Insider Brief:
Insider Brief:
- Funds collected from Canada’s industrial carbon pricing have been put towards decarbonization and electrification projects across three provinces
- Ontario’s Agnico Eagle mining company will use the funds to electrify trucks in mine haulage
- Saskatchewan’s SaskEnergy will install flare systems at three compressor stations to lower emissions
Canada has provided nearly C$150 million in support for cleantech and decarbonization projects, using funds generated from its industrial carbon pricing fund, the government said March 21.
Funds from the proceeds of the Output-Based Pricing System Proceeds Fund, collected from heavy industry, have been deployed to decarbonization projects in Manitoba, Ontario, and Saskatchewan.
The federal pricing system currently applies only in areas where the local government has requested it, or where there do not exist systems to meet the federal benchmark. These areas include Ontario, New Brunswick, Manitoba, Prince Edward Island, Yukon, Nunavut, and partially in Saskatchewan.
Both Agnico Eagle Mines and Redpath Sugar received C$25 million. Agnico Eagle will use the funds to deploy “trolley assist” equipment, which will use electric trucks to haul materials out of the mine. At Redpath Sugar, the funds will be used to install new equipment and technology to reduce thermal energy consumption via improved recovery and use of waste heat.
Ontario’s Roseburg Forest Products Canada received C$17.9 million to install new biomass furnaces and waste fibre and product handling systems equipment to offset gas usage; the company will use more rejected fibre from the process, and purchase biomass from local wood industry facilities.
Manitoba’s Tundra Oil & Gas received C$4.3 million to complete seven projects to electrify fuel combustion equipment, and lower carbon emissions by reducing gas flaring and capturing natural gas emitted through production.
In Saskatchewan, SaskEnergy received C$1 million to install flare systems at three compressor stations to combust vented methane from regular operations, which will lower carbon emissions.
“These investments are a win-win for Canadian workers, industries, and the environment,” federal Minister for Environment and Climate Change Terry Duguid said.
“Fundamentally, industrial carbon pricing makes Canada stronger and more competitive in a changing world.”
