Pulp & Paper · Ontario

OBPS calculator for pulp & paper

Calculate your pulp & paper facility's annual Output-Based Pricing System obligation against the federal performance standard of 0.55 tCO₂e per t pulp. Updated for the May 2026 carbon price schedule.

Performance standard for Pulp & Paper: 0.55 tCO₂e per t pulp

Market kraft pulp benchmark. NBSK (northern bleached softwood kraft) and other sub-grades may have separate sub-sector benchmarks.

Market kraft pulp benchmark. NBSK (northern bleached softwood kraft) and other sub-grades may have separate sub-sector benchmarks.
Federal carbon price under the GGPP Act.
t pulp produced in the compliance year.
tCO₂e from combustion + process for the compliance year.
Annual OBPS obligation · Pulp & Paper · 2026
+$1,425,000

You earn 15,000 tCO₂e in OBPS credits (surplus at the standard).

ALLOWED EMISSIONS
165,000 tCO₂e
300,000 t pulp × 0.55 standard
EMISSIONS INTENSITY
0.50 tCO₂e / t pulp
-9.1% vs standard (0.55)
How OBPS works

Annual obligation = (actual emissions − production × sector standard) × $95/tCO₂e. A positive number is cash you owe; a negative number is surplus credits you can bank or sell.

Illustrative OBPS model · ECCC SOR/2019-313 · not a compliance submission

OBPS calculators for other Ontario sectors

Common questions

What is the OBPS performance standard for pulp & paper?

The federal OBPS performance standard for pulp & paper producers is 0.55 tonnes of CO₂ equivalent per t pulp of production. This benchmark, set under ECCC's Output-Based Pricing System Regulations (SOR/2019-313), defines the emissions intensity below which a facility earns credits and above which it must remit payment at the federal carbon price.

How does the OBPS work for pulp & paper facilities in Ontario?

Also covering kraft pulp, nbsk, paper mills, pulp mill. A facility reports its annual production in t pulp and its total covered emissions in tCO₂e. The OBPS multiplies production by 0.55 to determine "allowed" emissions. The difference between actual and allowed emissions is multiplied by the federal carbon price for the compliance year. A positive result means the facility owes; a negative result means it earned OBPS credits.

How does the May 2026 carbon price freeze affect my pulp & paper facility?

The federal carbon price for industrial emissions (including OBPS) was held flat at $95/tCO₂e in 2026 (no increase from 2025), under the May 15, 2026 federal-Alberta agreement. The price rises to $100/t for 2027–2029, $115/t by 2030, and reaches $130/t by 2035. Facilities below the pulp & paper standard can sell surplus credits; facilities above the standard can buy credits from a registry.

Do small pulp & paper facilities have to participate in OBPS?

OBPS applies to facilities emitting 50,000 tCO₂e or more per year. Smaller pulp & paper facilities may still face federal carbon pricing through the fuel charge (where applicable) or provincial programs. Verify your facility's threshold with ECCC's OBPS facility-level reporting guidance.

Where can I get primary-data carbon accounting for pulp & paper?

VantageHSG ingests real facility documents — MTCs (mill test certificates), fuel slips, LIMS exports, SAP extracts — and turns them into audit-ready carbon ledgers with full source lineage. The mass-balance methodology lets pulp & paper producers substantiate Scope 1, 2, and 3 emissions directly from primary data, which is more defensible than EEIO spend-based estimates.

Need more than a calculator?

Performance standard: 0.55 tCO₂e / t pulp per ECCC SOR/2019-313 Schedule 1. This is an illustrative tool — verify against ECCC's annual publication for binding compliance values.

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