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A recent deal between the federal government and the province of Alberta could mean a shift in focus for Prime Minister Mark Carney.
Both Carney and Alberta Premier Danielle Smith signed a memorandum of understanding that commits them to working toward building an oil pipeline to the West Coast.
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Business commentator Paul Martin, who spoke on The Evan Bray Show, said the deal, while not finalized, could have significant implications on more than just the economy.
Listen to Paul Martin on The Evan Bray Show:
“I see this as a fundamental or profound shift in the power base in the country,” he said.
“What I see with this pipeline deal is Ottawa under Mark Carney saying, ‘Hang on, the economic engine in this country is in the West’,” he said.
“He’s talking about us being an energy superpower. He’s not talking about us being an automotive superpower, he’s talking about us being an energy superpower, that means Western Canada has got to play a pretty big role in this,” said Martin.
During that signing, both agreed that Ottawa would enable the export of oil through a deep-sea port to Asian markets and “if necessary” adjust a coastal tanker ban.
The agreement also pairs the pipeline project with the proposed Pathways Alliance carbon capture project, which would mean that both Ottawa and Alberta would work with several Pathways partner companies to identify new emissions-reduction projects to be rolled out starting in 2027.
The MOU says Ottawa and Alberta will sign an agreement by April 1 to mandate a 75 per cent cut in methane emissions by 2035 compared to 2014 levels.
That’s a slight change from Ottawa’s most recent draft regulations — published two years ago — which called for a 75 per cent reduction by 2030 compared to 2012 levels. The latest federal budget committed to reinforced methane regulations.
The recent deal has created a big splash in the world of politics, with some of those waves hitting provinces like Saskatchewan.
Martin said that things like the departure of former cabinet minister Steven Guilbeault are also very telling.
“Don’t let it be lost on you that Stephen Guilbeault stepped aside from cabinet only because he’s an environmentalist,” he said.
“I think that there is concern in central Canada, Quebec in particular, that their place in Canada is being diminished by strength in the West,” he said.
Guilbeault was a prominent cabinet minister in the Trudeau government, who served as Minister of Canadian Heritage, Minister of Canadian Culture and Identity and Parks Canada, and most notably, Minister of Environment and Climate Change.
– with files from The Canadian Press
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