Canada, industry in talks to cement future carbon price hikes

The Canadian government is in talks with heavy industrial emitters about ways to ensure Ottawa's planned carbon price increases will remain in place even if Prime Minister Justin Trudeau's Liberal government is voted out of power.

Federal Natural Resources minister Jonathan Wilkinson told Reuters most of the discussions have focused on "carbon contracts for differences." These contracts set a price on tradable carbon credits, which heavy emitters can get if they reduce pollution. If the market price for the credit falls below the minimum in the contract, the government would make up the difference.