This page provides information about the Technology Innovation and Emissions Reduction (TIER) system specific to the conventional oil and gas industry.
The Government of Canada applied a federal fuel charge in Alberta on January 1, 2020 under the Greenhouse Gas Pollution Pricing Act (GGPPA). The fuel charge applies to fossil fuels used in the province.
On January 1, 2020, the Government of Alberta introduced the TIER Regulation – the province’s improved approach to reducing greenhouse gas emissions from large industrial facilities which replaced the Carbon Competitiveness Incentive Regulation.
The GGPPA includes provisions to exempt facilities regulated under provincial policies that meet federal criteria. TIER meets federal requirements and protects regulated facilities from the GGPPA, while achieving emissions reductions using an approach that is cost-efficient and tailored to Alberta’s industries and priorities.
The TIER regulation automatically applies to facilities that emitted 100,000 tonnes CO2e or more per year of greenhouse gases (GHGs) in 2016, or a subsequent year.
To protect industry from the costs of the federal fuel charge, the Government of Alberta is also allowing eligible conventional oil and gas facilities with less than 100,000 tonnes CO2e per year to voluntarily enter into the TIER system. Additional information about eligibility and the application process is available on this page.
A facility regulated under TIER may apply for an exemption from the federal GGPPA requirements and would only be subject to the compliance requirements of the provincial TIER system.
- Federal Fuel Charge Exemption Application Fact Sheet (PDF, 214 KB)
The TIER regulation was amended in July 2020 to allow additional sectors to voluntarily opt-in to the regulation and reduce administrative burden for regulated conventional oil and gas facilities.
- Technology Innovation and Emissions Reduction Regulation
- Order in Council (223/2020) – TIER Regulation Amendments (July 2020) (PDF, 230 KB)
- Ministerial Order: Technology Innovation and Emissions Reduction Fund Credit Amount – November 2020
- Ministerial Order: Technology Innovation and Emissions Reduction Regulation High-Performance Benchmark and Benchmark Unit Order – April 2021
- Ministerial Order: Technology Innovation and Emissions Reduction Regulation High-Performance Benchmark and Benchmark Unit Order – June 2021
Conventional oil and gas aggregation application
The owner of two or more conventional oil and gas facilities may apply to have those facilities regulated under the TIER regulation by applying to form a conventional oil and gas facility aggregate.
An aggregate facility is a combination of conventional oil and gas facilities that are treated as a single facility. The aggregate facility treatment streamlines the reporting and compliance process and simplifies the administrative requirements of the TIER system.
- Conventional Oil and Gas Facility Aggregate Application Form (XLSM, 2.4 MB)
- Guidance for Creating Boundaries (PDF, 2.4 MB)
- Aggregate Application TIER Fact Sheet (PDF, 214 KB)
Federal fuel charge exemption application
As a person responsible for a facility regulated under TIER, you can register as an emitter with the Canada Revenue Agency (CRA). Registering as an emitter with the CRA will allow you to obtain an exemption certificate, which you can provide to your fuel supplier(s). This will allow deliveries of fuel to be made to you without the application of the federal fuel charge at the time of delivery if the fuel is for use at your facility, or any of the individual facilities of your aggregate facility, subject to certain conditions.
Additional information on how to register as an emitter with the CRA:
Updates to existing aggregates
The following form should be used to request additions or removals of conventional oil and gas facilities and/or individual Petrinex facilities from existing aggregates.
Removals take effect for the following calendar year. Additions will be reviewed and approved as received.
- Aggregate Facility Change Form (XLSM, 2.4 MB)
Application for a facility-specific benchmark
Alberta Environment and Parks has changed the default 2020 benchmark year for conventional oil and gas facilities from 2019 to 2020. This means that true-up obligation for 2020 will be 10% of an aggregate facility’s stationary fuel combustion emissions.
As a result of this decision, regulated aggregate facilities are advised not to prepare and submit a TIER benchmark application in 2020 as 2020 compliance reporting will serve this purpose. For facilities that would like to use 2019 as their benchmark period, the benchmark application form below may be used.
Additional information about the benchmark years and benchmarking process for 2021 and subsequent compliance periods is under development and will be provided in future communications.
The following forms may be used by an aggregate facility to submit a facility specific benchmark application or request a benchmark unit. As well, a benchmark unit option 2 support workbook provides additional guidance to those aggregate facilities that are selecting option 2 for their benchmark unit approach.
