Statement from Aly Hyder Ali, Oil and Gas Program Manager, Environmental Defence

Ottawa | Traditional, unceded territory of the Algonquin Anishinaabeg People – We welcome the Government of Canada’s Oil and Gas Greenhouse Gas Pollution Cap draft regulation, which aims to curb pollution from the oil and gas industry. This is a historic step towards holding this industry accountable for its outsized role in driving climate change.

The release of the draft pollution cap rules brings Canada one step closer to being the first nation in the world to put binding limits on oil and gas pollution.

The oil and gas industry is the largest source of emissions in the country, accounting for over 30 per cent of Canada’s emissions. The industry has continued to produce more pollution each year, canceling out efforts made by other parts of the economy. This underscores the need for government intervention.

Oil and gas pollution isn’t just fueling climate change – it’s also raising Canadians’ cost of living. While companies post record profits, Canadians are paying more for essentials like groceries, insurance, and health care as a result of both the climate crisis as well as the affordability crisis driven in part by fossil fuel profits.

The pollution cap shifts the responsibility for addressing pollution back onto an industry that has long profited at Canadians’ expense and forces companies to do their part to clean up their own mess.

However, for the cap to be truly effective, the draft regulations must be strengthened. The rules must take effect sooner than the proposed 2030 timeline, and align with Canada’s climate goal of a 40-45 per cent emissions reduction by 2030. Loopholes which allow companies to avoid having to reduce their own pollution, like offsets and a decarbonization fund, must also be closed.

Collaboration from provincial governments is also crucial to the cap’s success. Climate impacts cross borders, and so must climate action. Provincial support is necessary to reinforcing federal initiatives, as opposition only undermines national goals and puts the health and economic well-being of all people in Canada at risk.

It is essential that the federal government urgently transition from draft to final regulations so pollution reductions can begin. Swift implementation will be crucial for Canada to meet its international climate commitments, while safeguarding the future for Canadians.

Canada has set the stage – now it’s time to act. There is no more time for delay. Canada’s pollution cap can be the benchmark for true accountability and a healthier planet.

Background Information

N.B. In the framework released in December 2023, the regulation is called an emissions cap. In today’s announcement the regulation is now called the oil and gas greenhouse gas pollution cap.

ABOUT ENVIRONMENTAL DEFENCE (environmentaldefence.ca): Environmental Defence is a leading Canadian environmental advocacy organization that works with government, industry and individuals to defend clean water, a safe climate and healthy communities.

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For more information or to request an interview, please contact: Allen Braude, Environmental Defence, media@environmentaldefence.ca