Manage The Cost of Carbon
Is your business ready to combat the price of pollution?
Carbon Pricing – What is it?
On April 1, 2019, the Canadian Government introduced carbon pollution pricing to encourage individuals and businesses to adopt cleaner technologies that help reduce energy use and greenhouse gas emissions. Carbon pricing is a cost imposed on the burning of carbon-based fuels such as coal, oil, and gas. Through carbon pricing, the Canadian Government is expecting to reduce emissions by 50-60 million tons by 2022, a goal that aligns to Canada’s Paris Agreement pledge to reduce Co2 emissions by 30% from 2005 levels by 2030.1
How does this affect my business?
Ontario businesses and service industries must now account for the price of pollution. Businesses that rely on carbon-based fuels can expect an increase to the price of natural gas in Ontario by 3.9 cents per cubic metre, increasing to 5.9 cents in 2020, 7.8 cents in 2021, and 9.8 cents per cubic metre in April 2022.2 The province is anticipating multi-million dollar increases to some of Ontario’s key industries, including:
| 2019-2020 | 2022-2023 | |
|---|---|---|
| 24 Colleges & 23 Universities | $9.5M | $24M |
| 146 Hospitals | $10.9M | $27.2M |
| 750 Nursing & Retirement Homes | $6.7M | $16.7M |
To assist businesses, the Canadian Government has introduced the Climate Action Incentive Fund Rebate Program (the “program” or the “CAIF”) as part of the Pan-Canadian Framework on Clean Growth and Climate Change. The program is set to deliver $1.5 B in 2019-2024 to help small- and medium-sized businesses be more energy-efficient and take action to reduce pollution, with $102M set aside for Ontario.4
Through the CAIF, Canadian businesses can take advantage of the following government incentives:
SME Project Stream
The SME (Small- and Medium-sized Enterprise) initiative assists these businesses to undertake retrofit projects.
- Rebates ranging between 25% to 50% on the cost of new energy-efficient equipment such as heating and cooling equipment and high-efficiency boilers
- Funding of up to 25% of eligible costs for new energy-efficient retrofits and other projects to improve energy efficiency, reduce their energy use and save money
Rebates will be limited to a maximum amount of $20,000, per applicant, with no minimum.5
MUSH Retrofit Stream
The retrofit stream supports Municipalities, Universities, Schools, and Hospitals (MUSH) to start energy-saving and efficiency projects.
- Approximately $10 million will be made available to assist MUSH-sector industries to tackle energy-saving and efficiency projects
- Funding levels will range from $20,000 and $250,0006
For more information about Climate Action Incentive Plan click here.
At Enercare, we are committed to empowering action for a greener tomorrow by providing accessible and sustainable solutions to make your business less carbon-intensive. Our consultants can help you get the most from government rebates, incentives, grants, and special promotions for your business.
Here are just some of the rebates and incentives programs offered by Enbridge:
Commercial Enbridge Incentives