The Fraser Institute released a report on the NDP’s carbon cap studying the extent to which it might decrease production in the oilsands and result in significant loss of revenues while at the same time having very little impact on greenhouse gas emissions.
According to the study, production could be reduced anywhere from 2.03 billion to 3.34 billion barrels between 2025 and 2040 with the 100 megatonne cap on GHG’s that the NDP have put in place.
With decreased production comes a loss in revenues estimated at between $153.41 billion and $254.74 billion.
According to production projections from the National Energy Board, leaving aside green rhetoric claiming there will be less demand for oil and more demand for renewables, oil production from the oil sands is going to increase significantly and could double by 2040.
I had a chance to talk to Ken Green from the Fraser Institute about the report.