January 7, 2025 (Calgary, Alberta) – “After reviewing the draft emissions cap regulations, it is CAPP’s view the federal government’s approach will directly limit Canada’s oil and natural gas production, significantly infringing on provincial jurisdiction. No government should pursue such value-destroying and patently unconstitutional legislation. This is a federal production cap under the guise of an emissions cap and well outside of federal jurisdiction.
Canada is facing an affordability crisis and a decelerating economy along with the looming threat of a 25 percent tariff from our largest trading partner. Canadians cannot afford to have another layer of policy proceeding that will further deter investment into one of the country’s foundational economic sectors, which would result in less jobs, less opportunities for businesses, less revenues for governments, and a lower standard of living for Canadians.
CAPP and its members do not see an oil and gas emissions cap as an appropriate tool for addressing greenhouse gas emissions. We support market-driven solutions that deliver emission reductions at the lowest cost to Canadians while encouraging investment and growth in Canada’s economy.
Continuing to advance this unconstitutional regulation will only serve to create more uncertainty for oil and natural gas and overall business investment in this country. CAPP does not believe this legislation should proceed any further and is calling on the federal government to halt its progress and focus on ensuring the government continues to operate for Canadians during this time of uncertainty.”
– Lisa Baiton, CAPP President & CEO
For more information, download CAPP’s full emissions cap submission on the draft Oil and Gas Sector Greenhouse Gas Emissions Cap Regulations.