Reducing greenhouse gas emissions in Alberta

eAwazLocal News

Alberta -Deputy Prime Minister Chrystia Freeland, spoke on the Canada Growth Fund’s investment to reduce greenhouse gas emissions while supporting jobs in Alberta. She said:

I do want to start by saying on behalf of the government and myself personally how sad we are about the wildfires in Jasper and other parts of Alberta. I do really want to thank the first responders who literally put their lives on the line to keep their neighbours safe.

I’d like to recognize and acknowledge Morgan Kitchen, the young firefighter who lost his life while battling the wildfires in Jasper. He served Albertans with tremendous bravery, and I think we all feel his loss and extend condolences to his friends and family.

On a brighter note, I am really happy to be here in Northern Alberta and I am delighted to be able to spend some time with the people here at Entropy and at Advantage Energy’s Glacier Natural Gas Plant. Thank you very much.

This is a place where history is being made. Things are happening here that aren’t happening anywhere else in the world, and this is made in Canada, made in Alberta innovation and technology. And I think every single Canadian, every single Albertan should be aware of and really, really proud of the amazing transformational work that is being done right here in Northwestern Alberta. So, congratulations everyone.

You really are part of history, you are writing the next chapter of the natural gas industry in Alberta and the world. And I am really, really glad to be here to kind of shine a spotlight on the incredible work you’re doing.

I was in Calgary last December, with some of the people here, to announce a $200 million investment in Entropy by the Canada Growth Fund.

This investment is helping Entropy scale-up its carbon capture technology, which is at work behind us. It is happening. It’s not just a theory anymore. You guys are doing it, and it’s going to reduce emissions by approximately 2.8 million tonnes over 15 years—all while supporting more than 1,200 good jobs for people here in Northwestern Alberta.

And that is so important for me as well. These are great jobs for people living in Grande Prairie, people living in Valleyview, for people living in these communities.

In addition to the $200 million investment in Entropy, the Canada Growth Fund also provided Entropy with the world’s first carbon offtake agreement.

This is another first in the whole world and it is one of the pieces that is making this work, this project, this technology financially viable. And we are here today at the Glacier Gas Plant, which is the world’s first abated natural gas facility. That is so important. This is a true milestone and it’s happening right here.

Carbon credit offtake agreements are a form of contracts for difference for carbon. They guarantee the price that companies can get for selling their carbon offsets.

For a company like Entropy, this helps it make decisions about the long-term investments the company needs to grow and create good jobs.

Entropy is an example of how carbon pricing in Canada is creating jobs and driving investment. It’s creating a revenue stream and an incentive for businesses—like this one here—to lower their emissions.

In fact, this Canada Growth Fund deal removed enough investment risk for Entropy to proceed with its next phase of the flagship carbon capture and storage project, that is right here behind me. And that’s why we’re here today.

Just last month, Entropy announced its final investment decision at Glacier Phase 2 and Entropy’s first investment into the clean power generation market. Once the project is operational in 2026, it will be able to capture 160,000 tonnes of carbon dioxide per year, providing low-carbon, reliable power to Alberta’s electricity grid.

And the project here is exactly why we launched the Canada Growth Fund: to de-risk projects to encourage companies like Entropy to invest in great ideas and big projects—and to create great jobs for the innovative, entrepreneurial and extremely hardworking people.

Another cornerstone of our government’s economic plan is our $93 billion investment tax credit package, four of which are already available. Among these is the Carbon Capture, Utilization, and Storage investment tax credit that was signed into law in June, and for which Entropy should be eligible.

Investment tax credits are already working to give businesses the certainty and the financial support they need to make historic investments in Canada that create good jobs while reducing our emissions at the same time.

We are also supporting Canadian workers by linking many of our investment tax credits to labour requirements. That gives businesses an incentive to pay a prevailing union wage and to create apprenticeship opportunities.

In the last year alone, we have welcomed investments by major companies like Strathcona Resources, Shell Canada, Honda, and Dow. All of these investments are supported by investment tax credits, just like Entropy here is, and these are supporting thousands and thousands of great jobs in Alberta and across the country.

I want to talk for a minute about the Canadian economy.

Canada’s leading the G7 in reaching a soft landing from the global post-pandemic surge in inflation and high interest rates. Canada was the first G7 country to cut interest rates and the first G7 country to cut interest rates for a second time. This is especially good news for homeowners who currently have mortgages that need to be renewed and also for people hoping to buy their first home. And it’s good for businesses of all sizes.

Things have been challenging over the past few years, but Canada’s economy is resilient and Canadians are resilient and entrepreneurial. Our government is working hard to support more jobs, better wages, and a higher standard of living.

We are focused on delivering fairness for every generation.

Canada has a strong fiscal position and we’re building on that to make the investments that Canadians need—in housing, in affordability, in economic growth, and in cutting-edge companies like Entropy right here, and the great jobs that they are supporting.

I am so excited by the work you guys have already done here. I am really excited to see what you’re going to continue to do as this made in Canada, made in Alberta technology transforms our economy and transforms the economy of the world. This really is a global success story and it’s happening right here in Northwest Alberta at the end of a kind of muddy track through the bush, and I could not be more excited about the great work that’s happening here. It’s something all Albertans, all Canadians should know about and we should be cheering these guys on.

Thank you very much.