Conservative MP Andrew Scheer has condemned Prime Minister Mark Carney's Liberal government for maintaining the proposed federal oil and gas emissions (production) cap, arguing it perpetuates failed policies that will chase away billions in investment and cost Canada $20 billion in lost GDP.
Scheer highlighted a Parliamentary Budget Officer (PBO) report estimating 54,000 job losses and $8.5 billion in shifted investment to the U.S. by 2030, citing TC Energy's foreign investment as evidence. He warned the cap would "kill thousands of opportunities" for young people in skilled trades and deprive provinces of royalty revenues needed for roads, schools, and hospitals.
Scheer accused Carney of a "bait-and-switch" tactic, promising change during the election but voting to uphold the same policies as Justin Trudeau, thus attacking the energy sector. This criticism follows the Liberal government's 191-140 vote on September 23 to defeat a Conservative motion to repeal the cap, backed by New Democrats, Bloc Québécois, and Greens.
The cap aims to limit emissions to 35-38 million tonnes of CO2 equivalent annually by 2030, despite warnings of economic devastation in energy regions. Scheer's remarks reflect ongoing tension over Canada's energy and climate policies, with the Conservatives opposing the cap's impact on industry and employment.
Alberta Premier Danielle Smith has voiced strong opposition to the emissions cap, which she describes as a de facto production cap that threatens jobs, investment, and economic growth.
"The first step to becoming an energy superpower is to axe the oil and gas emissions/production cap," she said in July. "No other piece of regulation is more destructive to the Canadian economy than this one."
"It costs Canada tens of billions in investment monthly. It’s time to signal to the investment community we are open for business as a country again. Let’s axe this cap immediately," she added.