Environmental groups wanted to see clear decarbonization commitment in pipeline plan

The deal signed between Prime Minister Mark Carney and Alberta Premier Danielle Smith last year made a pipeline conditional on advancing carbon capture and storage.

The two leaders announced Thursday that they are close to finalizing an agreement with the Oil Sands Alliance on the construction of the Pathways project.

A media release issued by the federal government Thursday said the project is expected to cut emissions by 16 million tonnes annually once it’s fully operational.

Michael Bernstein, Clean Prosperity CEO, said he sees Thursday’s pipeline announcement as having “positive but modest climate action ambition.”

“I think that if the two parties are going to adapt the agreement to respond to circumstances as they did, to take on ownership of the pipeline … then I think there should be scope also to look at how to also strengthen the climate aspect of the deal too,” Bernstein said.

Both clean energy groups say they are encouraged by the agreement Carney announced Thursday with B.C. Premier David Eby to, among other things, expand clean electricity in the province.

Eby is opposed to the proposed pipeline but has said his government will not fight it in court.

The B.C. government under Premier John Horgan unsuccessfully challenged the Trans Mountain pipeline expansion in court when Eby was attorney general.

— With files from Chuck Chiang in Vancouver and Jack Farrell in Edmonton.

This report by The Canadian Press was first published July 3, 2026.

David Baxter, The Canadian Press

by The Canadian Press

Environmental groups wanted to see clear decarbonization commitment in pipeline plan

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