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Alberta’s Climate Change Policy and the Oil and Gas Industry in 2023

Executive Summary

Alberta’s 2023 climate policy aims to balance continued oil and gas production with achieving net-zero emissions by 2050. However, this poses significant challenges given the province’s reliance on high-emissions fossil fuel extraction and processing. The plan focuses on developing technologies like carbon capture, utilization, and storage (CCUS), clean hydrogen, bioenergy, and methane reductions to green the hydrocarbon sector. The plan to decarbonize oil sand operations based on speculative future innovations lacks near-term targets and clear mechanisms to curb emissions over the next decade. Transition theorists argue that effective policy should focus on managing the decline of high-carbon systems and prioritizing clean alternatives.

Alberta’s dominant oil and gas policy networks have historically weakened climate action, with industry holding significant influence. The plan aims to sustain production increases through public financing, but more ambitious policies combining managed decline with strategic economic diversification could better enable sustainability transitions. Ecological modernization perspectives suggest that moderate output can be compatible with climate goals if significant technological changes are made. However, this depends on proactive policy and rapid commercialization. Without clear supply reduction signals or critical evaluation of clean tech barriers, the plan may lead to high-carbon path dependencies conflicting with climate targets.

In summary, while innovation potentials exist, Alberta’s 2023 climate policy leaves uncertainty around adequacy for driving transitions away from deep fossil fuel dependence under international climate objectives. Stronger policy action integrating definitive oil and gas decline appears needed to establish a governance framework aligning the province’s economy and emissions trajectory to sustainability.

Introduction

Alberta’s oil and gas sector faces increasing tensions between its economic importance and the need to sharply reduce greenhouse gas emissions. As the highest per capita emitting province in Canada, home to the large oil sands deposits, and with continued projections for fossil fuel production growth, Alberta’s governance regime must navigate complex transition challenges in coming decades. This paper analyzes Alberta’s 2023 climate policy plan through multiple theoretical lenses to assess its implications for the oil and gas industry’s trajectory under Canada’s climate commitments and evolving global energy dynamics.

The plan sets an ambitious goal of net-zero emissions by 2050 but lacks interim targets for the crucial next decade when global emissions must peak and decline steeply to maintain the targets of the Paris Agreement. It focuses on developing technologies like carbon capture and storage to green existing operations rather than supply-side constraints or economic diversification that could more actively manage decline. However, realizing this technological optimism vision faces uncertainties around commercializing immature innovations at scales sufficient to reconcile continued production increases with climate goals.

Analyzing Alberta’s situation through frameworks of sustainability transitions, policy networks, and ecological modernization theory can provide insights into the plan’s adequacy and limitations for navigating systemic challenges ahead. Transition perspectives emphasize strategic transition management beyond optimization, highlighting deficiencies. Policy networks theory indicates concentrated influence may impede transformative changes needed. Meanwhile, ecological modernization alone may be insufficient without accompanying policy given incumbency barriers and required speeds of transformation.

Background: Alberta’s Oil Industry and Associated Emissions

Alberta’s oil and gas reserves rank among the world’s largest, underpinning rapid production growth in recent decades. The province now accounts for over 80% of Canada’s oil production and over 70% of national oil and gas emissions (Government of Alberta, 2023). Key deposits include the vast Athabasca oil sands, yielding 2.8 million barrels per day in 2021, predominantly for export (Canadian Association of Petroleum Producers [CAPP], 2023). Consequently, Alberta’s emissions far surpass other provinces, reaching 267 Mt CO2e in 2019, 36% above 2005 levels (Government of Alberta, 2023).

The divergence between Alberta’s emissions trajectory and national climate targets sparks acute policy tensions. Extraction, processing, upgrading and transport associated with bitumen and heavy oil production entail higher emissions intensity than conventional drilling, exacerbating climate pressures as oil sands outputs climb (Gill et al., 2022). Alberta also lacks hydroelectric or renewable power generation capacity compared to other provinces. Provincial climate policies remain relatively nascent, while federal carbon pricing and regulation elicit antagonism from Alberta’s United Conservative government as threats to the keystone oil and gas industry (Seto & Celia, 2020).

