Canada’s Ecofiscal Commission makes four carbon pricing recommendations

OTTAWA – Four recommendations on carbon pricing from the first report of Canada’s Ecofiscal Commission:

1. Provincial governments should move forward by implementing carbon-pricing policies as the central element of their climate change strategy.

2. Provincial carbon-pricing policies — existing and new — should increase in stringency over time to avoid unnecessary shocks to the economy.

3. Provincial carbon pricing should be designed to broaden coverage, to the extent practically possible, to create incentives for emission cuts throughout the economy.

4. Provinces should customize details of policy design based on their unique economic contexts and priorities; they should also plan for longer-term co-ordination.