Canada Must Keep its Promise: Finalize the Oil and Gas Emissions Cap Now

In 2021, The Government of Canada made a bold and necessary commitment to limit and reduce greenhouse gas emissions (GHG) from the oil and gas industry – the largest source of GHG pollution in Canada. The promise to cap oil and gas emissions came from the understanding that Canada can’t meet its climate targets if oil and gas emissions don’t decrease. Now, nearly four years later, we are still waiting for the emissions cap to be finalized. 

It’s time for the new federal government to follow through on its promise and finalize the oil and gas emissions cap. Across the country, Canadians expect their government to take strong climate action. A recent Abacus poll showed that 7 out of 10 Canadians across the country want to see limits being placed on oil and gas pollution to avoid the economic and health risks associated with climate change. Even in Alberta, the majority of the population supports regulating oil and gas pollution. 

Canada’s oil and gas industry is responsible for nearly a third of Canada’s GHG emissions. While other parts of the economy have made strides in reducing pollution, oil and gas emissions have risen by roughly 80 per cent since 1990. Without addressing this elephant in the room, there is no chance that Canada can do its part in the global fight against climate change, which continues to worsen.  

In Canada, extreme weather is becoming more frequent and more devastating. From wildfires and floods to droughts and crop failures, the cost of climate inaction is growing by the day. According to the Insurance Bureau of Canada, last year was the costliest year for severe-weather-related losses at $8.5 billion. At the same time, Canadians are also facing increasing costs of living as grocery, healthcare and home insurance costs are all ballooning because of climate change. 

Meanwhile, the oil and gas industry continues to rake in billions of dollars while jeopardizing our future. Further delay in finalizing the oil and gas emissions cap reinforces a dangerous signal: that powerful polluting companies can get their way and continue to delay climate action while ordinary Canadians pay the price. 

A strong emissions cap isn’t just good for the climate – it’s smart economic policy. Global demand for oil and gas is expected to peak by 2030. Countries around the world are investing in renewable energy and decarbonization. By putting a firm emissions cap in place now, Canada can provide certainty to investors, drive innovation and support workers and communities in building a diversified and resilient economy. 

Furthermore, an oil and gas emissions cap places the onus of reducing emissions squarely on the ones responsible – the oil and gas companies. Of course, the oil and gas industry would much rather have Canadians pay for inefficient distractions like carbon capture and storage through federal subsidies. However, that goes against the well-established principle in Canada that a polluter must pay for cleaning up its pollution.    

The federal government is under pressure to cancel this regulation, but the newly elected Prime Minister Carney must find the political will to stand up to the industry pressure and put in place the much-needed emissions cap. 

Finalizing the oil and gas emissions cap isn’t just a test of climate leadership. It is a test of political integrity. The Canadian government made a promise in 2021. Now they must deliver. 

It is time for Canada to implement an oil and gas emissions cap immediately.

CANADA: MAKE POLLUTERS PAY AND STOP BIG OIL FROM POLLUTING OUR CLIMATE