{
  "title": "Canada’s Carbon Price Floor",
  "publication": "IMF Working Papers, March 8, 2018",
  "sourceUrl": "https://www.imf.org/en/publications/wp/issues/2018/03/08/canadas-carbon-price-floor-45684",
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  "summary": "The pan-Canadian approach to carbon pricing, announced in October 2016, ensures that carbon pricing applies throughout Canada in 2018, with increasing stringency over time to reduce emissions.",
  "sections": [
    {
      "heading": "Overview",
      "content": "- Pan-Canadian approach to carbon pricing announced in October 2016, ensuring carbon pricing applies throughout Canada in 2018, with increasing stringency over time to reduce emissions.\n- Provinces and territories may implement either:\n  - an explicit price-based system—with a minimum price of CAN $10 per tonne of carbon dioxide equivalent in 2018, increasing to CAN $50 per tonne by 2022; or\n  - an equivalently scaled emissions trading system.\n- Paper length: 27 pages."
    },
    {
      "heading": "Rationale and Design",
      "content": "- Discusses the rationale for, and design of, the price floor requirement.\n- Flexibility: allows provincial/territorial choice between downstream price-based systems and equivalently scaled emissions trading systems."
    },
    {
      "heading": "Environmental, Fiscal, and Welfare Impacts (Provincial-level)",
      "content": "- Examines provincial-level:\n  - environmental impacts (emissions reduction objectives tied to increasing stringency over time);\n  - fiscal impacts (pricing provides significant new revenues);\n  - economic welfare impacts (general conclusion: welfare costs are manageable).\n- Keywords tied to analysis include: aggressive pricing, backstop system, carbon price, Carbon tax, competitiveness impacts, differentiated pricing, downstream pricing, effective carbon price, emissions pricing, firm, Fuel tax, Greenhouse gas emissions, incidence, Non-renewable resources, price floor, upstream pricing, welfare impacts."
    },
    {
      "heading": "Monitoring and National Incidence",
      "content": "- Addresses monitoring issues necessary to implement and enforce pricing regimes.\n- Considers national-level incidence of the carbon price floor."
    },
    {
      "heading": "Conclusions and Policy-Relevant Finding",
      "content": "- General conclusion: welfare costs and implementation issues are manageable, and pricing provides significant new revenues.\n- Key challenge: the floor price by itself appears well short of what will be needed by 2030 for Canada’s Paris Agreement pledge.\n\n---\n\n Content in this bundle\n\n- Canada’s Carbon Price Floor, WP/18/42, March 2018\n  - Canada’s Carbon Price Floor, WP/18/42, March 2018 (Markdown version){rel=\"alternate\" type=\"text/markdown\"}\n  - Canada’s Carbon Price Floor, WP/18/42, March 2018 (PDF){rel=\"external\" type=\"application/pdf\"}\n\n---\n\nSource: https://www.imf.org/en/publications/wp/issues/2018/03/08/canadas-carbon-price-floor-45684"
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    "Authors: Ian W.H. Parry, Victor Mylonas",
    "Published: March 8, 2018",
    "Series: IMF Working Papers",
    "DOI: https://doi.org/10.5089/9781484345191.001",
    "Pan-Canadian approach to carbon pricing announced in October 2016, ensuring carbon pricing applies throughout Canada in 2018, with increasing stringency over time to reduce emissions.",
    "Provinces and territories may implement either:",
    "Paper length: 27 pages.",
    "Discusses the rationale for, and design of, the price floor requirement.",
    "Flexibility: allows provincial/territorial choice between downstream price-based systems and equivalently scaled emissions trading systems.",
    "Examines provincial-level:",
    "Keywords tied to analysis include: aggressive pricing, backstop system, carbon price, Carbon tax, competitiveness impacts, differentiated pricing, downstream pricing, effective carbon price, emissions pricing, firm, Fuel tax, Greenhouse gas emissions, incidence, Non-renewable resources, price floor, upstream pricing, welfare impacts.",
    "Addresses monitoring issues necessary to implement and enforce pricing regimes.",
    "Considers national-level incidence of the carbon price floor.",
    "General conclusion: welfare costs and implementation issues are manageable, and pricing provides significant new revenues.",
    "Key challenge: the floor price by itself appears well short of what will be needed by 2030 for Canada’s Paris Agreement pledge.",
    "**Canada’s Carbon Price Floor, WP/18/42, March 2018**"
  ],
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