Feds sign first carbon contract for difference with Calgary based Entropy
Global News
A Calgary carbon capture company has signed a first-of-its-kind carbon offtake agreement with the federal government.
A Calgary carbon capture company has signed a first-of-its-kind carbon offtake agreement with the federal government, a significant milestone that some say could help unlock future private-sector investments in decarbonization projects.
The federal Liberal government announced Wednesday that it has signed a deal with Entropy Inc., a privately owned company that has developed a unique modular carbon capture, utilization and storage technology.
The agreement will see the federal Canada Growth Fund — which is making a $200 million direct investment in Entropy — also provide the company with a large-scale, long-term fixed-price carbon credit offtake framework.
Under the terms of the deal, the Canada Growth Fund has agreed to purchase up to 185,000 tonnes of carbon credits from Entropy for a 15-year term at an initial price of $86.50 per tonne.
The federal government promised in its recent fall economic statement to introduce a carbon contracts for difference framework in order to give certainty to companies considering investing in emissions reducing technology.
Carbon contracts for difference reduce the risk for businesses investing in clean technologies by guaranteeing the price of carbon for a fixed period of time.
In other words, if the federal carbon price is cancelled by a future government or does not increase as projected, having a contract for difference in place gives companies the assurance that their pricey investments in decarbonization technologies will still be worthwhile.
“When you have a project that costs hundreds of millions of dollars, it takes a decade or so to pay out. So the carbon tax is not a suitable instrument to incentivize that investment,” said Entropy CEO Mike Belenkie in an interview.
Run 3 Space | Play Space Running Game
Traffic Jam 3D | Online Racing Game
Duck Hunt | Play Old Classic Game
Environment and Climate Change Canada has issued heat warnings and thunderstorm watches for parts of the province, as well as a thunderstorm warning for Stirling, Tweed and Madoc.
X CEO Linda Yaccarino posted a positive message Wednesday about her tenure at the company formerly known as Twitter and said the "best is yet to come."
Wildfires in parts of the western United States have forced evacuations at several national parks, including that of the Grand Canyon.
Nova Scotia’s provincial opposition parties are criticizing the government for continuing to keep a year-old report on environmental racism out of the public eye.
The Public Health Agency of Canada says 84 people have gotten sick since April, and there have now been nine hospitalizations.
The Siksika Nation says it's about more than just environmental concerns, saying development of the area would put its culture at risk.
United Nations officials warn that if the funding isn’t replaced, it could lead to more than four million AIDS-related deaths and six million more HIV infections by 2029.
Canada's Natural Resources Minister, Tim Hodgson, said that Ottawa has not been presented yet with any private sector plan to build a new oil pipeline to the west coast.
Out of the roughly 540 people with Fabry in Canada, the researcher says about 100 are in Nova Scotia.
A B.C. research and conservation group has crafted a new free course aimed at helping protect whales by educating boaters about laws and safety.
PHAC officials will continue to visit Oxaro's VISP offices “on short notice and in-person to ensure that performance standards are met,”a confidential source told Global News.
Two of the five coal companies, who were suing the province for $16 billion over its mining policy flip flop, have reached a settlement agreement with the province.
Jared Towers was in his research vessel on two separate occasions watching killer whales off the coast of Vancouver Island when the orcas dropped their prey directly in front of him and his colleagues.