Quebec's Cap-and-trade system

摘要

Quebec is at the forefront to fight climate change by implementing an integrated approach to induce greenhouse gas (GHG) emission reductions as well as to promote adaptation measures to a changing climate. The Quebec's cap-and-trade system, which serves as the basis of this integrated approach, is a flexible market mechanism used to induce a carbon cost in business decision-making, and to facilitate low-cost GHG emission reductions, while encouraging the implementation of clean technologies. The cap-and-trade system funds the implementation of programs and measures of the 2012-2020 Climate Change Action Plan by fully paying to the Green Fund all proceeds from auctions sells of emission allowances. The Plan enables support for companies, municipalities and private citizens in reducing GHG emissions, adapting to the impacts of climate change and shifting forward to a robust, innovative and lower-carbon economy. The Quebec's cap-and-trade system is in place since 2013 and has linked with California's in 2014 to form the only international carbon market managed by subnational jurisdictions, known as the Western Climate Initiative carbon market. After outlining the main aspects of Quebec's integrated approach to fighting climate change, including the cap-and-trade system, the presentation will focus on results achieved to date, on new aspects of the program, on the continuation of the program after 2020 and on future work ahead.