Page 9 - NorthAmOil Week 47 2020

NorthAmOil COMMENTARY NorthAmOil

Limited clarity on Canada’s

net-zero path

Canada’s government has unveiled vague details of steps the country

would take to achieve net-zero emissions, but the energy regulator

still sees a role for oil and gas

CANADA THE Canadian government has proposed a bill The bill, which was put forward by Canadian
that sets out a path towards net-zero greenhouse Prime Minister Justin Trudeau on November
WHAT: gas (GHG) emissions by 2050. However, the bill 19, did not attach any additional spending to
Canada is stepping up its in its current form does not provide an enforce- meet these targets, nor did it provide an enforce-
decarbonisation efforts, ment mechanism and is limited on details. ment mechanism or further details of how the
but oil and gas is forecast Additionally, the fact that Canada has missed five-year targets were to be met. Instead, it
to continue playing a its environmental targets in the past has led to seeks to formalise a requirement for the federal
major role in the fuel mix scepticism over how much impact the legislation government to set regular goals and report on
over the long term. could have. progress.
Meanwhile, a new report released around This comes after Trudeau made climate action
WHY: the same time by the Canada Energy Regula- a goal during his re-election campaign last year.
The Canada Energy tor (CER) envisions oil and gas continuing to However, as his Liberal Party now rules with a
Regulator does not expect account for most of the fuel mix over the long minority government, he would need support
oil and gas use to be term unless there is an accelerated energy from at least one other party to make the bill
reduced to less than 60% transition. law. This may prove challenging, given that the
of the fuel mix without bill has attracted criticism from both sides of
an accelerated energy Limited clarity the political spectrum. Conservatives pointed
transition. Despite this, there is now slightly more clarity on to Trudeau’s poor track record of meeting envi-
how Canada would progress towards net zero – ronmental targets, while Green Party leader
WHAT NEXT: or at least step up decarbonisation efforts even Annamie Paul described the bill as “smoke and
Ottawa’s plans to achieve if the net-zero emissions target remains elusive. mirrors”.
net-zero emissions by Under the bill’s proposals, Ottawa would be “There are no targets and no specific actions
2050 would be difficult to required to set new targets, as well as a plan for designed to put Canada on a pathway to net
enforce in their current achieving them, every five years between 2030 zero. In short, there is no plan,” she said, add-
form. and 2050. ing that without penalties the government

Canadian Prime
Minister Justin Trudeau
made climate action
a goal during his re-
election campaign last
year.

Week 47 26•November•2020 www. NEWSBASE .com P9