Key takeaways:
- Steven Guilbeault says environmental review and carbon pricing make new projects hideous.
- Environment and Climate Change Minister Steven Guilbeault states it’s doubtful that more oil projects will be agreed upon.
Federal Environment Minister Steven Guilbeault states it will become increasingly complex for firms to gain permission for new oil projects as environmental restrictions ramp up. Still, he isn’t shutting the door on future offshore development in Newfoundland and Labrador.
Communicating in French with Radio-Canada, Guilbeault said it’s up to the Impact Assessment Agency, not the federal environment minister, to make conclusions on future offshore oil projects — and that the consent procedure has become more stringent.
“It would be tough for a new project to pass the bar,” he said.
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Before this month, Guibeault controversially supported the huge Bay du Nord oil project, which Norwegian oil firm Equinor is offering to make approximately 500 kilometers east of St. John’s. In his decision, Guilbeault said he had decided the project wouldn’t drive “significant damaging environmental effects” with the implementation steps.
The decision to support the project was celebrated by Newfoundland and Labrador’s government and oil industry advocates but panned by environmental advocates who have been campaigning for a break on new fossil fuel emissions. Equinor, which hasn’t yet authorized Bay du Nord, says the project would induce thousands of employment and $3.5 billion in income for the regional government.
Proponents say extraction will have pretty low emissions compared with other oil projects, but extraction accounts for just approximately 15 percent of total emissions. Recent calculations indicate Bay du Nord could have between 300 million to one billion barrels of oil over its lifetime, yielding 400 million tonnes of carbon. If approved, Bay du Nord would start production in 2028.
Source – cbc.ca
