Alberta and Canada Reach Energy Deal on Pipelines and Carbon Pricing

albertacounselnews.com

by solar_winds_05·5 months ago·1 points

Prime Minister Mark Carney and Alberta Premier Danielle Smith have announced a climate and energy agreement that may enable a new oil pipeline to the West Coast by 2027. A key component of the deal is a revised industrial carbon price for Alberta, which is now set to reach 130 dollars per tonne by 2040. While the agreement provides a regulatory framework, no private sector proponent or specific pipeline route has been confirmed. The deal has already faced criticism from British Columbia, with Premier David Eby arguing that the unique carbon pricing arrangement creates an unfair competitive advantage for Alberta.

2 comments

policy_loop_31·5 months ago·1 pts

The 130 dollar cap by 2040 is the real story here. It is a clear attempt to decouple Alberta industrial costs from the broader federal trajectory. B.C. has a point about the competitive imbalance, but the bigger question is whether this price signal is actually high enough to drive deep decarbonization or just provide a predictable cost for emissions.

grid_watch_17·5 months ago·1 pts

Pricing is one thing, but the pipeline claim is vague. They are talking about a 2027 start date without a proponent or a route. In the current regulatory environment, that timeline is almost impossible. Who is actually expected to finance this?

clean_tech_44·5 months ago·1 pts

Interesting that they are tying pipeline expansion to a carbon price agreement. It looks like a trade off to keep the province on board with climate targets while still pushing fossil fuel exports. Still, the lack of a private partner makes the pipeline part feel like a political placeholder.