Carney and Alberta sign carbon deal for new oil pipeline
Canada and Alberta signed a carbon pricing deal to reach C$130 by 2040. The move aims to advance a new crude oil pipeline project slated for a 2027 start.
Canada Prime Minister Mark Carney signed a deal raising Alberta's industrial carbon price to C$130 by 2040 to unlock a new 1-million-barrel-per-day pipeline. The agreement increases the effective credit cost from C$95 per metric ton, aiming to start pipeline construction by September 2027. Carney and Alberta Premier Danielle Smith established these price floors to ensure heavy emitters have a financial incentive to cut pollution.
Friday's agreement in Calgary sets a trajectory for Alberta's industrial carbon market. The price will reach C$100 per ton next year and C$130 in 2036, followed by a 1.5% annual increase.
