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Canada's Carney Strikes Pipeline Deal with Alberta, Sparking Backlash
Canadian Prime Minister Mark Carney signed a landmark energy agreement with Alberta on Thursday, paving the way for a long-sought oil pipeline to the Pacific-though the project faces steep political and environmental opposition.
The deal, which exempts Alberta's proposed pipeline from certain federal climate regulations, marks a turning point in Ottawa's relationship with the oil-rich province. In return, Alberta must strengthen its carbon pricing and develop the world's largest carbon capture program to curb emissions.
Alberta Hails 'First Step,' BC Left Out
Alberta Premier Danielle Smith called the agreement a "first step" toward realizing the pipeline, framing it as the end of "dark times" for her province's energy sector. Smith argued Alberta has long been hindered from fully developing its resources.
Carney defended the project as vital for Canada's economic future, emphasizing its potential to diversify oil exports to Asian markets. Currently, over 90% of Canadian crude goes to the U.S., a dependency Carney called a "vulnerability" amid protectionist policies under U.S. President Donald Trump.
British Columbia Premier David Eby, however, criticized the deal, calling the pipeline a "distraction" and lamenting his province's exclusion from negotiations. "It would have been good for BC to be at the table," he told reporters, highlighting the lack of private funding and Indigenous support as major hurdles.
Resignation Over Climate Concerns
Federal Culture Minister Steven Guilbeault resigned Thursday evening in protest, calling the pipeline "environmentally disastrous." A former environment minister and Greenpeace activist, Guilbeault said the deal undermined Canada's climate commitments.
"Many elements of the climate action plan I implemented have been, or are about to be, dismantled," he stated.
Carney countered that his government remained "fundamentally committed to climate ambition," but the agreement rolls back key policies, including a tanker ban off BC's coast and a pause on federal oil and gas emissions caps-reversals from predecessor Justin Trudeau's era.
Indigenous Opposition and Political Skepticism
The pipeline requires Indigenous co-ownership and private financing, per the deal. Yet Coastal First Nations in BC declared the project "will never happen," while Eby warned it could jeopardize Indigenous support for BC's liquefied natural gas initiatives.
Alberta has pledged C$14 million ($10 million USD) to draft a proposal, but no route has been finalized. The pipeline is expected to traverse northern BC, though Conservative leader Pierre Poilievre dismissed the deal as merely "kickstart[ing] a lengthy process" without guaranteeing completion.
"This from a prime minister who promised to move with 'unimaginable speed'," Poilievre quipped.
Economic Stakes and Uncertain Future
Carney's push to double non-U.S. oil exports within a decade hinges on the pipeline's success. Yet with BC's resistance, Indigenous opposition, and no private backers, the project's viability remains uncertain. Ottawa and Alberta pledged to bring BC into discussions "immediately," but Eby's government shows no signs of softening its stance.
