Canada Strikes Deal to Start Building Oil Pipeline in 2027.

The article focuses on a carbon pricing agreement between the Canadian federal government and Alberta that facilitates the construction of a new oil pipeline to the west coast, potentially starting in 2027, while scaling back the Pathways carbon capture project. The deal sets a carbon price starting at C$95 per metric ton of CO2 equivalent in 2024, rising to an effective price target of C$130 by 2040, aiming to incentivize emission reductions in the oil and gas sector. Alberta plans to submit the pipeline application by July 2024, with the federal government seeking to designate it as a project of national interest for expedited review. The agreement reduces the original carbon capture targets from 22 million metric tons annually by 2030 to 6 million by 2035 and 16 million by 2045. The deal has drawn mixed reactions, with some industry leaders calling for more competitive regulatory frameworks and Indigenous groups and British Columbia officials opposing the pipeline. [Extracted from the article]