Mark Carney prepares to step into the heart of Calgary, a city historically wary of Liberal leadership. The echoes of past conflicts – Pierre Trudeau’s creation of Petro-Canada and the National Energy Program – still resonate, creating a complex backdrop for this visit.
Decades of strained relations between Ottawa and Alberta have defined the landscape, even throughout Justin Trudeau’s time as Prime Minister. Now, Carney hopes to forge a new path, signaled by a groundbreaking Memorandum of Understanding with Premier Danielle Smith.
Smith has publicly embraced the potential of this partnership, yet remains steadfast in her priority: a vital bitumen pipeline extending to the Pacific coast. This pipeline represents more than just energy infrastructure; it embodies Alberta’s economic ambitions.
The forthcoming agreement isn’t a blueprint for a specific pipeline project, but rather a framework for progress. It aims to establish the necessary conditions to unlock future development, a delicate balance of compromise and ambition.
Carney himself frames the initiative as a broader vision – one of economic growth, Canadian independence, and sustainable development. He believes this is about building a stronger, more resilient nation for the future.
A critical challenge lies in attracting investment. While Carney seeks foreign capital, domestic investment remains hampered by a cumbersome regulatory environment – a situation demanding urgent attention.
The deal is expected to see Alberta commit to maintaining its industrial carbon pricing and advancing the Pathways Alliance carbon capture project. In return, the federal government will consider easing emissions caps and navigating the complexities of the existing tanker ban along the British Columbia coast.
However, this potential agreement has ignited internal friction within Carney’s own Liberal Party. A cabinet meeting intended to last an hour stretched into a four-hour debate, revealing deep divisions over the proposed path forward.
Opposition is mounting from various corners. Green Party MP Elizabeth May warns of potential seat losses in British Columbia, while the Bloc Quebecois fears a retreat from climate change commitments. Even Conservative Leader Pierre Poilievre dismisses the deal as lacking concrete pipeline timelines.
Despite widespread public support – even in British Columbia – for a new oil pipeline, the politics of pipelines remain stubbornly entrenched. The promise of progress is often overshadowed by political maneuvering.
The true test of this MOU will be its ability to translate into tangible results, to move beyond caveats and actually facilitate construction. Canada shouldn’t require such intricate deals simply to build essential infrastructure.
The recent decision by Nutrien, a potash giant, to build a multi-billion dollar export terminal in Washington State instead of Canada underscores a troubling trend. Regulatory hurdles, taxes, and approval timelines pushed them south of the border.
This is precisely the type of project Canada should be actively courting, streamlining regulations for, and expediting. A competitive business environment is essential for attracting and retaining vital investment.
Carney’s focus, after this initial agreement, must shift to fundamentally reshaping Canada’s investment climate. He needs to dismantle the layers of anti-business regulations that have stifled growth and innovation.
The ultimate goal is a Canada where a Major Projects Office is no longer necessary, where agreements between the Prime Minister and premiers aren’t required to simply do business. A Canada where opportunity flourishes.
If Carney can achieve this, he will have delivered a lasting legacy – a Canada that is open for business, confident in its potential, and capable of charting its own prosperous future.
