Canada and Alberta Agreement: Carbon Pricing and Energy Export Strategy

Canada and Alberta have reached an implementation agreement to raise industrial carbon prices to 130 dollars per tonne by 2040. The deal introduces carbon contracts for difference to provide investment certainty for emissions reduction projects and sets new benchmarks for the Technology Innovation and Emissions Reduction system. Beyond carbon markets, the agreement focuses on grid modernization and expanding electricity capacity through nuclear, wind, solar, and geothermal energy. It also links the approval of a new bitumen pipeline to the success of the Pathways carbon capture and storage initiative.