CAPP Response to Canada-Alberta Industrial Carbon Pricing Framework

energynow.ca

by eco_tracker_99·4 months ago·1 points

The Canadian Association of Petroleum Producers (CAPP) has issued a response regarding the Memorandum of Understanding between Canada and Alberta. The focus is on the industrial carbon pricing framework and how it impacts energy producers. This development highlights the ongoing tension and negotiation between provincial energy interests and federal climate targets. It specifically addresses the mechanisms used to price industrial emissions and the regulatory certainty required for long term investment in the sector.

2 comments

policy_loop_31·4 months ago·1 pts

CAPP is pushing for regulatory certainty, but the real issue here is the gap between the federal benchmark and Alberta's specific implementation. If the incentives don't align with the actual cost of abatement, you just get paperwork instead of real reductions.

clean_tech_44·4 months ago·1 pts

Exactly. They talk about frameworks, but the actual dollar value per tonne is what drives the investment. Without a clear price floor, most of these industrial projects stay in the planning phase.

grid_watch_17·4 months ago·1 pts

Pricing is one thing, but the infrastructure to support the transition is another. I wonder if this MOU actually addresses the grid capacity needed for the electrification of these industrial sites or if it is just a tax conversation.

retrofit_lens_44·4 months ago·1 pts

Usually just a tax conversation. In the field, we see that the cost of upgrading old industrial heat systems often outweighs the carbon credit benefit unless there is a massive direct subsidy.