Oil and Gas and Canada’s Energy Policy

Two other reports were released in advance of the Premiers meetings in Quebec City. Crafting an Effective Canadian Energy Strategy: How Energy East and the Oil Sands Affect Climate and Energy Objectives by the Pembina Institute reviews Canadian experience with carbon pricing, emissions levels, and states that any energy strategy will only be effective if it takes into account the emissions footprint of new infrastructure projects, including the proposed Energy East pipeline project. The report also recommends that the Council of the Federation create an advisory committee modelled on the disbanded National Round Table on the Environment and the Economy. The report is also available in French.

 Another study, released by Environmental Defence and Greenpeace, makes similar arguments and asserts that “continuing to expand tar sands production makes it virtually impossible for Canada to meet even weak carbon reduction targets or show climate leadership”. Read Digging a Big Hole: How tar sands expansion undermines a Canadian energy strategy that shows climate leadership.

 In April, Environment Canada released the UNFCC-mandated report, National Inventory Report 1990-2013: Greenhouse Gas Sources and Sinks in Canada. The report states that the Energy industry was responsible for 81% of Canada’s emissions in 2013. 

Oil and Gas Sector Contributed Almost One Quarter of Canada’s Greenhouse Gas Emissions

On April 11th, a Friday afternoon, Environment Canada quietly released its annual national greenhouse gas emissions inventory, as required by the UN Framework Convention on Climate Change (UNFCCC). National emissions decreased by 0.3% between 2010 and 2012, but overall trends confirm that Canada is on track to significantly miss its commitment to a 17% decrease by 2020. Most provinces have cut their overall emissions, although Alberta’s have increased by 7% between 2005 and 2012, mainly because the oil sands experienced an 80% emissions increase. The oil sands alone now account for 9% of total Canadian emissions, while the oil and gas sector overall contributes about one quarter.

Signs of progress are emerging in the manufacturing and transportation sectors, and electricity emissions intensity is decreasing, largely attributable to efficiency improvements and the Ontario coal phase-out, which reduced the province’s electricity emissions by 56%.

Reaction from P.J. Partington, an analyst at the Pembina Institute, calls for Canada to make good on its promise to introduce national oil and gas regulations. See National Inventory Report 1990-2012: Greenhouse Gas Sources and Sinks in Canada at the Environment Canada website at: http://www.ec.gc.ca/ges-ghg/default.asp?lang=En&n=3808457C-1&offset=6&toc=show (English version), and http://www.ec.gc.ca/ges-ghg/default.asp?lang=Fr&n=3808457C-1 (French version).

For P.J. Partington’s blogs, go to “Big shiny trends: Canada’s new emissions numbers” at: http://www.pembina.org/blog/789; “Oil Sands Talking Point collides with Reality” at: http://www.pembina.org/blog/787; and “Getting Back in Gear: Oilsands Climate Performance” at: http://www.pembina.org/blog/788. The U.S. released its UNFCC National Inventory documents in the same week, showing that U.S. emissions are now 10% below 2005 levels, the lowest they have been in 20 years. Go to: http://www.epa.gov/climatechange/ghgemissions/usinventoryreport.html.