CALGARY — Alberta’s energy minister says the newly announced carbon tax deal between Ottawa and Alberta as part of the memorandum of understanding (MOU) is aimed at striking a “sweet spot” between reducing emissions and maintaining investment competitiveness with the global market.Speaking via Zoom on Tuesday to the third annual Energy Connections Canada conference in Calgary, Minister Brian Jean framed the carbon tax system and emissions reduction as increasingly tied to global energy demand and investor expectations, saying the future of energy isn’t about “choosing less energy, it’s about choosing a better supply of energy.”“Global markets are increasing their emphasis on carbon intensity of energy supply, and Alberta's strong production performance demonstrates our capacity to responsibly grow supply and meet sustained international demand in some places where no other producer would be able to supply,” Jean said..UPDATED: Smith, Carney announce new West Coast pipeline plan, industrial carbon tax deal.The minister added that he thought the recent MOU between Premier Danielle Smith and Prime Minister Mark Carney, which revealed Alberta will submit a formal proposal for a BC coast crude oil pipeline to the federal Major Projects Office by July 1, 2026, and a new carbon tax set to be $130 per tonne by 2035, could restore investor confidence after years of regulatory uncertainty.“Investors need confidence, and when projects meet environmental, safety, and consultation requirements, decisions will be made within clear and predictable timelines,” he said.“So, we can move forward with projects that diversify our export markets and grow the Canadian economy for generations to come.”Jean now believes Alberta has found a balance that will allow companies to continue investing while still addressing emissions concerns.“If the TIER price isn’t right, we’ll have less investment,” Jean said, referencing Alberta’s Technology Innovation and Emissions Reduction (TIER) system..MACLEOD: Trading US markets for EU carbon taxes and open border chaos — peak Laurentian stupidity.“It's a balance... And we’re trying to find that balance to make sure our product is in high demand, and I think that we have found that sweet spot.”Jean said Alberta’s ultimate goal is to give international markets — such as Asia and Europe — confidence that the province is serious about lowering carbon intensity while continuing to be a reliable long-term supplier of oil and gas.Alberta, the minister told the audience, has invested more than $1.8 billion into carbon capture utilization and storage projects, with more than 70 million tonnes of carbon dioxide permanently stored so far.“We don't believe that long term it will dissuade people from investing in Alberta,” he said.“We think it will encourage them to do so and, as [carbon capture] technology gets better, it will become much more cost effective, and then we will be the only game in town that actually takes this part of the industry seriously, which will give us greater opportunities in the future.”
