Canada, like many other countries, is not on track to meet its 2030 and 2035 Nationally Determined Contribution targets under the 2015 Paris Agreement, even under the “With Additional Measures” scenario. To move us closer to these goals, we need more efficient, predictable, and durable policies to incentivize investment and adoption of decarbonization technologies without impeding competitiveness of Canada’s key industries. With the Federal Government – Alberta MOU signed and an April 1, 2026 date for an agreement on carbon pricing, now is the time to determine how Canada can drive both economic growth and emissions reductions across all sectors. Read our Intelligence Memos Canadian Carbon Pricing Requires Attention to Detail – and Sound Economics or Ottawa and Alberta Have a Deal. Now, Will Private Players Jump In? to learn more about necessary changes to the country’s climate policy landscape.
Definitions: LULUCF: Land Use, Land-Use Change, and Forestry – Emissions from these activities are often associated with reforestation or deforestation and changes in land use. Most often these emissions constitute removals of emissions from the atmosphere.
NBCS: Nature-based Climate Solutions – Protection, management and restoration actions applied to managed and unmanaged ecosystems that provide additional climate change mitigation through carbon sequestration or reduced emissions.
WCI: Western Climate Initiative – The cap and trade system linking Quebec and California.
Sources: Environment and Climate Change Canada. 2025. National Inventory Report 1990 – 2023: Greenhouse Gas Sources and Sinks in Canada. www.canada.ca/ghg-inventory.
Environment and Climate Change Canada. 2025. “Canada’s Greenhouse Gas Emissions Projections.” Canada’s Greenhouse Gas Emissions Projections – ECCC Data Catalogue.
Environment and Climate Change Canada. 2025. “Canada’s 2035 emissions reduction target.” December 12. Canada’s 2035 emissions reduction target – Canada.ca.
