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Canada continues to pump oil while setting ambitious climate goals

May 11, 2021

Olt News:

Justin Trudeau went to US President Joe Biden’s climate summit in April with ambitious goals. The Prime Minister of Canada planned to reduce emissions by 45% from 2005 levels by 2030. Yet despite his rhetoric, the country still has a high carbon economy.

Over the past two decades, tens of billions of dollars have been invested in the country’s oil sands – a vast deposit of extra-heavy crude in Alberta. This propelled Canada into the top echelon of world producers and spurred economic growth, which accounts for about 10 percent of gross domestic product.

And the government’s commitment to cut emissions does not appear to be a hindrance to decades of further oil growth. Even in a scenario where global climate action continues to accelerate, the government expects Canada to pump nearly 6 million barrels per day of crude by the mid-2030s, up from 5 million barrels. per day today, according to Canada’s Energy Regulator.

International investors have pulled out of the tar sands over environmental concerns.

More than 50 banks and financial institutions – including UBS, Deutsche Bank and HSBC – have pledged not to fund new oil sands projects, according to the Institute for Energy Economics and Financial Analysis, an Ohio think tank. 

[Staff Report]

More: Canada’s oil addiction tests Trudeau’s green ambitions—Financial Times

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