Today, the BC Government introduced new legislation aimed to
help BC meet its greenhouse gas emission targets by imposing
environmental standards on liquefied natural gas (LNG) export
facilities operating within the province.
The new legislation is aimed to encourage LNG proponents to
design their facilities by improving efficiency or using clean
electricity. However, if facility design improvements or use of
clean electricity do not meet the 0.16 benchmark, proponents will
have to option to either purchase BC-based carbon offsets at market
prices, or contribute to a technology fund at a rate of $25/tonne
The BC Government's plans for the LNG technology fund
include investments into strategies or technologies which include
low-or-no venting equipment, electrification, cogeneration and
waste heat recovery, natural gas vehicles, and exploring carbon
capture and storage or reuse.
The new emissions standards for LNG export facilities follow the
BC Government's promise of "Cleanest LNG in the
World". However, cooling the natural gas for export is only
part of the nascent LNG sector. Much of the life-cycle emissions
from the LNG industry is in the gas fields, the
"upstream". To date, BC has not tabled emissions
reductions regulations for any upstream or midstream natural gas
Of course, purchasing offsets or paying into a technology fund
will not reduce CO2 emissions from the LNG industry. But hopefully
the new legislation will sufficiently incentivize LNG proponents to
use the latest technology available and wherever possible, plug-in
to the nearby BC Hydro transmission grid, where 93% of the
electrons come from CO2 emissions free clean or renewable
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
To print this article, all you need is to be registered on Mondaq.com.
Click to Login as an existing user or Register so you can print this article.
Canada is a constitutional monarchy, a parliamentary democracy and a federation comprised of ten provinces and three territories. Canada's judiciary is independent of the legislative and executive branches of Government.
In Bank of Montreal v Bumper Development Corporation Ltd, 2016 ABQB 363, the Alberta Court of Queen's Bench enforced the "immediate replacement" provision in the Canadian Association of Petroleum Landmen 2007 Operating Procedure...
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).