Corporate Calgary faces climate change concerns

CALGARY — A new report from ATB Financial says oil production in Alberta is up more than 80 per cent compared to the same time in 2010.

But, as a UN report cautions the world on the severity of climate change, pointing to the oil and gas sector, all eyes are on Corporate Calgary to see what the future of energy will look like in the city.

The report states there is only one way humans can accomplish net-zero: by saying goodbye to oil, coal and gas.

But oil and gas are still economic drivers in Calgary and are still forecast to grow.

“The International Energy Agency predicts that global demand will get back to pre-COVID levels as early as 2023 and will continue to grow for several decades,” said Tim McMillan, the president and CEO of the Canadian Association of Petroleum Producers (CAPP).

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The ATB Financial report shows oil production in Alberta is booming — with a 1.8 per cent increase since before 2019.

This is part of a long-term trend, as oil production so far this year is 86.2 per cent higher than the same period in 2010.

But even with these high trends, there are concerns for Canada.

“We are seeing increasing investments in oil and gas drifting away from Canada and the US, largely for policy reasons,” said McMillan. “We’re seeing increased investments in the Middle East in Azerbaijan. Potential investments offshore in South America and Africa so I think that there is concern that we are going to be using more oil and gas in the years to come.”

He adds investments should remain in Canada, arguing the country prioritizes innovation and technology and continuously drives down detrimental environmental impacts.

“I think corporate Calgary has been worried about climate change for a long time,” said Richard Masson with the University of Calgary’s School of Public Policy. “The idea that we’re not worried about it is just a complete myth. An example of that is, a couple of weeks ago, five leading oil sands producers came out with what they call a ‘pathways initiative’ where they’re working to achieve net-zero greenhouse gas emissions by 2050.”

As corporate Calgary makes room for new green initiatives, the UN report stresses that if we do reach net zero by 2050, global temperatures will reach 1.5 degrees Celsius before eventually dropping.