On the Road to Emissions Reductions: Environment and Energy Bulletin on BC's Low Carbon Fuel Standard

This edition of our Environment and Energy Bulletin was written by guest author Selina Lee-Andersen, Counsel, Environmental and Aboriginal Law, McCarthy Tétrault LLP.

As a major contributor of greenhouse gas (GHG) emissions, the transportation sector has been identified by policy makers as a sector in which significant emission reductions can be achieved. One of the policy instruments designed to reduce GHG emissions is the low carbon fuel standard (LCFS), which is intended to reduce the carbon intensity of transportation fuels measured on a life-cycle basis.

This edition of Environment and Energy Bulletin was written by guest author Selina Lee-Andersen, Counsel, Environmental and Aboriginal Law, McCarthy Tétrault LLP.

A number of jurisdictions are considering or have implemented a Low Carbon Fuel Standard. California was one of the first jurisdictions (in 2007), and British Columbia followed suit in 2008 with the introduction of the Greenhouse Gas Reduction (Renewable and Low Carbon Fuel Requirements) Act and associated Renewable and Low Carbon Fuel Requirements Regulation. This paper provides an overview of BC’s regulatory framework with a focus on the province’s LCFS, including the mechanics of its credit scheme, and also provides an update on the state of California’s LCFS program. This paper will also highlight some of the issues that need to be addressed in order to optimize the use of the LCFS on the road to achieving meaningful emission reductions.