McKenna focused on cutting methane
Environment minister says move will give Alberta oilpatch a competitive edge
The federal government remains committed to curbing methane emissions from the oilpatch, Environment Minister Catherine McKenna said in Calgary on Thursday, but the new rules under development will make the Canadian oil and gas industry more competitive, not less.
Following a speech to the Calgary Chamber of Commerce, McKenna told reporters she discussed the issue of methane regulation during a private meeting with energy sector leaders earlier in the day.
“I had a great discussion with industry,” McKenna said. “We’re moving forward with industry, we’re going to develop thoughtful regulations, because we know it’s the right thing to do. It will reduce emissions, but it’s also a real opportunity for Canada.”
The Canadian government has pledged to reduce methane emissions from the oil and gas sector by 40 to 45 per cent below 2012 levels by 2025. One year ago, Prime Minister Justin Trudeau and former U.S. president Barack Obama jointly announced plans to reduce methane emissions as part of a broader North American clean energy and climate strategy. However, since the election of President Donald Trump, U.S. Republican lawmakers in Congress have repealed the Obama initiative.
The Canadian Association of Petroleum Producers said the Canadian industry could be put at a disadvantage if it’s forced to go it alone in taking on added costs from reducing methane.
McKenna said addressing methane leakage is one of the cheapest ways of reducing greenhouse gas emissions. The government believes new limits on methane emissions along with other efforts to tackle climate change — including carbon pricing and investments in clean technology — are a competitive advantage for Canada, she said.
“This is about jobs, this is about growth. As we move into the clean growth century, everyone’s going to want to be the leader,” she said.
McKenna said jurisdictions around the world are taking notice of Canada’s, and Alberta’s, efforts on the climate file — and the result has been new economic opportunities such as the signing of a freetrade agreement with Europe.
“I was told directly by the commissioner on environment and energy from the European Union that the only reason that agreement was able to get over the finish line was that we were serious about climate action,” McKenna said.
Ensuring that protecting the environment goes hand in hand with economic growth and job creation will require innovation, McKenna said, but the government is committed to partnering with the energy sector. She said the government has already committed to investing $1 billion over four years to support clean technology in the natural resource sectors
“This is an opportunity for Canadian companies to find cleaner ways to develop our natural resources,” McKenna said. “And if there’s anyone who knows how to innovate, it’s Alberta. It’s Alberta and Alberta companies.”
McKenna did not provide a time frame for when the new methane rules will be published, but the government previously indicated draft regulations will come this spring.
This is an opportunity for Canadian companies to find cleaner ways to develop our natural resources