The Canadian Net-Zero Emissions Accountability Act (CNZEAA) does what its name promises, which is hold the government accountable when it comes to climate change. Instead of vague commitments, this law mandates written plans, measurable reports, and public transparency.
But what does the CNZEAA really do, and how does it help address climate change? We'll answer these, and more, in this article. For more information, you can consult the best energy lawyer for electricity near you.
What is the Canadian Net-Zero Emissions Accountability Act?
The CNZEAA is a federal law that lays down Canada's plan for achieving its net-zero greenhouse gas (GHG) emissions goal by 2050. For this, the CNZEAA establishes a framework which ensures that the government stays accountable and transparent as it works toward this goal.
Enacting the CNZEAA was influenced by Canada's ratification of the Paris Agreement and reports under the Greenhouse Gas Pollution Pricing Act. The CNZEAA is similar to the accountability laws of other countries, many of which are also influenced by the Paris Agreement.
The CNZEAA was introduced as Bill C-12 in November 2020 and received Royal Assent in June 2021.
Watch this video of the government's announcement of the CNZEAA back in 2020:
Learn more about the Canadian Net-Zero Emissions Accountability Act by reaching out to the best energy lawyers for electricity in Canada as ranked by Lexpert.
Purpose of the CNZEAA
The CNZEAA serves two main purposes:
- to require the government to set national targets for reducing GHG emissions based on the best scientific information available
- to promote transparency, accountability, and timely government action on GHG emission targets
What are the key provisions of the Canadian Net-Zero Emissions Accountability Act?
The CNZEAA sets legal requirements that bind current and future governments to plan, report, and adjust Canada's path to net-zero by 2050. Every government must follow the same framework and be answerable to Parliament and the public until net-zero goals are achieved.
Generally, the CNZEAA governs the following:
- setting up Canada's net-zero emissions targets and plans
- requiring progress reports from the government on these net-zero plans
- establishing the Net-Zero Advisory Body
We'll discuss these matters below. You can also check out this interview from the then Canadian Heritage Minister about the Canadian Net-Zero Emissions Accountability Act:
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Net-zero emissions targets
The CNZEAA sets Canada's target as net-zero emissions by 2050 or earlier. To achieve this, the government must set a national GHG emissions target every five years – referred to as milestone years (2030, 2035, 2040, and 2045).
In setting the GHG emissions target, the CNZEAA states that:
- the 2030 target is Canada's Nationally Determined Contribution under the Paris Agreement
- each target must be as ambitious as the most recent nationally determined contribution, still under the Paris Agreement
- the government must consider the following when setting these targets:
- the best scientific information available
- Canada's international commitments regarding climate change
- Indigenous knowledge
- submissions and reports by the Net-Zero Advisory Body
Greenhouse gas emissions reduction plan
The government must also create a GHG emissions reduction plan, which outlines how these targets will be achieved. In creating this plan, the CNZEAA requires the government to consider the:
- United Nations Declaration on the Rights of Indigenous Peoples (UNDRIP)
- submissions by the Net-Zero Advisory Body
The CNZEAA also provides for the contents of the emissions reduction plan, such as:
- Canada's most recent official greenhouse gas emissions inventory
- the emissions reduction measures the government intends to take
- timetable for implementing each measure and strategy
- initiatives by provincial, territorial, and municipal governments
Public participation
For both the creation of the GHG emissions target and reduction plan, the CNZEAA requires public consultation with the:
- provincial, territorial, and municipal governments
- Indigenous peoples
- Net-Zero Advisory Body
This public consultation or participation requirement also applies before amending these existing targets or plans by the government.
Reports on net-zero targets and plans
After setting targets and plans, the CNZEAA mandates the government to report regularly on progress.
Here are the reports that the Canadian Net-Zero Emissions Accountability Act requires from the government:
- reports of the results of every public participation
- progress report regarding each milestone year
- assessment report, still in relation to each milestone year
Progress and assessment reports together create a two-layer accountability system. Progress reports outline government actions and plan effectiveness, while assessment reports provide independent evaluation of whether efforts are sufficient to meet GHG emissions targets.
We'll discuss these reports below.
Progress report
In summary, a progress report must include:
- updates on achieving the GHG emissions target
- next year's GHG emissions projections
- most recent official GHG emissions inventory
- updates on the implementation of the planned measures
Progress reports on the 2030 target must include specific updates on progress toward the 2026 interim objective of a 20 percent reduction. These reports must show how cooperative measures with provinces are being implemented. If projections show that the target will not be met, the reports must detail what additional measures could help close the gap.
For the 2025 progress report, the Canadian Net-Zero Emissions Accountability Act states that it must contain an assessment of the 2030 GHG emissions target.
Assessment report
An assessment report also includes the details of a progress report. Apart from those, it may include:
- a statement if Canada has achieved its national GHG emissions target for that milestone year
- the reasons for not achieving the GHG emissions target for that milestone year or by the year 2050
- adjustments to the GHG reduction plans to meet subsequent national GHG emissions targets
- the actions that the government is currently taking, or in the future, to achieve the GHG emissions targets it has failed
Tabling and publication of reports
The reports and plans that the CNZEAA requires must be also tabled and published by the government:
- the GHG emissions reduction plan must be tabled in each House of Parliament
- both progress reports and assessment reports must be tabled and published
- amendments to the GHG emissions reduction plan must also be tabled
Tabling means submitting the report to Parliament, while publication can be on a Government of Canada website or other appropriate means. In some cases, publication also follows the tabling.
These requirements ensure that Canadians are informed about government's actions toward net-zero goals.
The Net-Zero Advisory Body
As established by the CNZEAA, the Net-Zero Advisory Body (NZAB) provides independent expert advice to the Minister of Environment and Climate Change. This can be about the government's targets, emissions reduction plans, and strategies to reach its net-zero emissions.
First launched in February 2021, the NZAB was formally established as an independent advisory when the CNZEAA was enacted. Currently, the members of the NZAB come from different areas of climate science, economics, technology, and other related fields. It is the Governor in Council who appoints the members of the NZAB upon the recommendation of the Minister.
Aside from its mandate to advise the government, the NZAB must submit an annual report to the Minister regarding its activities.
Who administers the Canadian Net-Zero Emissions Accountability Act?
Several government bodies are involved in the administration of the CNZEAA, including:
- Minister of Environment and Climate Change:
- holds the primary responsibility for administering the CNZEAA and is accountable to Parliament for reporting on each target's progress
- must set the national emissions reduction targets and emissions reduction plan for each milestone year and announce them at least ten years in advance
- in-charge of the CNZEAA requirements on public participation, tabling, and publication when it comes to the reports, targets, and plans
- Commissioner of the Environment and Sustainable Development:
- provides independent oversight by examining and reporting on the government's climate mitigation implementation at least once every five years
- recommends how to improve the effectiveness of the government's implementation of its emissions reduction plan
The Canadian Net-Zero Emissions Accountability Act: Accountability starting now
The Canadian Net-Zero Emissions Accountability Act transformed climate commitments from political promises into legal requirements. This shift from vague goals to measurable actions creates real consequences for non-compliance.
For businesses in Canada, understanding this law is important. Regulations about clean electricity, vehicle emissions, oil and gas, and building efficiency are being implemented. Consulting an energy lawyer can help businesses prepare for these changes."
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