Canada extends CCUS tax credit to British Columbia

Support currently only available to projects in Alberta and Saskatchewan to be extended as part of C$520mn package of policy enhancements

Canada plans to extend its CCUS investment tax credit regime to include projects using dedicated geological storage in British Columbia, according to proposals outlined this week in the federal government’s 2023 budget. The current regime, set out last year, is limited to projects in Saskatchewan and Alberta, which have attracted the bulk of recent investment in the technology. Alberta, which is promoting the development of hubs including for blue hydrogen production, has recently become a CCUS hotspot. But British Columbia is also ramping up efforts to attract investment. The government recently overhauled regulation around CCS and highlighted the province’s potential, especially the Wester