March 2023 – Resilient LLP (formerly DeMarco Allan LLP)

ICVCM Releases Core Carbon Principles

30 March 2023 No Comments By DT Vollmer

The Integrity Council for the Voluntary Carbon Market (ICVCM) has released its long-awaited Core Carbon Principles (CCPs) that are intended to define the criteria for high integrity carbon credits. The 10 CCPs were released today at the European Climate Summit in Lisbon following broad and controversial consultation on draft principles in 2022. They are intended to build additional trust in the voluntary carbon market, unlock investment at scale, and deliver real climate impact at the speed and scale necessary to transition to a 1.5ºC pathway. They apply to carbon crediting programs/standards (CC Program), GHG emission reductions/removals (ERRs) and categories of projects (Methodology Type). This bulletin briefly summarizes the 10 CCPs CCP Sub-ordinate Requirements Applicable Entity Details A. Governance 1. Effective Governance CC Program Note: Programs that have already met the CORSIA requirements will not be required to demonstrate compliance with the detailed Governance CCPs Program governance must ensure transparency, accountability, continuous improvement and credit quality. 2. Tracking CC Program Must have a registry to uniquely identify, record, track credits securely and unambiguously. 3. Transparency CC Program Transparent information, publicly available in electronic format, to enable scrutiny by all audiences. 4. Robust 3rd Party Validation/Verification CC Program Must have/require independent 3rd party validation and verification. B. Emissions Impact 5. Additionality ERRs and Methodology Type ERRs would not have occurred in the absence of the incentive from carbon credit revenue. 6. Permanence ERRs and Methodology Type Permanent or measures in place to address risk of reversal and compensation for same (buffer). 7. Robust Quantification of Emission Reductions/Removals CC Program Thorough process for assessing and approving methodologies with public stakeholder and expert involvement. Robust and conservative quantification based on complete and scientific methods. 8. No Double Counting ERRs No double issuance, double claiming, double use. Starts to address assessment of host country authorization under Article 6 with…

Ontario Launches Clean Energy Credit Registry

29 March 2023 No Comments By DT Vollmer

Ontario’s Ministry of Energy (the Ministry) today announced the launch of the clean energy credit (CEC) registry (see our earlier bulletin on the CEC registry here). Ontario’s Independent Electricity System Operator (IESO) will administer the CEC registry. It is intended to assist businesses to meet environmental and sustainability goals by demonstrating that their electricity has been sourced from clean resources, such as nuclear power, hydroelectric, wind, solar, and bioenergy. The Ministry also announced that proceeds from the sale of CECs held by the IESO and Ontario Power Generation (OPG) will be directed to Ontario’s newly established Future Clean Electricity Fund (the Fund). The Ministry noted that the sale of CECs will be used to reduce costs for electricity ratepayers and fund the construction of clean electricity projects in Ontario through the Fund. OPG is expected to immediately begin offering its CECs for sale, whereas IESO is expected to begin selling its CECs this summer. CECs are electronic certificates used to demonstrate that clean energy has been acquired to meet a voluntary target. Each credit represents 1 MWh of clean energy that has been generated and is intended to be exclusively purchased and claimed (or retired) by a load customer within Ontario. The IESO indicated that eligible generators and loads participating in the sale and purchase of CECs must register for the Ontario Program with Midwest Renewable Energy Tracking System (M-RETS). The M-RETS registry platform enables the creation, transfer and retirement of CECs. The IESO today launched a Request for Proposals to provide brokerage services for the sale of IESO-owned CECs and noted that it intends to make available 2.5 million CECs for sale throughout Ontario in each calendar year, starting in 2023. For further information or to discuss the contents of this bulletin, please contact Lisa DeMarco at lisa@resilientllp.com.