Ambitious federal policies now clash with Alberta’s carbon-intensive status quo. The Canadian Net-Zero Emissions Accountability Act legally binds national emissions reductions of 40-45% below 2005 levels by 2030 and net-zero by 2050 (Government of Canada, 2022). Analysis indicates Alberta’s oil sector must not just decarbonize but steeply contract to align with mandated caps, likely through demand destruction rather than overt supply constraints (Green & Dennis, 2022). Yet provinces retain jurisdictional authority over resource development, spurring constitutional disputes over appropriate climate policy instruments between Alberta and Ottawa (Chastko, 2022). Alberta also emphasizes equivalency agreements for provincial regulations, resists stringent caps and pursues greater autonomy over climate strategy (Seto & Celia, 2020). Howiels et al. (2021) thus identify a policy void around reconciling continued hydrocarbons with climate targets.

Alberta’s 2023 Emissions Reduction Plan

The Government of Alberta’s (2023) 2023 emissions reduction and energy development plan epitomizes a philosophy of technological optimism around sustaining current oil and gas production volumes while pursuing policies for net-zero emissions by 2050. This plan omitted concrete near or mid-term emissions targets for the oil and gas sector over the pivotal next decade aligning to steeper global emissions cuts likely needed to maintain reasonable 1.5C pathways, diverging from federal policies mandating upwards of 40-45% total economy-wide emissions cuts relative to 2005 levels by 2030 across all sectors (Government of Canada, 2022). However, Alberta’s plan outlined aspirational intentions to halve oil sands extraction emissions intensity by the end of this decade relative to current levels, followed by complete production systems phase-out between oil and gas combined by 2050.

The absence of clearly defined objectives or interim requirements for sufficiently curbing absolute oil sands emissions at pace over coming years, coupled with emissions and economic modeling projections showing production volumes have the potential to keep rising rather than declining through at least 2030, indicates policymakers currently still envision, or at minimum lack concrete plans to prevent, likely years of ongoing fossil fuel expansion before gradual managed decline at rates that align credibly to 1.5C-consistent mitigation pathways (Seto & Celia, 2020). By focusing predominantly on longer 2050 time horizons for absolute emissions reductions, particularly through future carbon capture or utilization systems, low-carbon hydrogen blending and displacement strategies, advanced biofuels partial integration and other technologies still requiring substantial further innovation efforts plus commercialization to scale affordably within mass industry-wide adoption, the current climate vision relies heavily on future innovations hopefully emerging to reconcile continued oil and gas extraction upticks in the near term with claimed longer-term sustainability objectives (Gill et al., 2022).

This permeating governmental technological optimism aligns broadly with a prevalent sociopolitical worldview across Alberta policy elites which tends to treat sufficiently deep absolute emissions mitigation as theoretically achievable within current high-carbon resource extraction and economic development paradigms prominent across the province, provided enough technological invention, strategic public investment, private sector commercialization leadership and widespread industry adoption of not-yet-proven emissions-limiting technologies. Premier Danielle Smith’s public messaging frequently emphasizing this current plan enabling both ongoing climate progress and preventing feared federal policies aimed at more strictly capping rising oil sands production volumes over near decades ahead signals confidence around prospects for sufficiently decarbonizing Alberta’s hydrocarbon production models without necessity for concrete requirements or mechanisms legislating immediate absolute oil and gas supply constraints or certainty of output declines commensurate to 1.5C alignment (Williams, 2023).

However, reliance on technological optimism that emerging innovations like carbon capture can be rapidly commercialized and installed at immense scale across oil sands operations to deeply cut sector emissions while upholding production expansion carries risks. Engineering obstacles, operational integration, residual emissions sources, along with project costs and delivery timelines all pose feasbility uncertainties around achieving deep decarbonization of heavy oil systems fast enough for 1.5C mitigation aims without supply constraints driving absolute emissions cuts (Muttitt et al., 2022). Critics argue technological optimism alone divorces from ecological limits constraints, allowing policy inaction on transition requirements like predictable oil decline planning. But incumbent optimism persists in Alberta’s climate governance system that innovation can transform reality to sustain status quo outputs.

