Will the Canada-Alberta oil pipeline deal increase emissions?

A historic oil pipeline deal between the federal and Alberta governments, set to be announced on Thursday, may boost oilsands production and hinder Canada’s climate targets while potentially enhancing its carbon pricing system. Experts suggest this pricing system could drive emissions reductions if designed effectively. However, analysts warn that the current pricing system in Alberta is not functioning optimally, risking low-carbon investments. Despite potential investments from related carbon capture projects, emissions from oilsands are expected to rise, necessitating more comprehensive decarbonization efforts.

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