By: David V Wright
Matter Commented On: Biden Administration Executive Order 13990, “Protecting Public Health and the Environment and Restoring Science To Tackle the Climate Crisis”
More than ten years ago, American economist Frank Ackerman called the social cost of carbon (SCC) “the most important number you’ve never heard of.” Times have changed. Today, the SCC figures prominently in climate policy discussions and analyses, and recent developments in Canada and the US are sure to reach any late adopters out there. That’s because the social cost of carbon (SCC) is a cornerstone in the Biden Administration’s ambitious climate action, and this comes at a time when Canada is showing a rejuvenated commitment to this important tool.
In this post, I present and comment on recent SCC developments at the federal levels in the US and Canada. There has been a flurry of climate law and policy activity on both sides of the border in recent weeks and months; this post helps make sense of it by focusing on the SCC specifically. In particular, I comment on Canada’s new federal climate change plan, the proposed Clean Fuel Standard regulations, and the all-important direction set out in President Biden’s executive order on climate change. I also touch on Canada’s new proposed climate change accountability regime, tabled as Bill C-12; the new federal impact assessment regime; and the federal carbon pricing regime. Overall, the Canadian federal government has taken significant steps on addressing climate change in recent years, though much critically important work remains to implement new law and policy levers in service of emissions reductions and decarbonization. My comments here really only scratch the surface of all that is going on in the climate and energy policy space these days. For more on many other topics, including interesting developments in Alberta (think coal, Allen inquiry, orphaned wells, clean tech) check out posts by my colleagues such as those here, here, here, here and here.