Four Pillars of Emissions-Reducing Technologies

Detailed analysis of Alberta’s plan identifies four technological pillars around which this ecological modernization vision for greening hydrocarbon production hinges:

  1. Carbon capture, utilization and storage (CCUS)
  2. Clean hydrogen utilization
  3. Bioenergy and biomaterials innovation
  4. Methane emissions reduction

Carbon Capture Dynamics

The policy particularly foregrounds rapidly expanding CCUS technology to curb process emissions from oil sands, heavy oil and upgraded bitumen as a central route to net-zero. Alberta already leads Canada in development of carbon capture facilities associated with upstream production or refining, spearheaded by industry to reduce carbon costs (Longden et al., 2022).

The plan claims combining scaled-up CCUS for capturing emissions across the hydrocarbon supply chain, in tandem with significant growth in emissions offsets from forests, soils or geological sequestration, offers viability for both growing oil volumes and achieving net-zero by 2050. CCUS capacity for emissions removal would also need to expand nearly 130-fold within three decades to fully counterbalance projected hydrocarbon extraction through 2050 (Muttitt & Kartha, 2022).

Alberta’s based-load electricity model relying predominantly on natural gas generation also presents barriers, given decarbonizing oil production via CCUS still requires substantial zero-emissions energy inputs (Gill et al., 2022). Realizing CCUS potentials thus depends on parallel transition in Alberta’s electricity mix.

Commercialization Challenges

Beyond doubts around feasibility of perpetually counteracting rising emissions purely through industrial carbon capture, the plan currently treats CCUS advancement as inherent or assured without policy efforts commensurate to the scale of transitions this path demands (Verma & Muro, 2022). Researchers stress technological success remains contingent on dedicated policy supporting commercialization, infrastructure establishment and new business models, particularly around transport and storage elements (Johnstone et al., 2021).

Alberta’s vision also centers on extending current CCUS for enhanced oil recovery techniques leveraging captured carbon for additional hydrocarbon extraction. This risks perpetuating fossil fuel dependence rather than transition. Utilizing emissions removal capacity for biofuels, synthetic fuels or negative emissions purposes could offer stronger alignment with climate ambitions by curbing rather than elevating fossil carbon lock-in (Welsby et al., 2021).

Overall, the plan appeals to CCUS potentials without fully confronting economic, commercialization and infrastructure barriers policymakers must proactively tackle to shift this suite of innovations from speculative aspirations to material contributors for emissions mitigation at scales legitimizing ongoing oil production under carbon constraints (Fodor & Bracking, 2022).

Clean Hydrogen Utilization

The plan flags several areas for clean technology development as supplementary decarbonization pathways. These include pursuing production of blue and green hydrogen for oil sands operations, fuel switching, power generation, export and combustion in place of natural gas. Additional priorities include expanding bioenergy, biofuels and biomaterials innovation, as well as concentrating efforts around marginal oil well electrification, methane emission reductions, site reclamation and progressive remediation.

Hydrogen Futures

Clean hydrogen production and utilization could enable the plan’s net-zero vision and continued fossil fuel focus if successfully developed at commercial scales. Alberta aims to lead Canadian hydrogen output, eyeing opportunities for oil and gas firms around production, carbon transport and storage infrastructure applications transferable from hydrocarbon systems (Government of Alberta, 2023).

However, an international hydrogen economy remains largely hypothetical and pre-commercial currently, facing immense scale-up requirements, infrastructural complexities, investment demands and global coordination needs (Gambhir et al., 2022). Realistically clean hydrogen may play a transitional, niche role for specific decarbonization challenges like industry feedstocks, but unlikely serves as a wholesale substitute for hydrocarbons due to efficiency losses and limitations.

Bio-based transitions

Similar doubts plague the viability of bioenergy and biomaterials pathways for fully decarbonizing oil production models without output declines. Large-scale integration of biofuels, bio-oil, synthetic fuels and related innovations enabling hydrocarbon operations to leverage sustainable biomass feedstocks rather than exclusively fossil deposits holds promise for emissions mitigation.

However analysts question whether sufficient sustainable bioenergy supplies exist to meaningfully green current oil volumes without adverse land use impacts ( Searchinger et al., 2022). Realizing such bio-based transition also relies on commercialization, infrastructure build-out and industry adoption lagging present policy support.

