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August 29, 2022

Ontario Proposes Amendments to the Emissions Performance Standards (EPS) Program for 2023-2030

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Energy Team

Ontario Proposes Amendments to the Emissions Performance Standards (EPS) Program for 2023-2030

On August 26th, Ontario’s Ministry of the Environment, Conservation and Parks (MECP) published on the Environmental Registry of Ontario (ERO) for public consultation proposed amendments to the Emissions Performance Standards (EPS) program regulations. The proposed changes are outlined within in a 28-page document – Proposed Regulatory Amendments for Emissions Performance Standards Program 2023-2030: Summer 2022.  

The proposed amendments will 1) provide guidance to industrial emitters for the period of 2023-2030, as the current regulations are only in effect until the end of 2022, and 2) align Ontario’s program with the updated federal benchmark for carbon pricing as reflected in the updated federal Output-Based Pricing System (OBPS) under the Greenhouse Gas Pollution Pricing Act (GGPPA). The federal government assesses provincial and territorial carbon pricing programs against this benchmark.

In the ERO posting, MECP notes that proceeds from the EPS program (by way of compliance payments) will be used to support greenhouse gas (GHG) emissions reductions and will need to adhere to the updated federal benchmark and spending provisions for the proceeds in the Environmental Protection Act; no further detail is given in the proposal document.

Feedback from stakeholders is due by October 10, 2022. Given the regulations must come into effect January 1, 2023, it is anticipated that the proposed changes will be finalized shortly after the submission deadline.

Read the full update.

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