The Canadian Association of Petroleum Producers (CAPP) has called on the country’s Competition Bureau to revise anti-greenwashing legislation enacted earlier this year. In a statement released Thursday, CAPP reiterated its demand for the complete removal of recent amendments to the law.
This development comes as the Competition Bureau works on guidelines to help companies interpret changes to Canada’s Competition Act, following pushback from the oil and gas sector. The amendments, which require businesses to provide evidence for their environmental claims, have sparked controversy within the fossil fuel industry. Companies argue that the legislation threatens significant penalties without offering clear compliance guidelines.
In June, several oil and gas companies, including members of the Pathways Alliance representing major oil sands producers, removed online content about their environmental objectives. They cited “significant uncertainty” surrounding the new legislation as the reason for this action.
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CAPP President Lisa Baiton expressed concern about the amendments, saying they have introduced “a new level of complexity and risk for those looking to invest in Canada.” She also questioned whether any guidance from the Competition Bureau could instill confidence in Canadian businesses to openly discuss their environmental goals and progress.
As Canada’s highest-polluting industry, the oil and gas sector faces pressure from the federal government to reduce emissions. While some companies have proposed solutions like carbon capture and storage, most have yet to make final investment decisions. Environmental advocates have questioned the industry’s commitment to climate action.
In its submission to the Competition Bureau, CAPP offered recommendations to improve the legislation. These include ensuring equal application of rules across all industries and better defining how companies’ environmental claims will be assessed. The Pathways Alliance also plans to participate in the ongoing consultations, with the submission deadline set for the end of September.
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