Posted by Stacy Richter on May 15 at 11:14 AM
David Collyer, President of the Canadian Association of Petroleum Producers (CAPP) held an online discussion through the Globe and Mail’s Report on Business. Mr. Collyer responded to many questions about several issues and I was able to ask David about his thoughts on a cap and trade system versus carbon credits or a carbon tax.
I asked David Collyer:
“What are your thoughts about how a cap and trade system will affect the oil and gas industry? Considering all stakeholders involved, is cap and trade better than carbon credits or carbon tax?”
He responded saying:
“Discussion of climate change policy often revolves around the mechanism used, such as carbon tax or cap and trade. Both are forms of carbon pricing.
The industry has long supported a carbon pricing system and in fact are already subject to such a policy in Alberta. The key principles that we feel are important in the design of a carbon pricing system are:
-balance of energy, economy and environment
-focus on support and development of technology
-address competitiveness
-provide predictability and stability necessary to make long-term investment decisions
-the price should be applied broadly across the economy
The key policy questions that need to be addressed are the price level and the distribution of costs and benefits across [jurisdictions] and economic sectors. Either a carbon tax or a cap and trade mechanism can be designed to [achieve] the desired policy objectives. “
I think two of the key points he mentioned are balance and competitiveness. Sacrificing the environment for economy is no longer an option and certainly promoting the environment at the expense of our energy requirements or livelihoods is difficult to swallow.
I agree that a focus on support and development of technology is a key enabler to the balance and competitiveness issues mentioned, but feel that technology will emerge as a result of necessity and not necessarily prudent planning.
Please enjoy the full discussion as David Collyer addresses other issues such as sustainability and forecasting demand at
'Ask an oil man'.
Topics: energy, sustainability SHARE: 
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