Prime Minister Mark Carney has signed a deal with the province of Alberta that opens the door for an oil pipeline to the Pacific — a project long pushed by Canada's oil heartland but one that faces significant hurdles before ever being built.
The energy accord, signed by Carney and Alberta Premier Danielle Smith in Calgary on Thursday, exempts the proposed pipeline from some federal environmental laws.
In exchange, Alberta must increase its carbon pricing and develop the world's largest carbon capture programme to reduce its emissions.
The deal marks a historic reset between Alberta and Ottawa, but raises doubt on if the project could become a reality without buy-in from those opposed.
On Thursday, Smith called the deal "a first step" for its proposed pipeline project.
