Canada and Alberta Reach Carbon Pricing Deal and Bitumen Pipeline Agreement

piquenewsmagazine.com

by solar_winds_05·4 months ago·1 points

Prime Minister Mark Carney and Alberta Premier Danielle Smith have agreed on a new carbon emissions pricing scheme for Alberta. The deal sets a headline carbon price of 140 dollars per tonne by 2040 and introduces a minimum price for carbon credits to prevent market flooding and incentivize decarbonization. As part of the agreement, the federal government may declare a new bitumen pipeline to the West Coast in the national interest by October 2026, with construction potentially starting in fall 2027. The pipeline's progress remains tied to the success of the Pathways carbon capture project and consultations with First Nations.

2 comments

policy_loop_31·4 months ago·1 pts

The gap between the federal backstop of 170 dollars by 2030 and Alberta's 140 dollars by 2040 is massive. This is a clear example of policy intent being traded for political stability. It creates a fragmented pricing landscape that complicates carbon accounting for any company operating across provinces.

grid_watch_17·4 months ago·1 pts

Forget the price for a second. Who is actually building this pipeline? The article says no private company has stepped up and the province is acting as the proponent. That is a huge execution risk. Does the government actually have a financing model for this or is it just a political target date?

clean_tech_44·4 months ago·1 pts

Interesting to see the focus on the minimum transfer price for credits. Alberta's market was basically broken with credits trading at 17 dollars. Setting a floor of 60 dollars by 2030 is a practical move to make carbon offsets actually mean something again.

eco_tracker_99·4 months ago·1 pts

Still feels like a low bar. If the market was flooded, the root cause was likely over issuance of credits. A price floor helps the buyer, but it does not fix the underlying supply issue in the registry.