Canadian Net-Zero Emissions Accountability Act

Canada Framework Law

Laws and Policies

CCLW

CCLW national policies

Order Fixing the Day on Which Section 23 of the Canadian Net-Zero Emissions Accountability Act Comes into Force: SI/2023-8

Approved by the Senate

Section 23 comes into force

The Canadian Net-Zero Emissions Accountability Act, which received royal assent on 29 June 2021, sets out Canada's federal emissions reduction targets in law and creates new mechanisms for legislative oversight of action to meet them. Section 6 sets out a long-term objective of achieving net zero emissions by at least 2050. Section 7 adopts Canada's existing NDC target of 2030 as a legal target, which may be amended from time to time, and then requires that additional targets be set for the "milestone years" of 2035, 2040, and 2045 at least 10 years ahead of each milestone year. All targets must be progressively more ambitious. For each target, the government must publish a plan detailing measures to meet that target. Section 8 provides that both the best available scientific evidence and Indigenous knowledge should be taken into account when targets are set. Section 9 requires the Minister to develop a greenhouse gas emissions reduction plan for 2030 within 6 months of the passage of the Act, including an interim objective for 2026. Further provisions are made for the contents of the plan and for public participation in the target setting process. Subsequent provisions ensure that all targets and progress reports are tabled in parliament and made public. Section 14 sets out a timetable for progress reports until 2030 and ahead of each milestone year. Section 16 sets out reporting requirements in the event of a missed target. Sections 20--22 establish an Independent Advisory Body, which is mandated to provide advice on both target setting and emission reduction plans, as well as any other relevant issues. Members are appointed by the Government on a part time basis for a renewable term of up to 3 years. Section 23 requires the Minister of finance to prepare an annual report on financial risks and opportunities associated with climate change. This section came into force on 12 April 2023. Finally, Section 24 provides that the Commissioner for the Environment and Sustainable Development must examine and report on implementation measures at least once every five years, with the first report due no later than 2024.

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An aim to achieve a quantifiable outcome within a given time-frame, set by an institution such as a national government.

Policy instruments are techniques or tools used by governing authorities to promote certain policies in order to achieve predetermined goals. Put simply, instruments are how a government tries to achieve its goals, with this taxonomy being focused on national policy instruments.

Risk is the potential for adverse consequences resulting from the dynamic interplay between (climate-related) hazards, exposure, and vulnerability of affected human or ecological systems.

Groups  of people who are adversely affected by climate change or the response to it

A set of principles, processes, and practices that build economic and political power to shift from an extractive economy to a regenerative economy.

Renewable energy means all forms of energy produced from renewable sources in a sustainable manner.

Fossil fuel is a generic term for non-renewable energy sources such as coal, fossil gas, and oil (including crude oil, and petroleum products), that can be used for electricity and heat generation. Fossil fuels are hydrocarbons formed from pressurised and heated organic material buried over millions of years.

Molecules in the atmosphere that play a key role in the greenhouse effect by trapping heat radiating from Earth’s surface.

Area of the economy in which actors engage in identical or related activities.

In human systems, the process of adjustment to actual or expected climate change and its effects, in order to moderate harm, increase resilience or exploit beneficial opportunities. In natural systems, the process of adjustment to actual climate change and its effects; human intervention may facilitate adjustment to expected climate change and its effects.

The management and allocation of funds, assets and investments to meet various objectives

Slow onset events evolve gradually from incremental changes over many years or from increased frequency or intensity of recurring events. As defined in the Cancun Adaptation Framework (2010), slow onset events include risks and impacts from rising temperatures, desertification, biodiversity loss, land and forest degradation, glacial retreat, ocean acidification, sea level rise, and salinization.

A target to reduce the prevalence of a greenhouse gas over a specific time frame

Social and cultural groups that share collective ancestral ties to the lands and natural resources where they live, occupy or from which they have been displaced

People with different national or cultural traditions from the dominant population

Either money or something of monetary value is transferred between two or more organisations, people or countries.

This sector includes firms and individuals offering specialised expertise in fields such as law, accounting, consulting, science and engineering.

Conditions that enhance the feasibility of adaptation options. Enabling conditions include finance, technological innovation, strengthening policy instruments, institutional capacity, multi-level governance and changes in human behaviour and lifestyles.

The activities of industries involved in the production, distribution, and sale of energy, including electricity, gas, and renewables.

A commitment to balance GHG emissions with removal by a certain point in time, effectively reducing the net emissions to zero

The release of heat-trapping gases, primarily from human activities such as burning fossil fuels, agriculture and industry.

Activities of government agencies and institutions that provide public services, enforce laws and manage public resources.

Social inclusion is the process of improving the terms on which individuals and groups take part in society—improving the ability, opportunity, and dignity of those disadvantaged on the basis of their identity.

Canadian Net-Zero Emissions Accountability Act

Target

Risk

Impacted group

Just transition

Greenhouse gas

Economic sector

Adaptation/resilience

Finance