An official panel appointed by the Government of Alberta has recommended more emission cuts for the oil sands industry.
Tasked with advising on the implementation of the 100 megatonnes (mt) per year carbon emissions limit, the Oil Sands Advisory Group (OSAG) has called for early actions to encourage additional emissions reductions.
The panel was formed last year and mandated to develop a framework for addressing local and regional environmental issues.
In order to ensure lower emissions, the report also made recommendations on requirements for new facilities and expansions to use the best available technology economically achievable (BATEA).
Another provision in the report requires companies to submit non-binding greenhouse gas management plans.
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By GlobalDataThe government is required to publish a ten-year forecast, which will include annual forecasted and reported emissions.
In the event that oil sands emission are beyond the 100mt limit within the year, the 50th to 100th percentile of highest emission intensity facilities will share one-third of the reduction requirement and the 75th to 100th percentile would share two-thirds of the requirement.
According to the report, facilities exceeding the upper ceiling of the emissions are required to pay a penalty of $200 per tonne.
The panel comprises members from industry and environmental organisations, as well as indigenous and non-indigenous communities.
The government noted that it will carry out consultations with stakeholders on the findings before proceeding with policy design and implementation.
Image: Companies violating the emission control threshold are expected to pay a penalty of $200 per tonne. Photo: courtesy of rsvstks/freeimages.com.