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ARCHIVED - RPP 2006-2007
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Section 3: CERIA

Canada Emission Reduction Incentives Agency

The Canada Emission Reduction Incentives Agency (CERIA) was established as a result of the 2005 federal budget, which allocated $1 billion over five years to the Agency.

The purpose of the Agency was to provide incentives for the reduction or removal of greenhouse gases through the acquisition, on behalf of the federal government, of eligible domestic and international emission reduction credits.

Although Parliament had approved funding for CERIA, the Agency's funding was frozen pending the approval of the details of the Agency's program design and implementation under its original mandate and the Agency never became operational.

The new Government has stated that it will not purchase international emission credits. Further, the new Government is developing a new approach to address clean air and climate change and therefore the Agency is being wound down.

CERIA Table 1: Departmental Planned Spending and Full-Time Equivalents


Forecast Spending 2005-2006 Planned Spending 2006-2007 Planned Spending 2007-2008 Planned Spending 2008-2009
Purchases of domestic credits generated in Canada by the domestic offsets system (see note below)   24.7    
Purchases of international credits generated in other countries that are parties to the Kyoto Protocol (see note below)   24.7    
Budgetary Main Estimates (gross)   49.4    
  Less: Respendable Revenue   --    
Total Main Estimates   49.4    
Adjustment
2005-2006 Supplementary Estimates and technical adjustments: Reprofiling of 2005-2006 funding
  9.5    
Total Adjustment   9.5    
Total Planned Spending   58.9    
Plus: Cost of services received without charge   1.0    
Net Cost of Program   59.9    
         
Full Time Equivalents   44    

Note: Although originally included in the Main Estimates, the Government will not purchase emissions credits.

CERIA Table 2: Program Activities


2006-2007 ($ millions)
Program Activities Operating Capital Grants Contributions and Other Transfer Payments Gross Respendable Revenue Total Adjustments Total Planned Spending
Purchases of domestic credits generated in Canada by the domestic offsets system (see note below) 24.7           24.7 4.8 29.5
Purchases of international credits generated in other countries that are parties to the Kyoto Protocol (see note below) 24.7           24.7 4.7 29.4
Total 49.4           49.4 9.5 58.9

Note: Although originally included in the Main Estimates, the Government will not purchase emissions credits.

CERIA Table 3: Voted and Statutory Items Listed in the Main Estimates


2006-2007 ($ millions)
Vote or Statutory Item Truncated Vote or Statutory Item Wording Current Main Estimates Previous Main Estimates
(15) Program expenditures and payments for the acquisition of eligible credits 48.7 --
S Contributions to employee benefit plans 0.8 --
  Total Department 49.8 --

CERIA Table 4: Services Received Without Charge


($ millions) 2006-2007
Net Planned Spending (Total Main Estimates plus Adjustments as per the Planned Spending Table) 58.9
Plus: Services Received without charge  
Accommodation provided by Public Works and Government Services Canada (PWGSC) 0.6
Contributions covering employers' share of employees' insurance premiums and expenditures paid by Treasury Board of Canada Secretariat (excluding revolving funds) Employer's contribution to employees' insured benefits plans and expenditures paid by TBS 0.3
Worker's compensation coverage provided by Social Development Canada --
Salary and associated expenditures of legal services provided by the Department of Justice Canada --
Total Services Received Without Charge 1.0
2006–2007 Net cost of Department 59.9

Totals may differ between and within tables due to the rounding of figures.

The Agency obtains financial service, material management, informatics as well as compensation and benefits under a shared service agreement with Environment Canada.