Carney climate plan at risk as Canadian oil companies stress need to boost production

By Amanda Stephenson
Reuters
March 18, 2026
Category: Carbon, Climate & Bioenergy
Region: Canada

A key plank of Canadian Prime Minister Carney’s climate plan will likely miss its target implementation date, industry sources said, raising new doubts about Canada meeting its environmental goals in the face of higher oil prices and uncertain US trade policy. Carney, a former UN ​climate envoy, committed last fall to negotiating a stronger industrial carbon pricing policy with Alberta by April 1. He is counting on a strengthened pollution pricing scheme to keep ‌Canada’s emission reduction targets on track after rolling back many of his predecessor Trudeau’s climate policies to restore friendlier relations with the oil-and-gas producing province and prioritize economic growth. Two industry sources say these negotiations have been challenging, and that no deal will be struck by the April 1 deadline because large oil sands companies are pushing back on parts of the federal proposal. …Natural Resources Minister Tim Hodgson has acknowledged there may be a slight delay.

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