Canadian Climate Institute report says Alberta energy deal will barely cut emissions

A new report from the Canadian Climate Institute finds that the Alberta energy deal signed by Prime Minister Carney and Premier Smith will do almost nothing to reduce Canada's emissions. The analysis says the agreement's relaxed stringency rates on industrial carbon pricing will create an oversupply of cheap credits after 2030, weakening the incentive for companies to actually cut pollution. The report warns that the system may end up delivering paper compliance rather than real reductions. The study points to a drop in carbon credit prices from $40 to $30-35 per tonne after the deal details were announced. The author, Dave Sawyer, says the floor price is at risk because producers can easily beat weak benchmarks and stockpile credits. He also notes that Carney's idea of buying up credits to create scarcity likely won't work given the oversupply. The report concludes the deal leaves Canada's long-term emissions trajectory largely unchanged.