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Vol. 23, No 50 Week of December 16, 2018
Providing coverage of Alaska and northern Canada's oil and gas industry

BC makes leap forward

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Rolls out plan to tackle climate change, aiming to cut 40% off carbon emissions by 2030 over 2007 levels, sticks with LNG approval

Gary Park

for Petroleum News

The socialist New Democratic Party government of British Columbia is targeting a 40 percent reduction in greenhouse gas emissions by 2030 over 2007 levels by aggressively targeting the oil and gas industry, transportation and housing.

While setting its sights squarely on the fossil fuel sector, aiming to lower methane emissions from natural gas operations by 45 percent by 2025, and dropping fossil fuel use for transportation by 20 percent over the next 12 years, the administration of Premier John Horgan is still finding room to embrace the energy-intensive C$40 billion LNG Canada project and promising to deal with any other LNG proposals on a case-by-case basis.

The government estimates the plan will enable it to meet 75 percent of its 2030 goal, with plans for the remaining 25 percent to be rolled out over the next 18 to 24 months.

If it succeeds, the province will reduce GHG emissions by 40 percent by 2030 (over 2007 levels), 60 percent by 2040 and 80 percent by 2050.

Horgan told Postmedia that “big investments like LNG Canada, although it has an impact on our GHG numbers, gives us an opportunity to be bold on government-directed innovation on things like transit.”

The overall objective is a decrease of 25.4 million metric tons of carbon dioxide equivalents annually, compared with the government’s estimate of 63.3 million mt of emissions in 2015.

Electrifying extraction, production

The largest portion of reductions in the plan that will be included in next year’s provincial budget is directed at industry, including electrifying extraction and production of natural gas and oil in northeastern British Columbia, which accounts for 20 percent of methane emissions.

Natural gas extraction and production operations will be able to switch from natural gas to clean electricity to power its operations.

Although British Columbia’s C$10.7 billion Site C hydroelectric project is not due for completion until the latter half of the next decade, Horgan said there should be enough electricity available to meet demands until after 2030, when more sources will be needed.

The plan includes a previously announced increase in British Columbia’s carbon tax from C$35 a metric ton to C$50 by 2021.

Peter McCartney, a spokesman for the Wilderness Committee, insisted there can be no more LNG projects if the government is to meet its lofty goals.

“I haven’t heard an answer to what their plan is to make sure these (LNG) proposals don’t blow their targets out of the water completely,” he said.

McCartney said the government’s ambitious LNG plans may be the reason it is unable to fully meet its 2030 target at this stage.

Climate Change Minister George Heyman said “we are already reaching agreements” to electrify industry, notably the oil and gas sector, citing plans for a major transmission line to gas fields.



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