B.C. Government Revises LNG Emissions Policy Amidst Controversy

British Columbia’s government has made a bold and historic move to reverse course on its growing emissions footprint. This change only applies to new liquefied natural gas (LNG) facilities. Energy and Climate Solutions Minister Adrian Dix first disclosed this shift in a letter from March 21. He then sent it directly to Alex MacLennan, chief…

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B.C. Government Revises LNG Emissions Policy Amidst Controversy

British Columbia’s government has made a bold and historic move to reverse course on its growing emissions footprint. This change only applies to new liquefied natural gas (LNG) facilities. Energy and Climate Solutions Minister Adrian Dix first disclosed this shift in a letter from March 21. He then sent it directly to Alex MacLennan, chief executive assessment officer of the province’s Environmental Assessment Office. LNG proponents will now have to provide a “credible plan” to achieve net-zero readiness by the end of the decade. This new direction is in place of the prior federal mandate for all facilities to be net zero greenhouse gas emissions by 2030.

Until now, pledges by Dix’s predecessor had aimed for tough rules that would require LNG terminals to adopt net-zero emissions. The recent policy change has brought lively and acerbic rebuttal from countless interested parties. Environmental advocates and energy economists have long criticized it for weakening the administration’s climate change efforts and even increasing greenhouse gas emissions.

Policy Change Details

The amended policy makes it easier for LNG projects in British Columbia to get the needed flexibility, a provision that has sparked concern among environmentalists. The new guidelines state that proponents must show a credible plan to be “net-zero ready” rather than requiring actual net-zero operations by 2030. This would grant LNG terminals much wider flexibility in how they operate and the volume of emissions they are allowed to output.

The Ksi Lisims LNG project is an example of this changing tide. It’s anticipated to use as much energy annually as the Site C dam will produce. Opponents are concerned the project would generate an additional 1.8 million tons of greenhouse gases annually. They are concerned that the state is becoming too dependent on gas for power.

B.C. Ministry of Energy and Climate Solutions has not answered questions from Business in Vancouver regarding the policy shift. Consequently, stakeholders are left trying to figure out what the new enforcement guidelines mean for them.

Criticism from Experts

In recent weeks, energy economist Werner Antweiler has been very public in his criticism of the B.C. government’s decision. He challenged the very idea that it would be possible to make LNG projects net-zero ready, labeling such plans as a “pipe dream.” Antweiler emphasized the deep environmental impacts of leaks from methane. As he said, “If methane gas escapes into the air during extraction, storage or transport, it is a greenhouse gas that is 80 times more potent than carbon dioxide in the first 20 years.”

Antweiler stressed the influence that this policy shift could have on future projects. He said it presents an “open-ended invitation” for LNG facilities to build gas-powered generators with no end date. He stressed the need for sufficient electricity as we electrify these builds better.

A lawyer for the plaintiffs, Matt Hulse, expressed similar frustration, calling the government’s changes a “leafing” level of change—that is, window dressing. One was beneficial, and the other two were harmful. These analyses imply that if British Columbia imposes more rigorous environmental standards, it will find it increasingly difficult to be competitive in the global LNG marketplace.

Support from Proponents

Supporters of the LNG industry view the policy change as a step forward for economic growth in British Columbia. Proponents have claimed the boom in natural gas exports will be a major driver of B.C.’s economy and thousands of jobs. Conservative Leader Pierre Poilievre has publicly committed to expanding Canada’s oil and gas industry amid rising U.S. tariffs, advocating for eliminating federal emissions caps. He stated:

“We need to get out from under America’s thumb and start building the infrastructure that is essential to sell our natural resources to new markets, bring home jobs and dollars, and make us sovereign and self-reliant to stand up to Trump from a position of strength.” – Pierre Poilievre

Proponents claim that even Canada’s own energy sector advocates have called for increased LNG production and it is the key to meeting market needs.

Environmental Concerns

Environmental groups are very concerned by the B.C. government’s changes. They cry foul because these unwelcome changes will lead to more greenhouse gas emissions. Environmental advocates say these rollbacks would put our hard-fought progress against climate change at serious risk, and shatter hopes for a more environmentally sustainable future. And they’re convinced that a strong commitment to achieving net-zero emissions is what’s best for British Columbia. This target is the most important one for reaching climate goals worldwide.

Natasha Laurent Avatar