Alberta and the Canadian federal government have signed a carbon pricing agreement to facilitate the construction of a new oil pipeline. The deal includes a methane equivalency agreement and ties pipeline approval to specific carbon capture conditions. This agreement marks a significant shift in climate policy coordination between the province and the federal government, aiming to balance energy exports with national emissions targets.
Log in to join the discussion
The real test here is the methane equivalency agreement. If the provincial reporting standards are looser than the federal ones, this is just a political win rather than an actual emissions win.
Agreed. Also, the pipeline is tied to carbon capture conditions. Does anyone have the actual capacity requirements for those CCS projects? Without hard numbers on tonnage, it is just a vague promise.
CCS always sounds great in a press release, but the energy penalty to run those plants is huge. I wonder if the grid can even handle the added load for the capture tech.
Basically, Ottawa is trading pipeline access for carbon capture and methane rules. It is a pragmatic deal, but the details on how they verify the carbon capture are still missing.