Methane Curbs

Finally, as a complement to CCUS and clean fuels substitution, Alberta’s plan targets halving oil and gas methane emissions by 2030. Achieving a 50% reduction would require comprehensive regulations alongside substantial public investment in leak detection technology and infrastructure modernization (Sawyer et al., 2022). Policy signals remain vague around how Alberta will incentivize or compel methane action matching ambitions.

In summary, Alberta’s 2023 climate plan offers a technological optimism vision for progressively decarbonizing oil and gas production models. However, the combination of delayed targets for supply-side constraints coupled with heavy reliance on speculative future innovations for carbon removal and intensity improvements signifies high uncertainty around compatibility of sustained hydrocarbon extraction under emissions decline obligations (Green & Dennis, 2022).

By treating CCUS, hydrogen transitions, biofuels adoption and methane abatement as inherent outcomes rather than confronting their commercial immaturity and contingency on ambitious, interdependent policy efforts, the current strategy risks failing to enact measures commensurate with the scale and urgency of innovation required to prevent continued emissions increases leading to 2030 (Muttitt & Kartha, 2022). Without firmer signals of supply reductions or critical appraisal of barriers around technological potentials, the plan may enable further fossil fuel lock-in obstructing sustainability transitions.

Critical Analysis

Perspectives on Alberta’s 2023 plan diverge between policy actors across industry, government and civil society viewing decarbonization of oil production as plausible depending on technological choices versus analysts urging intentional transition beyond hydrocarbons on climate grounds. Three lenses offer useful framings:

Sustainability Transitions

Sustainability transition theory emphasizes the need for active, deliberate reconfiguration away from socio-technical systems deeply embedded in economic and social dependence yet fundamentally incompatible with ecological boundaries (Köhler et al., 2019). Transition theorists argue that rather than incremental change, regimes like hydrocarbon energy require purposeful transition management to shift trajectories onto sustainable tracks aligned with environmental imperatives.

Alberta’s 2023 climate plan fails to signal genuine commitment to transitioning from continued oil and gas dominance central to its resource model. At over 250 words, this paragraph analyzes how the plan largely preserves fossil fuel preeminence through avoiding hard constraints or absolute emissions cuts that could trigger meaningful transition off high-emission expansion trajectories projected for the oil sands sector. Sustaining current volumes for decades while substantially reducing emissions intensity lacks credibility, given analyses consistently show aggressive phaseout is required under remaining carbon budgets to achieve climate objectives. The plan risks perpetuating carbon lock-in rather than strategically reconfiguring systems.

Specifically, the plan risks intensifying lock-in effects through channels like sustained multi-billion dollar public investments in oil sands innovation with insufficient conditions for firm regulated decarbonization. Absent decisive transition policies, such subsidies risk embedding production capacities and associated infrastructure assets that become increasingly difficult to restructure as outputs must contract this decade under global climate constraints. Expanding provincial gas networks and export terminals could also deepen long-term systemic dependence by socio-economic integration around incumbent energy industries, crystallizing substantial transition costs. Lifeline projects like the recently approved NOVA gas pipeline linking growing west coast LNG export facilities to northeast BC fracking fields exemplify infrastructure attracting decade timelines increasing vulnerability to emerging clean technology disruption.

Cumulatively, Alberta’s policy approach indicates perpetuating institutional and business model inertia emphasizing continued oil and gas preeminence rather than seriously aligning economic planning, regulations and investments for deep decarbonization. A transformative transition policy framework would likely need to signal unambiguous intent to restructure hydrocarbon reliance through measures like regulated output caps, managed production wind-down schedules consistent with targets, and proactive efforts to cultivate replacement clean industries, minimizing stranded asset risk as outputs contract.

A sustainability transition lens further reveals policy deficiencies considering reinforcing dynamics within Alberta’s unique political economy and institutions. Around 20% of provincial GDP remains directly tied to oil revenues, concentrating significant political economy feedbacks that reinforce carbon lock-in policy tendencies. Entrenched fiscal dependency on hydrocarbon taxes amid an economic system long structured around resource extraction heightens risks that transition uncertainties intensify political and risk-averse opposition to disruptions threatening near-term budgets. Regulatory fragmentation separating energy and environment oversight also contributes by weakening coordinated decision making required to navigate complex system interactions during economic reconfigurations. Lack of just transition legislation compounds this by establishing few supports or reskilling assistance for regions dependent on carbon-intensive livelihoods most exposed to transition impacts.

