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Fraser Research Slams Canada N2O Emissions Strategy

Fraser Research Slams Canada N2O Emissions Strategy
Jul 29, 2024
By Jean-Paul McDonald
Assistant Editor, North American Content, Farms.com

Canada Agriculture Sector Under N2O Threat

A new report by Fraser Research, authored by Kenneth P. Green, says "Costs and Benefits of Reducing Nitrous Oxide Emissions from Canadian Agriculture," raises concerns about the government's plan to tackle this greenhouse gas.

Canada's agricultural sector contributes only 4.5% of the country's total greenhouse gas (GHG) emissions, and a mere 0.07% globally.

Yet, the government has proposed a plan with a hefty price tag - exceeding $1.6 billion - to reduce nitrous oxide (N2O) emissions specifically from agriculture.

The report argues that this initiative offers minimal benefit. Even with the proposed reductions, Canada wouldn't achieve its ambitious net-zero emissions target by 2050.

Additionally, the plan could burden the agricultural sector with extra costs of $283 million annually, potentially leading to higher consumer prices.

The report traces the genesis of this plan back to the Canadian Net-Zero Emissions Accountability Act of 2021 and the subsequent 2030 Emissions Reduction Plan.

This plan outlines a broad goal of reducing emissions by 40% below 2005 levels by 2030. Included within this plan is a target for a 30% reduction in fertilizer emissions (primarily N2O) by 2030.

While concrete regulations haven't been established yet, the report highlights discussions between the government and the agricultural industry group, Fertilizer Canada.

These discussions explore the potential for government support of N2O reduction techniques proposed by the industry. However, even with these techniques, achieving the full 30% reduction target seems unlikely.

The report emphasizes that sound public policy should address real problems effectively and prioritize urgent issues. Here, it questions whether pursuing such a small reduction in a minor contributor to global emissions aligns with these principles.

"Canada’s nitrous oxide control policies, under Canada’s Net-Zero 2050 greenhouse gas policies has few of the characteristics of sound public policy outlined above," the report concludes.

The Fraser Institute recommends “Government would do well to impose a moratorium on plans to intervene in Canadian agriculture as proposed in its plans in pursuit of net-zero greenhouse gas emissions in Canada by 2050, and reconsider whether chasing small reductions of a Canadian-generated greenhouse gas that represents a small, and diminishing share of global emissions is a sound use of public funds, or a sound public policy.”


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