The federal government is increasing the carbon tax burden on new natural gas plants to discourage power companies from building more of them. Pipes at the Shell Groundbirch Saturn natural gas plant are seen near Fort St. John, B.C., Thursday, Oct. 11, 2018. THE CANADIAN PRESS/Jonathan Hayward OTTAWA — The federal government is increasing the carbon tax on new natural-gas plants to discourage power companies from building them. The change is part of final regulations for the government’s carbon-tax system for big industrial greenhouse-gas emitters which were released Friday. It means any natural gas plant that starts operating after 2021 will have to pay the carbon price on a higher portion of its emissions each year until 2030, when it will pay the price on all emissions. The big-emitters program, known officially as the "output-based pricing system," affects businesses that produce more than 50,000 tonnes of greenhouse gases a year, the equivalent of about 10,000 cars’ emissions. It is designed to limit impacts on competitiveness for major industrial emitters, who will pay the carbon tax on a portion of what they emit rather than on all the fuels that they use; an emissions standard is set for every industry […]
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