Page 7 - NorthAmOil Week 35 2021

NorthAmOil POLICY NorthAmOil

Trudeau makes re-election pledge of

tougher emissions rules for oil companies

CANADA CANADIAN Prime Minister Justin Trudeau cars sold in Canada to be zero-emissions vehicles
said on August 29 that if he is re-elected, his by 2035, with a target of 50% by 2030. The party
government will require the country’s oil and has also pledged to make Canada’s electricity grid
gas industry to achieve certain benchmarks for zero-emissions on a net basis by 2035 and to end
cutting greenhouse gas (GHG) emissions. thermal coal exports by 2030.
Trudeau’s Liberal Party published its platform Trudeau’s prospects at the polls are looking
on August 29, after he called a snap election for less certain as he comes under fire from oppo-
September 20 in mid-August in the hopes of sition parties for calling an election amid the
Canadian Prime regaining a majority. According to the Liberal coronavirus (COVID-19) pandemic. He has
Minister Justin platform, upon re-election, the party would argued that it is because of the pandemic that a
Trudeau’s gamble in require oil and gas companies to set five-year new mandate is needed, to ensure that the public
calling a snap election targets to cut their emissions with the aim of is happy with the Liberals’ handling of the crisis.
looks increasingly risky. reaching net-zero GHG emissions by 2050. The However, the Liberals lost their majority at
programme would begin in 2025. the last election, in 2019, and have since had
“A serious plan for the environment is a plan to rely on support from other parties in order
for the economy,” Trudeau said in a statement to govern. Trudeau may have gambled on the
reported by Bloomberg. Indeed, included in the opportunity to end this reliance, but the gamble
plan is a CAD2bn ($1.6bn) fund to create green looks increasingly risky.
jobs in oil-producing regions. According to the Canadian Broadcasting
Other environmental measures that the Lib- Corp. (CBC), Conservative leader Erin O’Toole
erals are pledging to pursue include requiring all has overtaken Trudeau in recent polls.™

DoI moves towards leasing restart

US THE US Department of the Interior (DoI) is tak-
ing steps towards a court-ordered restart to its
federal oil and gas leasing programme.
US President Joe Biden had suspended the
programme upon taking office to allow the DoI
to carry out a review of its impacts and its value.
There was considerable concern that he would
end oil and gas development on federal land and
in federal waters altogether, given that this was
one of his election pledges. However, oil-produc-
ing states and various other groups challenged
the Biden administration’s leasing moratorium
in court, which led to a judge ordering that lease
sales resume.
The Biden administration is appealing the sale itself is anticipated to be held in October
against the ruling, but has said that it will com- or November.
ply with it. Last week, the DoI filed a court brief This autumn, the BOEM is also set to issue
outlining the next steps that would be taken to and take comments on a draft environmental
comply with the ruling. One of these steps – a impact statement analysing Lease Sale 258 in
submission of the Record of Decision for Lease Alaska’s Cook Inlet.
Sale 257 in the US Gulf of Mexico to the Federal Onshore lease sales for federal acreage are
Register – has now been taken by the Bureau of anticipated to take place in early 2022.
Ocean Energy Management (BOEM). However, given the fact that the Biden
The record of decision was published to the administration is seeking to have the court deci-
BOEM’s website this week. The sale notice for sion overturned, and is trying to steer the US
Lease Sale 257 is expected to be published in Sep- onto a path away from oil and gas more broadly,
tember, according to the DoI’s court brief, and operators may be hesitant to take part.™

Week 35 02•September•2021 www. NEWSBASE .com P7