Premier Danielle Smith believes a framework for a federal-provincial agreement on ramping up Alberta’s industrial carbon price has largely been reached with Prime Minister Mark Carney — one that could be unveiled as early as this week.

And she believes the prime minister wants to see a new oil pipeline to the Pacific Coast go forward.

“Yes, absolutely,” Smith said in an interview.

“We’ve made our case that if we want to have an advantage in accessing Asian markets, then the best way to do that is to build a pipeline that is the shortest route to those Asian markets . . .

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“If we are going to open up those markets and demonstrate that Canada works and demonstrate the partnership, it kind of makes sense for us to build a made-in-Canada pipeline, so I feel very confident.”

Alberta’s premier and the prime minister sat down Friday for a 45-minute chat in Ottawa, discussing their joint federal-provincial energy accord, which was signed five months ago.

Under the memorandum of understanding (MOU), Ottawa committed it will declare Alberta’s proposed bitumen pipeline to the Pacific Coast a project of national interest. It can be referred to the Major Projects Office, where it will be considered for expedited federal approval.

However, a new pipeline to the British Columbia coast depends on the massive Pathways carbon capture project in the oilsands advancing, a proposal that has not received the green light from members of the Oil Sands Alliance.

As part of the MOU, the province agreed to negotiate a new industrial carbon price agreement under its Alberta’s Technology, Innovation and Emissions Reduction (TIER) system, increasing the levy on large emitters to an effective rate of $130 per tonne, but the pact didn’t spell out when the level must be hit.

The price is currently frozen at $95 a tonne, although carbon credits trade at a much lower level.

'Much more confident': Premier Danielle Smith says pipeline progress being made after meeting PM Mark........

© Calgary Herald