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Canadian provinces are required to regulate their power sectors using carbon pricing systems that meet national minimum stringency standards, which are set by the federal government. A diverse set of systems has emerged as a result. However, there has been limited assessment of how different pricing mechanisms impact the evolution of Canada's electricity system. To address this gap, we use an electricity system planning model called COPPER and a scenario-based approach to assess if, and to what extent, different policy regimes impact power sector greenhouse gas emissions and costs. Our results show that carbon pricing systems currently in place lead to significant carbon reductions over the long term, provided that free emissions allocations are reduced. However, the cost-optimal pathway for the power sector differs across provinces depending on the carbon pricing mechanism. Some provinces achieve least-cost emissions reductions by switching from high-carbon technologies to renewables, while others are better served by replacing high-carbon technologies with low-carbon fossil fuel alternatives. Further, provinces that implement cap-and-trade systems may affect the transitions of interconnected jurisdictions. Power sector climate policy design should reflect the heterogeneity of available assets, resources, and neighbouring approaches. [ABSTRACT FROM AUTHOR]

Jurisdictions use an assortment of policies to reduce greenhouse gas emissions. Climate policy mixes have often evolved through the ad hoc layering of new policies onto an existing policy mix, rather than deliberate design of a complete policy portfolio. This can lead to unanticipated interactions between policies which can support or undermine policy objectives and is further complicated where climate policy is implemented at multiple jurisdictional levels. In the context of Canada and its four most populous provinces, we examine the development of climate policy mixes across jurisdictional levels between 2000 and 2020 and evaluate policy interactions. We develop an inventory of 184 climate policies, and examine each in terms of instrument type, implementation timing, technological specificity, and expected abatement. We evaluate interactions between overlapping policies both within jurisdictional levels (horizontal) and across jurisdictional levels (vertical) for their impact on emissions abatement using a policy coherence analysis framework. We find that subsidies and R&D funding were the most abundant policies (58%), although pricing and flexible regulation are expected to achieve the most abatement. Sub-national jurisdictions have often acted as policy pilots preceding federal policy implementation. We evaluate 356 policy interactions and find 74% are consistent in adding abatement. Less than 8% have a negative impact by reducing abatement, although vertical interactions between federal and provincial policies were more often negative (11%) than horizontal interactions at the federal (<3%) or provincial (<2%) levels. Although the impact of many interactions is unknown (13%), we generate interaction matrices as a foundational roadmap for future research, and for policy-makers to consider potential interactions when designing and assessing policy effectiveness. Key policy insights Climate policy mixes have expanded and diversified over the period 2000–2020 across jurisdictions in Canada. Sub-national jurisdictions have often acted as policy 'pilots' by implementing policy before the adoption of similar national level policy. Climate mitigation policy interactions are predominantly supportive toward achieving additional emissions abatement. Vertical interactions between federal and provincial policy can undermine the additionality of policy effort by sub-national jurisdictions. These findings emphasize the need for better coordination in climate policy mix design between national and sub-national jurisdictions. [ABSTRACT FROM AUTHOR]

Energy-economy models play an increasingly important role in informing climate policy decisions, yet their results lack consistency in terms of projected greenhouse gas emissions and economic impacts. The paper employs a scoping review of the key improvements, knowledge gaps, and critiques of energy-economy models in the academic, public, private, and not-for-profit sectors in Canada over the past ten years. The three objectives are to (1) identify the key energy-economy modelling assessment criteria, (2) develop an inventory of energy-economy models assessed against the criteria in objective 1, and (3) discuss implications for modelling climate policies. Four criteria for assessing the ability of energy-economy models to evaluate climate policy impacts are identified: treatment of technology, microeconomic realism, macroeconomic realism, and policy representation. The assessment of 21 models against these criteria reveals similarities and differences across models. Models that share similarities in over-arching methodological approaches are also similar in the way they represent technologies, market heterogeneity, trade effects, different policy types, and energy equilibrium. Conversely, there are quite diverse approaches used in the representation of technological change, non-financial decision factors, financial or monetary features, and non-energy equilibrium. Model documentation does not often address how policy interaction is taken into account. Based on this assessment, implications for climate policy modelling and future research are discussed. • Climate policy projections vary across energy-economy models. • A scoping literature review compares energy-economy models in Canada's public and private sectors. • Four key criteria are identified for evaluating energy-economy models. • The review reveals similarities and differences across models. • Implications for climate policy modelling are identified. [ABSTRACT FROM AUTHOR]

In 2007-08, British Columbia implemented two significant climate policies: the first broadly based carbon tax and the first almost 100-percent 'clean' electricity standard in North America. We describe the key design characteristics of these policies and analyse them against the criteria of greenhouse gas (GHG) emissions reductions, economic efficiency, administrative feasibility, and public acceptance. We find that the clean electricity standard is estimated to reduce four to six times more emissions per year by 2020 than the carbon tax, but at an average cost per tonne of CO2 reduced that is significantly higher than the carbon tax at its current level. Interestingly, the clean electricity standard achieves higher and steadier levels of public acceptance, which might be attributed to its lack of visibility, relative to the carbon tax. [ABSTRACT FROM AUTHOR]

This study examines the role of citizen trust in explaining climate policy support, using the case of low-carbon transportation policies in Canada – namely a carbon tax, electric vehicle purchase subsidies, and three regulations. Through a representative survey of 1,552 Canadian citizens collected in 2019, we assess: 1) support and opposition of policies, 2) trust in several key actors, and 3) other factors associated with policy support. The majority of respondents support purchase incentives and most regulations, whereas support is considerably lower for a carbon tax. Factor analysis identifies three different types of trust in key actors: competence, integrity, and value similarity. Fewer than 50% of respondents trust their national or provincial government regarding climate change issues in general or according to each type of trust. Regression analysis assesses the role of trust in policy support, while controlling for respondent values and demographic characteristics. Perceptions of national government "competence" is the only trust variable that is consistently positively associated with support for all five policies tested. Other forms of trust (integrity and value similarity) and trust in the provincial government are not consistently associated with policy support. • Citizen trust depends on perceived competence, integrity, and value similarity. • Canadians report low trust in government regarding climate change. • Perceived competence of national government impacts climate policy support. [ABSTRACT FROM AUTHOR]