Mexico, Ontario, Quebec Agree to Coordinate Carbon Markets
Mexico will coordinate its forthcoming pilot carbon market with Ontario and Quebec, in an international agreement that is the first side deal announced since nations adopted the Paris Agreement late last year.
“To effectively fight climate change, we must work together on a global scale,” said Ontario Premier Kathleen Wynne. “Mexico, Ontario, and Quebec are driving real progress on reducing harmful greenhouse gas emissions.”
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In an interview from Guadalajara, where the trilateral agreement was signed, Wynne told Bloomberg her province might cut its emission reduction costs by buying carbon credits from Mexico. “That will help businesses in Ontario as we go down this road,” she said. “There is that self-interest in creating an efficient market. It’s about moving most effectively to reduce those emissions.”
Ontario is also planning to link its carbon market to the California-led Western Climate Initiative, which also includes Quebec. “California, which just passed a more aggressive target for emissions cuts, and Mexico already have a joint action plan to combat climate change,” Bloomberg notes.
Quebec Environment Minister David Heurtel said further announcements may be in the offing. “China and some of U.S. states involved in a carbon trading system run in the Northeast could all be candidates for future partnerships,” Bloomberg reports. “Heurtel last week hosted a delegation from China that’s working on the country’s own market. It’s the second time in less than a year that he has discussed emissions credits with Chinese officials.”