CIAC Welcomes Proposed Enhancements to Alberta’s TIER System 

September 18, 2025

The Chemistry Industry Association of Canada (CIAC) welcomes  the Government of Alberta’s recently proposed updates to Alberta’s Technology Innovation and Emissions Reduction (TIER) system. 

Announced by Premier Danielle Smith and Minister of Environment and Protected Areas Rebecca Schulz, these proposed amendments represent an important step toward attracting investment in critical technologies aimed at decarbonizing Alberta’s industrial sector. 

CIAC and its members look forward to learning more about the specific design elements of the new compliance pathway that would  recognize on-site emissions reduction investments as a new way for industry to comply with the TIER system in addition to the current options available, which include paying into the TIER fund or buying credits. Reinvesting compliance revenues directly into facilities making carbon compliance payments is a welcomed additional compliance option and will help advance decarbonization in Alberta’s chemistry sector while maintaining competitiveness. Clear, predictable policy design is essential to ensure carbon pricing revenues are efficiently recycled back to industrial emitters. This approach strengthens the carbon price signal, drives tangible emissions reductions, and enables companies to reinvest capital in transformative decarbonization projects.  

Next Steps 

The proposed amendments will be drafted and incorporated into the TIER regulation in fall 2025. The Ministry of Environment and Protected Areas is developing a new standard to guide the compliance pathway, with the finalized regulation to be announced through an Order in Council . 

CIAC looks forward to working with the Government of Alberta to ensure these changes deliver on their potential—accelerating emissions reductions while reinforcing the competitiveness of Alberta’s industrial sector.