Canadian International Climate Targets and Reaching Net Zero by 2050

Canada’s Opportunities and Challenges in Reaching Net-Zero Emissions by 2050

Rachel: Monica, what are the key opportunities and obstacles for Canada in aspiring to net-zero by 2050?

Monica: 2050 is really interesting in terms of opportunities because it opens the door to both short and long-term thinking. There are lots of opportunities for innovation and technology deployment to reduce emissions.

I think in terms of the obstacles, it's less about technology and more cultural and institutional. So how do we better foster alignment and collaboration from the lab bench to startup to scale up and vice versa? How do we articulate a clear and positive role for the oil and gas sector? Many of our debates tend to be pretty simplistic and polarized. How do we ensure that we've got the policy and regulatory systems in place that we need to support innovation and technology deployment?

How Canada Will Reach Its Emissions Reduction Target

Rachel: Are you optimistic that Canada can achieve its international climate targets?

Monica: Canada has some very ambitious targets. Canada recently opted for its ambition to reduce greenhouse gas emissions to 40-45% below 2005 levels by 2030. That equates to almost cutting them in half in about eight years. So I find that quite ambitious and challenging for the country to achieve net-zero emissions, to put it mildly. That said, I think we're at a hinge point in the country. There's much more consensus between businesses, the government of Canada, and Canadians about the need for climate action. We've got a lot of the measures in place now, carbon prices across the country, the federal climate plan, emissions reduction plan, and alike. So from my perspective, I've never been more optimistic that Canada can actually bend its ommission curve downwards once and for all.

Why Implementation is the Most Important Next Step in Reaching Our Goals

Rachel: What do you see as the most important next steps for Canada on energy and climate?

Monica: It might sound a bit strange, but I actually think the implementation is the most important next step. We often look at climate models. For example, if the federal government does this and this industry does that, we don't necessarily plan for what it takes to actually implement those measures in a way that's going to be feasible and effective in the real world of energy systems of federalism, of reconciliation with indigenous communities and the need for public support for projects. So that's going to be crucial.

It's really important that we have an integrated approach to energy and climate. We often make energy policy and climate policy in silos. So we don't necessarily have that integrated approach that solves not only Canada’s greenhouse gas emissions reductions but also energy imperatives.

How Climate Change Affects Youth

Rachel: Have you noticed a difference in how people, particularly youth, are looking at climate change and how do you think this will impact the way energy is extracted and consumed?

Monica: Canada's level of climate ambition has increased over time, including in the context of the pandemic. Youths are very ambitious about climate. There's also growing attention to energy affordability and reliability. People will be looking at Canada's climate finance and cost competitiveness of competing energy sources. I think the other thing I would point to, especially for youth, is that the increasing concern over climate change is also wrapped up with issues around equity, diversity, inclusion and social justice. So when it comes to sustainable development and energy consumption, we increasingly see young people looking at that through a racial lens, an indigenous lens, and a gender lens. I think what that means for companies is that things like ESG will be really important going forward.

The Key Learnings From COP 26

Rachel: Now let's take it to COP 26. What do you think will be the key learnings from COP this year, and how do you think it will initiate decision-making from global leaders?

Monica: I think there's lots of momentum around 2050 and achieving net-zero in Canada emissions by 2050. You know, the IEA report is carving up decision-making between now and 2030 and now, in 2050. I think that's a really useful way for leaders to think about the future.

On the negative side, we're still seeing a big disconnect between ambition and action. I think we still sometimes fall into the trap of confusing ambitious targets with effective actions. So, you know, my hope would be that we see global leaders, not just from government, but also from the industry, civil society, the financial community, and indigenous leaders, that they begin to turn to questions of implementation.

Learn More About Canadian Climate Targets

More Canadians are starting to truly understand the significance of climate change and how it impacts our overall society. It's imperative that we begin taking collective action on climate change, as only then will the ambitious goal of net-zero by 2050 become a reality.

If you're interested in learning more about achieving net-zero emissions and climate change mitigation from the people actively changing the game in North America's energy industry, register for the next Global Energy Show today.