Promoting Greenhouse Gas Emissions Reductions in British Columbia’s Small and Medium Sized Businesses

Small and medium sized businesses make up over 98% of the businesses in British Columbia (BC) and are estimated to account for 28% of the Province’s greenhouse gas (GHG) emissions. These businesses have the potential to reduce their emissions and achieve positive business benefits as a result, yet many face knowledge and resource barriers that prevent them from doing so. In order to reduce these barriers, three policy options were explored: an investment tax credit, a grant, and a consolidated information provision service. These options were developed, analyzed, and evaluated using information obtained from interviews with owners and managers of SMEs and technical experts and a review of existing research and policies. The analysis highlights the trade-offs, strengths, and weaknesses of each policy option and recommends that an information service be implemented followed by a wider survey of SMEs in order to determine the appropriate financial incentive.