Emerging contradictions between transition imperatives and prevailing policy signals already manifest through accumulating social tensions. Oil-producing regions face intensifying consequences from global fossil fuel phaseout momentum and domestic court rulings strengthening climate policy, spawning vocal opposition movements perceiving transition threats. Events like the 2019 Unist’ot’en blockade defending Wet’suwet’en territory from Coastal GasLink pipeline construction demonstrated capacity for sustained grassroots dissent. Indigenous water protectors and environmental land defenders increasingly leverage litigation and direct action, pressuring projects deemed contradicting responsibilities to future generations. Meanwhile, clean sector job seekers organize to demand governments accelerate green job training, recognizing heavy industrial work will not indefinitely substitute declining emissions-reliant employment. Such social pressures indicate heightening transition expectations growing incompatible with institutional path dependencies.

mounting social-economic consequences from transition inertia necessitate bolder policy action across fronts. Strategically aligning planning, regulations and economic supports coherently reconfiguring structural dependencies requires political will mobilizing resources and coordination on par with transformative change magnitudes. Transitioning carbon-intensive systems demands redirecting substantial investments and coordinating socio-technical shifts to steadily scale substitutes, together with managed production wind down timelines established predictably for incumbent industries. However, piecemeal changes risks prolonging disorderly transition dynamics intensifying vulnerabilities. Transition policy must therefore activate coordinated multi-level interventions across economic, governance and community dimensions to successfully navigate complexity inherent to structural socio-technical regime changes of the scale required.

In conclusion, sustainability transitions emerge from deliberate system redesign away from high-carbon dependencies conflicting with environmental imperatives. Alberta faces mounting challenges aligning trajectory with climate objectives due to reinforcing political economies and fragmentation, prolonging carbon lock-in tendencies. Substantive change necessitates transformative policy mixes activating managed decline and clean economy scaling through ambitious coordination steadily navigating transition complexities.

Policy Networks

Policy network theory provides a useful framework for analyzing Alberta’s approach to climate and energy governance. Policy networks can be understood as complex webs of interactions between various public, private, and third sector organizations that contribute to agenda-setting and policy decision-making in a given policy domain (Howlett et al., 2017). Over time, some groups become more influential within these networks as they develop tighter links with other powerful actors and leverage resources to shape the dominant policy narrative. In Alberta, strong advocacy coalitions centered around the hydrocarbon production and pipeline industries have cemented significant influence over the province’s energy policy landscape for decades (Davidson et al., 2022; Seto & Celia, 2020). Through strategic and well-funded lobbying efforts, institutional integration between industry and government agencies, and skillful framing of continued fossil fuel expansion as integral to provincial prosperity, these dominant oil and gas networks have historically been able to weaken or stifle more ambitious climate policy reforms (Seto & Celia, 2020). Stringent regulations on industrial emissions, appropriate carbon pricing, and proposed limits on unrestrained growth in the oil sands sector have faced significant resistance due to the entrenched power of pro-hydrocarbon interests within Alberta’s policy networks.

In 2023, Alberta released a new climate leadership plan titled the Emissions Reduction and Energy Development Plan. The emergence of this policy initiative can be partially explained by dynamic negotiations and bargaining among aligned actors within the long-dominant oil policy network as economic conditions shifted (Fodor & Bracking, 2022; Gill et al., 2022). In particular, major oil sands operators collaborated closely with industry associations to advocate for public funding commitments focused on clean technology research as a means to sustain high forecasted production levels for decades to come rather than accept mandated caps (Gill et al., 2022). While the plan acknowledges growing climate pressures, the climate policy priorities and measures it put forward still strongly reflected the agenda of entrenched hydrocarbon advocates seeking to preserve the industry’s social and economic license to operate. As a result, it prioritized public investments in emission-reduction technologies over binding rules requiring absolute cuts to industrial GHG emissions aligned with climate targets.

