Alberta’s Minister of Environment and Protected Areas, Rebecca Schulz, has strongly opposed the federal government’s proposed oil and gas emissions cap regulations, calling the plan “bad policy” and warning of its potential economic consequences.
In a statement, Schulz argued that the cap, which aims for a 35 per cent reduction in emissions by 2030, could result in a production cut of at least one million barrels of oil and gas per day. She further warned that this could lead to the loss of up to 150,000 jobs across Canada, as the proposal may adversely affect industries reliant on these resources.
Schulz said Alberta’s analysis shows that the emissions cap would act more as a restriction on oil and gas production than a legitimate strategy for reducing emissions.
The minister also raised concerns that it could lead to higher global emissions, as the cap would reduce Canadian production while leaving gaps that other countries could fill with less stringent environmental standards.
In 2023, Alberta’s energy sector reached a record USD 156 billion in trade. Schulz emphasized the importance of this trade for energy security in North America, noting that nearly all natural gas entering the U.S. comes from Canada. She expressed concern that the federal regulations could harm this important trade relationship and undermine the competitiveness of Canadian industries.
Schulz called on the federal government to reconsider its position, stating that Alberta is prepared to challenge the regulations in court. She believes the production cap violates Canada’s constitution.
The issue remains contentious, with Alberta continuing to oppose the proposed emissions reductions as discussions between provincial and federal governments evolve.