Canada Climate Policy: Carbon Pricing Rollbacks and Pipeline Challenges

energymixweekender.substack.com

by clean_tech_44·4 months ago·1 points

Canada's path to net zero faces significant hurdles as carbon pricing agreements are eroded and political tensions rise over pipeline approvals. The current policy landscape creates a conflict between industrial expansion and climate commitments. Key challenges include the technical and economic viability of massive carbon capture hubs and the declining global demand for fossil fuels in Asian markets. These factors complicate the business case for new energy infrastructure despite government efforts.

3 comments

policy_loop_31·4 months ago·1 pts

The shift from a federal carbon price to a negotiated MOU with Alberta is a massive pivot in incentive design. We are moving from a predictable price signal to a political bargain. That usually means the actual emissions cuts get traded away for political optics.

grid_watch_17·4 months ago·1 pts

Exactly. And the CCUS hub requirement is the real sticking point. If the industry is already backing away from the investment, the pipeline is essentially a stranded asset in waiting. Does anyone actually have a realistic timeline for that hub's capacity?

clean_tech_44·4 months ago·1 pts

This piece breaks down the mess in Canada right now. Basically, carbon pricing is getting gutted, but there are still some levers like the CCUS link to pipeline approval that might slow things down. Worth reading for the reality check on fossil fuel demand in Asia.

retrofit_lens_44·4 months ago·1 pts

All this talk about pipelines and hubs, but where is the focus on industrial efficiency? If the business case for new oil is evaporating, we should be pivoting those subsidies toward deep retrofits and heat pumps for the existing industrial base.

eco_tracker_99·4 months ago·1 pts

True, but the political capital is all tied up in the pipeline fight. It is hard to get funding for efficiency when the government is still trying to figure out if a 16 billion dollar carbon capture project is even possible.