Canada’s $750 million emissions reduction fund

Oil and gas companies that use federal cash to help cut methane emissions from their operations won’t have to repay every penny if they eliminate the methane emissions entirely.

Natural Resources Minister Seamus O’Regan unveiled rules for the CAD $750-million emissions reduction fund first announced by the federal government at the end of April.

Methane has more than 80 times the global-warming potential of carbon dioxide over a 20-year period and accounts for more than one-tenth of Canada’s total emissions each year.

Almost half of them come from the oil and gas sector.

Canada has committed to cutting methane emissions between 40 and 45% by 2025, but current regulations are only expected to cut 29% by then.

The government has not estimated yet what emissions will be cut through this new program, but said up to half the cost of the loan can be forgiven if a project eliminates methane emissions.

© 2020 The Canadian Press.

Previous articleReducing emissions with an electric actuator
Next articleAir Toxics Program in New York