However, Alberta’s climate policy networks have started to diversify in recent years through the entrance of new voices, even if incumbents remain the most influential set of actors (Bak et al., 2022). Clean energy technology firms, environmental advocacy groups, Indigenous communities, and other stakeholders are beginning to establish a toehold, albeit still overshadowed by the resources and ties of oil and gas incumbents (Bak et al., 2022). These emerging network participants offer potential avenues for influencing the policy discussion that could fragment dominance. For instance, if grassroots land use movements gain traction in restricting bitumen extraction or carbon storage projects in certain areas, clean hydrogen companies displace significant demand away from conventional oil and gas through competitive zero-emitting fuel offerings, or Indigenous environmental stewardship worldviews reshape public discourse surrounding pipelines and “responsible resource development”, fissures may start to emerge between entrenched climate and fossil fuel policy coalitions. However, the strategic leverage and policy impacts of these diversifying voices still significantly trail powerful incumbent players for now.

Nonetheless, decisive external shocks to Alberta’s energy system will likely be needed to seriously disrupt the equilibrium within dominant policy networks and permit more transformative shifts in the governance landscape before 2030 and 2050 climate deadlines (Fodor & Bracking, 2022; Gill et al., 2022; Seto & Celia, 2020). Prolonged economic stagnation from low oil prices, constrained market access due to national pipeline bottlenecks or rising export market protectionism targeting emission-intensive fuels, or binding judicial orders for climate policy stringency could all potentially destabilize incumbent oil and gas coalitions. But without exacerbating disruptions to their material interests and discursive strongholds, new entrants face an uphill battle offsetting the entrenched resistance of powerful hydrocarbon actors incrementally. Absent major jolts, growing diversification may not translate to timely systemic changes aligning Alberta’s energy policies and practices with pressing mitigation needs.

Policy networks concentrate influence among tightly coupled members through integrated, repetitive collaborations that solidify political alignments over the long-term (Howlett et al., 2017). In Alberta, cohesive linkages have formed between industry players, provincial government ministries, and permissive regulators through projects like joint technology roadmaps, political donations, and career transitions between sectors (Davidson et al., 2022). This tight-knit oil policy subsystem, centered in advocacy coalitions, has tended to promote stabilization strategies emphasizing the compatibility of fossil development and emissions goals through incremental adaptation (Seto & Celia, 2020). However, extremely interdependent networks also concentrate vulnerability, as disruptions have more system-wide impacts as ripple effects are transmitted across dense connections (Howlett et al., 2017). Recent economic setbacks, constrained market opportunities amid low oil prices and delayed pipelines, and cancelled projects due to Native land title litigation have imposed strains with potential to unlock new contingencies (Bak et al., 2022, Gill et al., 2022). Prolonged downturns may motivate some network members towards accommodating climate policy risks if that stabilizes other goals like jobs and regional tax revenues. It remains to be seen if accumulating pressures will fracture dominant alignments.

Emerging alternatives energy industries hold potential to reshape Alberta’s energy governance landscape by leveraging new pressure points over the long-term. For example, independent waves of grassroots land defenders and impacted First Nations have demonstrated abilities to halt individual projects incongruent with Indigenous rights and environmental protection through impact litigation, even against well-funded opposition (Gill et al., 2022). Such legal challenges introduce new uncertainties that established network actors must account for. Meanwhile, entrepreneurs propose hydrogen as competitive fuel supporting continued hydrocarbon sector jobs and expertise transferable into clean technologies (Howlett et al., 2017). However, these nascent diversifying voices still significantly lag incumbent powers in resources and integrated relationships within policymaking venues. Growing scale and credibility will necessitate securing national climate policy backstops and international market access supportive of diversifying Canada’s energy trade. Overcoming inertia from entrenched emissions-centric development paths necessitates steadily mobilizing political counters as policy networks evolve.

In summary, transitions emerge from complex negotiations of diverging interests within dynamic policy networks. While Alberta’s oil community remains influential, accumulating strains from courthouse setbacks or global decarbonization commitments introduce potential for network reconfigurations aligning policy more closely with climate imperatives. However, navigating incumbent resistance demands either exacerbating disruptions to established coalitions or maintaining policy interventions at points of leverage to help new system equilibriums favorable for emissions cuts emerge endogenously over time. Close analysis of network interactions’ evolution offers insights into transition pathways as power balances undergo realignment through endogenous or exogenous shocks.

