Bill 42 on the reduction of greenhouse gases ("GHG") emissions: Québec proposes a cap-and-trade system which distances itself from the Canadian Federal System and moves closer to the one suggested by President Obama

On May 12, 2009, the Minister of Sustainable Development, Environment and Parks of Québec introduced Bill 42 - An Act to amend the Environment Quality Act and Other Legislative Provision in Relation to Climate Change to the National Assembly.

Bill 42 aims at reducing greenhouse gas ("GHG") emissions and establishes:

  • the reporting of GHG emissions by any person or municipality who carries on or operates a business, facility or establishment that emits GHG, that distributes a product whose production or use entails the emission of GHG or that is considered to be such an emitter by regulation;
  • the setting, by order, GHG reduction targets using 1990 emissions as the baseline;  
  • the use of offset credits, of early reduction credits and of any other type of emission allowances determined by regulation for compliance purposes;  
  • other provisions relating to the implementation, management and operation of the cap-and-trade system as well as its harmonization and integration with similar systems implemented by other authorities.  

Measures to implement Bill 42 will be established by regulation or by order.

Click here to see the unabridged text.