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“(Carney) keeps saying that there’s an absolute commitment to achieving net zero by 2050, but there’s no plan,” Chris Severson-Baker, Pembina’s executive director, said in an interview.

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“I expect that a lot of Canadians are not going to be very happy with the notion that we’re just simply not going to meet climate targets,” Severson-Baker said.

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Since taking power, Carney has distanced himself from many signature environmental policies championed by the previous government, including the consumer carbon tax, which he ended.

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In his address on Tuesday, he said “we’re developing options for a second oil pipeline to the West Coast,” in order to get better prices for Canadian oil in Asian markets.

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Carney said nobody knows how long the global economy will rely on conventional energy. But, until then, as much of the fuel as possible should come from Canada.

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Renewables should be part of the equation, say expert, economist

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Warren Mabee, director of the Queen’s Institute for Energy and Environmental Policy in Kingston, Ont., said the Carney government has taken a pragmatic approach to the energy sector, offering support for a new pipeline while reaffirming a commitment to control emissions.

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Still, Mabee said he’s waiting for renewables to play a bigger role in the national plan.

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“I think that we’re starting to get a better sense of (Carney’s) strategy now, which is, green up the energy supply at home, build out what he sees as the technology of the future, but make some bank off of the more conventional technologies that provide so much to the GDP,” Mabee said.

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The memorandum of understanding on energy laid the groundwork for several other agreements between the Alberta and federal governments, including an industrial carbon price, methane equivalency and environmental impact assessments. It’s also expected to open the door to a new export pipeline for oil, allowing for considerable growth in the oilsands.

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So far, no private proponents have come forward with financial support for the line, which could carry one million barrels per day of Alberta crude to the British Columbia coast, feeding energy-hungry markets in Asia. Ottawa and Alberta have both said the line would need private backing.

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Coastal First Nations and B.C.’s provincial government are opposed to the pipeline, citing environmental concerns and an existing federal tanker ban in coastal waters.

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Mark Parsons, chief economist with Alberta bank ATB Financial, said it was inevitable that the old federal plan would be revisited, particularly as priorities shifted to fast-tracking major projects.

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“We should be working on reducing our emissions intensity over time, but still being globally competitive,” Parsons said. “We don’t want to see those emissions just go somewhere else.”

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Parsons said the country must continue to invest in technologies such as carbon capture and emissions reduction — which can be sold to the rest of the world — while staying competitive globally.

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“We would talk about becoming an energy superpower and these longer-term goals, but I think we have a short-term problem we need to address.

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“We need growth — and where’s it going to come from?

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“We’re kind of at that critical moment where we do need to get shovels in the ground,” Parsons said.

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