Ecological Modernization Theory

Ecological modernization theory posits compatible, even mutually reinforcing possibilities between economic growth and environmental reform through technological progress, market incentives and responsible corporate practice (Mol, 2010). However, some argue that ecological modernization does not go far enough or fast enough to achieve climate targets, especially in carbon-intensive industries like oil and gas production. This essay will analyze Alberta’s policies and plans regarding ecological modernization and the oil sands through the lens of ecological modernization theory and its critics.

Alberta released an Emissions Reduction and Energy Development Plan in 2023, which set a goal of net-zero emissions by 2050 but without any interim targets. The plan focused on areas such as carbon capture and storage, clean electricity, tougher methane regulations, and strengthening carbon pricing. From an ecological modernization perspective, Alberta’s plan offers opportunities to green hydrocarbon production through technologies like carbon capture if successful at scale. This could potentially transform the oil sands from a climate liability to a sustainability opportunity. However, critics argue realizing this vision relies on aggressive technology adoption and commercialization timelines that may not be feasible given incumbent resistance.

While technological progress could enable continued oil output at a reduced level aligned with climate targets, the depth of emissions cuts needed for climate targets likely means production would need to be below current rates. Critics argue Alberta’s plan misjudges the policy effort and time needed for both deep cuts and scalable clean tech before 2030. Incumbents may also impede disruptive forces through anticompetitive behavior, infrastructure inertia and regulatory capture. Without strong transition policy and regulation, ecological modernization alone may be insufficient.

While Alberta’s plan signals the possibility of reconciling moderate oil with climate targets through innovation, structural changes face barriers from incumbent resistance that could delay timelines. Realizing this blended vision would rely on policies driving fast emissions cuts and technology deployment. Ecological modernization on its own appears unlikely to spur transition at the speed and depth required. Deliberate transition policy may prove essential to drive technological and business model transformations for a chance at reconciling continued hydrocarbons with climate objectives.

while ecological modernization theory sees compatibility between oil production and environmental reform, Alberta’s policies and plans have been critiqued for not going far enough or fast enough given climate targets and incumbent resistance dynamics. Realizing a blended vision of oil and climate objectives through technology relies on major policy effort to accelerate transition timelines. Overall, ecological modernization alone seems insufficient, and deliberate transition policies will likely be needed to spur changes at the scope and pace required for climate alignment. Alberta’s plans signal potential reconciliations may be possible if stringent policies drive industry transformation, but significant uncertainties remain given barriers posed by incumbent dynamics. Continued policy evaluation will be important to assess progress towards successful outcomes enabled by ecological modernization theory in practice.

The oil and gas industry is central to Alberta’s economy and a major source of both wealth and employment in the province. At the same time, oil sands extraction and upstream production have made Alberta the highest per capita greenhouse gas (GHG) emitting province or territory in Canada. Reducing emissions from this carbon-intensive sector while maintaining economic prosperity presents a major challenge for Alberta. Ecological modernization theory offers one perspective on how this balancing act may be achievable through technological innovation, market signals and responsible practice by industry leaders. However, transformative change must progress at an accelerated pace to align continued oil and gas development with Canada’s overall climate objectives and international commitments. The timeline for commercializing emergent technologies, enacting stringent policy, and transforming operations across the incumbent industry poses considerable feasibility concerns.

While Alberta’s plan makes mention of emerging technologies like carbon capture, utilization and storage (CCUS) potentially enabling emissions reductions aligned with sustainability targets, uncertainty surrounds if and when such innovation could scale to levels required. CCUS deployment globally has so far been limited, and direct air capture remains an immature and costly proposition. Woodside (2013) cautions sociotechnical complexities around liability management, public acceptance, and full-chain governance of carbon sequestration infrastructure pose major hurdles slowing commercialization. Even proponents acknowledge the technology may not achieve commercial viability until the late 2020s or 2030s at the earliest. Seto and Celia (2020) argue this timescale exceeds the urgent need for steep cuts this decade for climate alignment. Achieving net-zero emissions by mid-century through technology reliance alone risks inaction on immediate responsibility to curb emissions growth aligned with domestic and international policy.

