Alberta Nears Carbon Pricing Agreement Amidst Oil Sands Expansion Plans
Alberta is close to finalizing a carbon pricing agreement that could elevate costs for heavy emitters to C$130 per metric ton. This is critical for the Pathways carbon capture project, which aims to reduce emissions from Canada's oil sands.
Theia Market Signal Identification - AI Assisted
Alberta is nearing a carbon pricing agreement that would increase costs for heavy emitters to C$130 per metric ton, a necessary step for the Pathways carbon capture project proposed by industry in 2022. The province previously froze the carbon price in May 2022, while current trading prices range from C$20 to C$40 per metric ton, insufficient to drive investment in emissions reduction.
The April 1 deadline for cost-sharing negotiations related to the broader carbon-capture initiative was missed, raising concerns about the alignment of climate action and economic growth objectives. Alberta plans to present a pipeline proposal by July 1 to enhance oil production, contingent on securing commitments from oil sands companies for the Pathways project, as emphasized by government sources and industry experts.
Comments