Ottawa full-expensing tax break could unlock first oilsands carbon capture investment, Pathways says

Ottawa's new full-expensing deduction for long-term assets may help the Pathways Alliance find the first big investor for its proposed oilsands carbon capture and storage project. The industry group says the upfront capital hurdle is the hardest part, and a faster write-off could make a decade-long project timeline more attractive to investors. The Pathways project is targeting about six million tonnes of annual emissions cuts, with binding agreements between the five producers and governments expected by Nov. 15. But operating cost support remains the tricky piece, because Canada relies on carbon market prices rather than a fixed U.S.-style production tax credit. Developers say they need durable policy signals before they can commit.