Federal Government Releases 2023 Budget Long on Clean Economy Investment

28 March 2023 No Comments By DT Vollmer

Deputy Prime Minister and Minister of Finance Chrystia Freeland today released Budget 2023: A Made-in-Canada Plan (Budget 2023). Resilient’s bulletin outlines key climate, energy, and Indigenous highlights from Budget 2023. Clean Electricity, Clean Economy Budget 2023 introduces “Canada’s Plan for a Clean Economy” (the Clean Economy Plan) with the following priorities: electrification; clean energy; clean manufacturing; emissions reduction; critical minerals; infrastructure; electric vehicles and batteries; and major projects. The Clean Economy Plan is centred on three tiers of federal financial incentives: (i) an anchor regime of clear and predictable investment tax credits; (ii) low-cost strategic financing; and (iii) targeted investments and programming to respond to the unique needs of sectors or projects of national economic significance. Clean Electricity. Budget 2023 notes that Canada’s electricity demand is expected to double by 2050 and will require electricity capacity to increase by 2.2 to 3.4 times compared to current levels and proposes the following new funding and investments to support clean electricity in Canada: Canada Infrastructure Bank (CIB) will invest at least $10B through its Clean Power priority area, and at least $10B through its Green Infrastructure priority area, at least $20B to support the building of major clean electricity and clean growth infrastructure projects; $3B over 13 years to Natural Resources Canada to: Recapitalize funding for the Smart Renewables and Electrification Pathways Program to support critical regional priorities and Indigenous-led projects, and add transmission projects to the program’s eligibility; Renew the Smart Grid program to continue to support electricity grid innovation; and Create new investments in science-based activities to help capitalize on Canada’s offshore wind potential, particularly off the coasts of Nova Scotia and Newfoundland and Labrador. funding to advance the Atlantic Loop and support ongoing negotiations with provinces and utilities to identify a clear path to deliver the project by 2030. Clean Economy. Budget 2023 proposes the following new funding and support for…

IPCC Finalizes Synthesis Report of the Sixth Assessment Report

23 March 2023 No Comments By DT Vollmer

The Intergovernmental Panel on Climate Change (IPCC) announced the finalization of its Synthesis Report of the IPCC Sixth Assessment Report (AR6) during its 58th Session held in Interlaken, Switzerland, March 13-19, 2023. The IPCC also published a Summary for Policymakers (the Summary) in advance of the release of the Synthesis Report, as well as a Longer Report and a Presentation. The Synthesis Report integrates the main findings of the AR6 and provides an overview of the state of knowledge of climate change, its widespread impacts and risks, and climate change mitigation and adaptation. The Synthesis Report has been highly anticipated and is the last of the Sixth Assessment Report products, due for release in time to inform the 2023 Global Stocktake under the United Nations Framework Convention on Climate Change. It provides an unprecedented level of scientific analysis and indicates that there are numerous, feasible, and effective options currently available to reduce greenhouse gas (GHG) emissions and adapt to human-caused climate change. Media reports from the New York Times emphasized that the Earth is likely to cross a critical global warming threshold by 2030 without rapid and drastic reductions in global GHG emissions. Reuters, quoting from the Summary, noted that “there is a rapidly closing window of opportunity to secure a livable and sustainable future for all”. This bulletin briefly highlights key findings of the Synthesis Report included in the Summary. The Summary is divided into the following three sections: Current Status and Trends, which covers the historical and present period. Future Climate Change, Risks, and Long-Term Responses, which addresses projected futures up to 2100 and beyond. Responses in the Near Term, which considers current international policy timeframes, and the time interval between now and 2030-2040. Current Status and Trends. The Summary notes that: Human activities, principally through emissions of GHGs have unequivocally caused global warming, with global surface temperature reaching 1.1°C above 1850–1900 in 2011–2020,…

International Women’s Day

8 March 2023 No Comments By DT Vollmer

This International Women’s Day (IWD), Resilient LLP celebrates the remarkable social, economic, cultural, and political achievements of women and girls in Canada and around the world. IWD 2023’s theme, #EmbraceEquity, reminds us that we must continue to challenge gender stereotypes, call out discrimination, draw attention to bias, support diversity, and seek out inclusion as we all work towards achieving gender equality. Resilient is proud to be a woman-led organization that is gender, 2SLGBTQIA+, racially and culturally inclusive and committed to providing clients with advice that benefits from the diverse and inclusive perspectives of our professionals. We encourage everyone to amplify the voices of women and girls – today and every day – and participate in one of the many events supporting IWD as we seek to create a more just, equal, and equitable world. For further information or to discuss the contents of this bulletin, please contact Lisa DeMarco at lisa@resilientllp.com.