- Aggregate Facility Specific Benchmark Application Form (XLSM, 5.0 MB)
- Aggregate Facility Benchmark Unit Request Form (XLSM, 1.9 MB)
- Aggregate Facility Benchmark Unit Option 2 Support Workbook (XLSM, 130 KB)
General information about benchmarks for aggregate facilities can be found in the Standard for Developing Benchmarks.
The following instructional video provides an overview for filling out the above forms.
Compliance reporting documents
All facilities are required to submit verified annual compliance reports yearly by June 30 of the following year. Reference materials will be available on this page.
- Standard for Completing GHG Compliance and Forecasting Reports
- TIER Aggregate Compliance Reporting Form – 2019 Benchmark (XLSM, 4.8 MB)
- TIER Aggregate Compliance Reporting Form – 2020 Benchmark (XLSM, 4.9 MB)
The following instructional video provides an overview for filling out the 2020 benchmark version of the compliance form.
Applications for facility specific benchmarks and compliance reports require third party verification.
Verification training requirement
Lead verifiers, peer reviewers, and designated signing authorities completing verifications for 2020 compliance reports submitted by June 30, 2021 and benchmark applications submitted by September 1, 2021 are required to complete the TIER-specific verification training. Training is encouraged but is not mandatory for verification of emission offset project reports submitted in 2021.
If you are a designated signing authority, lead verifier or peer reviewer and have not taken the training in one of the live sessions please review the training below and submit a quiz to [email protected].
- Verification Training Session Recording
- Verification Training: Questions and Answers form the live training sessions (PDF, 127 KB)
- Verification Training Quiz (PDF, 200 KB)
Quantification methodologies for aggregate facilities
Quantification methodologies for aggregate facilities are provided in the Alberta Greenhouse Gas Quantification Methodologies (AQM).
Notification of changes
All facilities are required to submit a notification of certain changes to the facility as set out in section 25 of the regulation. These include changes to the person responsible for an aggregate or a conventional oil and gas facility that is part of an aggregate, if a conventional oil and gas facility has emissions greater than 100,000 tonnes of carbon dioxide equivalent or if a conventional oil and gas facility is decommissioned.
The following form should be used for this purpose:
- TIER Notification Form (XLSM, 346 KB)
The form may also be voluntarily used to notify of a change in the certifying official or reporter for person responsible
Conventional oil and gas aggregate facilities deadlines
December 1, 2020
- Application for change in person responsible for 2021
- Adding a facility to an existing aggregate for 2020
- Removing a facility from an existing aggregate effective January 2021
- Application to revoke aggregate designation for 2021
- Application for new aggregate designation for 2021
January 15, 2021
- Benchmark Unit application for 2020 aggregates
- Benchmark application for 2020 aggregate if using 2019 baseline
June 30, 2021
- Compliance reporting for 2020 aggregates
September 1, 2021
- Benchmark application for 2021
December 1, 2021
- Adding a facility to an existing aggregate for 2021
- Removing a facility from an existing aggregate effective January 2022
- Application to revoke aggregate designation for 2022
- Application for new aggregate designation for 2022
Drafts for comment
No drafts are available for comment at this time.
Stakeholder presentations and other background information
- Aggregate Update for Person Responsible Fact Sheet (PDF, 219 KB)
- Conventional Oil and Gas Sector TIER Fact Sheet
- Aggregate Application TIER Fact Sheet (PDF, 214 KB)
- Federal Fuel Charge Exemption Application TIER Fact Sheet (PDF, 214 KB)
- TIER Regulation Fact Sheet (PDF, 224 KB)
- TIER Opt-in Fact Sheet (PDF, 423 KB)
2020 Compliance Workshop (March 2021)
Other reference materials
- TIER: Conventional Oil and Gas Webinar – October 2020 (PDF, 870 KB)
- TIER Amendments – Conventional Oil and Gas Webinar – August 2020 (PDF, 310 KB)
- Draft Quantification and 2020 Benchmarking Webinar (PDF, 647 KB)
- TIER Webinar (PDF, 603 KB)
- TIER Conventional Oil and Gas Session (PDF, 942 KB)
- TIER Cost Estimator Tool (XLSX, 88 KB)
Connect with Alberta Environment and Parks about the TIER regulation:
Email: [email protected]
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