Leaving Money on the Table (polluters don't pay?)

photo credit:

Ontario just announced it is delaying - again - the implementation of its system to tackle major global warming polluters. While the province can still hold is head up given its phase out of coal fired power plants and its pursuit of green energy, Ontario's wavering on cap and trade will lead to wavering by other jurisdictions, which is a bad outcome for all of us, considering that the we all share the climate.

Look at it this way: by delaying, Ontario is leaving hundreds of millions - if not billions - of dollars on the table by failing to make polluters pay (for example, by selling pollution permits in a cap and trade system).

For example, even if Ontario made its large polluters pay the too-low current Alberta rate of $15/tonne of global warming pollution, it would collect about $750 million a year. If it applied the current BC rate of $20/tonne to its large polluters, it would collect a billion dollars.

That is money that Ontario is leaving on the table, right now, by failing to move forwards - money that other jurisdictions are collecting. Is the sky falling in those places? No. Is the economy doing well in those places? Just fine.

Collecting this money would not only provide a price signal to polluters to change their ways, but would also generate revenues that could be put towards things like helping consumers become more energy efficient in their households, thereby bringing down power bills. Or, it could help towards the build out of electric vehicle infrastructure, allowing Ontarians to get off increasingly expensive oil from the tar sands and elsewhere.

Climate scientists continue to tell us we cannot delay any longer to bring down global warming pollution. This is not the time for cold feet. Ontario must stop leaving money on the table and move ahead to rein in large polluters.

Matt Price, Campaigns Director