News release

Carbon Plan Builds on Successful Record of Reducing Emissions

Nova Scotia submitted a proposal today, September 2, to the Government of Canada with its recommended plan in response to new federal requirements to price carbon.

The plan does not include a carbon tax on Nova Scotia consumers, maintaining the Province’s position that it is not needed to meet the new federal requirements.

The Province’s recommended approach is an output-based pricing system, similar to what most other Canadian provinces have in place. Under the system, performance standards would be implemented for large industrial greenhouse gas emitters, driving down companies’ emissions. If approved by the federal government, the Nova Scotia Output-Based Pricing System would come into effect on January 1.

“I look forward to working with my federal colleague, Minister Guilbeault, and his team in the coming months to flesh out our plan, and build on the leadership Nova Scotia has shown in reducing our greenhouse gas emissions, transitioning to clean energy and green hydrogen and making our homes and other buildings more energy efficient,” said Timothy Halman, Minister of Environment and Climate Change. “We are confident that our plan will meet, and probably exceed, the federal benchmark for reducing our carbon footprint, without needing a carbon tax. If the federal government chooses to tax Nova Scotians for their carbon – at the pumps and on home heating fuels – there is nothing we can do to stop them, but we expect the revenues to be returned to the province to benefit Nova Scotians.”

The next step is for the federal government to review Nova Scotia’s proposal and provide feedback which will then inform development of the full Nova Scotia plan. This process is expected to take several months. The Government of Canada has also agreed to meet with provinces and territories to discuss affordability concerns and solutions; no date has been set yet for that meeting. The Province will also engage Efficiency Nova Scotia and other partners to help ramp up work to make homes and buildings in the province more energy efficient.