Question Period Note: Cap and Cut Emissions from Oil and Gas Sector

The Government published draft regulations to implement the oil and gas emissions cap in fall 2024.

• We are committed to positioning Canada as an energy and clean energy superpower. Canada’s leadership in decarbonizing oil and gas production will help us continue supplying fossil fuels globally in a future that prioritizes lower-carbon sources of production.

• Canada’s largest oil and gas companies are already committed to achieving net-zero emissions by 2050.

• The Government will work with the sector and with provinces and territories to promote clean innovation and the adoption of technologies to reduce emissions, including carbon capture, utilization, and storage.

• The proposed Oil and Gas Sector Greenhouse Gas Emissions Cap Regulations were published November 9, 2024, in Canada Gazette Part 1 for a 60-day public consultation period. The government received significant feedback from provinces and territories, industry, and other stakeholders. The government is reviewing these inputs and engaging responsively.
• Although the world is on a low-carbon trajectory, fossil fuel demand is expected to continue for several years, with reputable forecasts suggesting it could peak within a decade. With the right investments, and a clear focus on avoiding the lock-in of emitting technologies, Canada can produce the cleanest oil and gas products in the world and capitalize on its reputation as a nation committed to both decarbonization and social license in order to diversify markets and support the energy transition.

Non-applicable