean Fuel Regulations (CFR), which focus on emissions throughout the lifecycle of fuels.
"The Clean Fuel Regulations help secure a foundation for more growth in the industries that will help Canada achieve net-zero emissions while continuing Canada's role as a global energy supplier," Guilbeault said.
According to the news release, the laws impose progressively onerous obligations on producers and importers to reduce the carbon intensity of gasoline and diesel.
Once fully implemented, the CFR will help reduce up to 26.6 million metric tonnes of greenhouse gas emissions by 2030, or about the number of greenhouse gases produced by the whole Canadian economy in two weeks.
The oil and gas industry is the largest contributor to greenhouse gas emissions in Canada. In 2020, it produced 27% of the nation's emissions.
The CFR, which will replace the present federal renewable fuels regulations, would provide incentives for the increased domestic production of fuels with a low carbon intensity (such as ethanol).
It will generate economic opportunities for farmers and foresters who provide biofuel feedstock. According to the announcement, it will also help Canadian fuel producers compete in the fast-growing global clean energy market.
The release said the regulations have been crafted to ensure there will be no immediate impact on fuel prices, and they come at a time when gasoline refining margins in Canada have increased by more than 113% between June 2019 and June 2022, and oil and gas companies are experiencing record cash flow.
The announcement noted that the timing is right for the industry to invest in new, clean technology.
Source: Punjab News Express