Oil thirst means a moderate U.S.
Don't worry about American election, says ex-premier
Sheila Pratt, Edmonton Journal
Published: Monday, May 19, 2008
Alberta has little to fear from the tough talk in the U.S. on climate change heading into the fall presidential election, says former premier Peter Lougheed.
"Even though it's an election year, and that makes it more difficult, it's going to be challenging for the United States to avoid having a moderate position," Lougheed said in an interview.
"The reality of their need for Canada's oil and natural gas is going to force them to be aware they can't be extreme here."
Gasoline derived from Alberta's oilsands has caught the ire of environmentalists south of the border because of the carbon-intensive production process. A new federal law in the U.S. prohibits government agencies from purchasing gasoline from non-conventional sources with higher emissions of greenhouse gases, though Alberta is confident it will win an exemption.
The state of California has also adopted a low-carbon fuel standard, which includes cutting back on the use of fuel that produces high GHG emissions in production, like that from the oilsands.
Lougheed said he thinks it's unlikely a tougher, California-style policy will fly in the U.S. as a whole.
Without Canadian oil and natural gas supplies, the U.S. will be more dependent on less stable suppliers such as Venezuela and the Middle East, said Lougheed.
"In the end result, whoever wins has to face the reality that they don't want to trade" away a secure Canadian supply and leave themselves vulnerable to less stable sources of petroleum, he said.
Even so, the Alberta government will have to keep a close eye on new climate change policies in the U.S. and other provinces to make sure the province doesn't stand too far apart, Lougheed added.
"Alberta has to be aware it can't be the odd jurisdiction out. If (policy) develops into a new direction, Alberta can't pull away from that," said Lougheed. "Yet the Alberta government must still do what's practical for the development of the province."
Last month, the Alberta government announced $25 million for a public relations campaign to counter claims by Greenpeace and other environmentalists that the province is doing little to mitigate oilsands environmental impact.
Other provinces are moving ahead with more stringent plans to reduce GHG emissions.
British Columbia's new climate change policies, including a carbon tax and a target to reduce emissions by 30 per cent, will increase pressure on the Alberta government. B.C., Quebec and Manitoba have adopted California's ambitious fuel-efficiency standards for vehicles.
It's also important that Alberta develop alternative markets in India, China and other Asian countries to balance dependence on the U.S. market, Lougheed said. .
© The Calgary Herald 2008
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