Please be responsible about…

Please be responsible about winding down the Cap and Trade program.

By ending the program now, instead of at the end of the next compliance period (2020 year-end), The Ontario Government could face legal action by non-governmental organizations and companies which have already bought emissions credits [1]. Further, ending the program now would result in the Federal government imposing its own carbon tax on Ontario starting in 2019, unless the province's legal challenge on this is successful. The Ontario government has allocated only $5 million to compensate the ~$1 billion in emissions credits companies already paid for. Therefore, will companies "double-pay" for their emissions in 2019 and 2020?

Waiting until the end of the next compliance period to cancel the Cap and Trade program will:
- Allow the Ontario government to make a more informed choice by waiting for the conclusion of the legal challenge to the Federal government
- Give businesses more time to prepare for the Federal carbon tax, if it is implemented.
- Lower the chance of companies initiating legal action for purchasing invalidated emissions credits
- Save the Ontario government from reimbursing companies for their purchase of invalidated emissions credits
- Save Ontario consumers from paying the Federal carbon tax in 2019 and 2020

Sudden cancellation of the Cap and Trade program will likely cause greater harm to Ontario businesses, consumers, and the Ontario Government's finances.

[1] https://www.mccarthy.ca/en/insights/blogs/canadian-era-perspectives/lov…