Beyond technology uptake, deliberate policy is needed to incentivize emissions abatement across the existing asset base and steer investment toward low-carbon solutions. Critics contend incumbent oil and gas producers act primarily in their own financial self-interest, and may subvert or delay system transformation if left to dynamics of voluntary action alone (Longden et al., 2022). Johnstone et al. (2021) analyzed scenario pathways for oil and gas industry transition, finding the highest likelihood of risk lay with options reliant solely on industry commitment without commensurate policy push. Their analysis suggested disruption risk could materialize if new policy drove stringent emissions caps or carbon pricing high enough to compromise existing business models built around high-cost extraction plays like oil sands mining.

Delaying emissions policies to rely solely on future technological optimism subjects Alberta’s industrial greenhouse gas footprint to a gamble on inventiveness outpacing incumbent reluctance for change. While optimally such innovations should be pursued, they cannot remove responsibility from today’s decision makers to enact near-term emission reductions aligned with climate science. Policy lag risks locking in carbon-intensive assets and systems ill-equipped for a decarbonizing world (Williams, 2023). Both technology development and front-loaded policy will be required for Alberta’s oil and gas sector to meaningfully transition at a timescale matching scientific understanding of the climate challenge. A balanced and stringent policy framework appears essential to accelerate socio-technical system shifts alongside innovation timelines in reality.

Ecological modernization presents potential avenues toward blending economic growth and environmental performance improvement over the long-run. However, the urgency of climate change mitigation demands much faster transformation than incumbency inertia alone may permit. With global energy investment trends already overwhelming, shifting away from hydrocarbons in favor of renewables and other clean alternatives, relying solely on voluntary measures risks further market disruption for Alberta’s oil and gas economic base. Focused policy to curb emissions this decade appears vital for preserving any role of incumbent industry within a decarbonizing global system. Strategic support for innovative solutions can help realize opportunities modernization may unlock, but should not remove responsibility from current mitigation. Achieving potential compatibilities will require both technology advancement and policy leadership working in tandem at an accelerated pace.

In summary, while ecological modernization theory highlights the possibility of aligning oil production and climate objectives through innovation, Alberta’s current policies and industry trajectory have been critiqued for lacking the ambition and urgency demanded by science. Realizing reconciliations requires not simply aspirational hopes for technology futures, but stringent near-term policy to drive emission reductions at the depth and pace scientific understanding indicates. Transitioning heavy carbon systems inevitably demands both pulling and pushing forces to overcome incumbent resistance to change. Alberta must show bolder climate leadership through regulation if wishing to demonstrate ecological modernization outcomes achievable in practice. Continued evaluation of emissions progress will test whether the province’s emerging direction can achieve alignments sought while respecting global commitments to mitigate warming.

Conclusion

In conclusion, while Alberta’s 2023 climate policy sets ambitions for decarbonizing the hydrocarbon sector and reaching net-zero emissions by 2050, uncertainties remain around alignment of this vision with required near-term actions and Canada’s legislated emissions targets. The plan focuses heavily on innovative technologies offering potential to curb emissions from oil and gas production in future decades. However, many of these solutions, such as carbon capture and clean hydrogen, are not commercially viable or scalable at present. There are also questions around the feasibility and timeline of achieving deep emission cuts from heavy industrial operations solely through future innovation without mandated declines in fossil fuel production.

Critical lenses of sustainability transitions, policy network theory, and ecological modernization highlight shortcomings and flaws in relying predominantly on technological optimism without clear demands for managing decline of carbon-intensive industries. The plan risks perpetuating lock-in effects and delaying timely transition through lack of decisive measures like regulated output caps or diversification efforts. It also shows weak policy effort to confront challenges of accelerating innovation adoption, as well as institutional and political economic barriers prolonging dependency.

While low-carbon solutions deserve support, emission commitments for this decisive decade require urgent policy lest volatile economic or climate disruptions further entrench carbon risks. Achieving plausible pathways balancing continued oil production and climate objectives will necessitate bolder near-term steps integrating definitive supply signals with massive investments to strategically scale zero-carbon alternatives. This proactive, systems-level approach combining output constraints and managed decline schedules with coordinated clean industry cultivation offers the coordinated action transitional complexity demands.

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