A Serious Issue for All Canadians: CAPP’s Proposal to Amend the Competition Act

CALGARY, Alberta, Sept. 5, 2024 (GLOBE NEWSWIRE) — The Canadian Association of Petroleum Producers (CAPP) today released a formal submission to the Bureau of Competition to develop guidelines regarding the federal government’s recent changes to the Competition Act.

Organizations in Canada should be held accountable for demonstrating that their environmental claims are substantiated and credible. However, the amendments to the Competition Act combine significant penalties with a lack of clarity on compliance, creating high risks for any company.

CAPP believes it would be best to repeal the recent amendments due to the lack of comprehensive consultation on environmental claims in the context of economic or business benefits.

However, CAPP recognizes that the Bureau of Competition does not have a mandate to remedy the fundamental flaws in this legislation and respects the Bureau’s role in developing guidance that will hopefully go some way to mitigating some of these flaws. Given the scope of the consultation process, CAPP’s submission addresses the technical questions raised by the Bureau of Competition and offers additional comment.

The full text of CAPP’s position can be found on its website.

Quotes from Lisa Baiton, President and CEO of CAPP

“We are extremely disappointed with the amendments to the Competition Act contained in Bill C-59, which are disguised as anti-economy measures. These amendments effectively silence discussion of climate and environmental policy for political gain, while promoting the voices of those most opposed to Canada’s oil and gas sector.”

“The federal government implementing a law without consultation that inherently undermines the ability to engage in open discussions about some of the most important issues facing the country today should be a serious concern for all Canadians. We are not convinced that any guidance provided by the Bureau of Competition can provide Canadian businesses with the confidence to openly discuss their environmental goals and progress.”

“The federal government’s approach to these amendments has introduced a new level of complexity and risk for those looking to invest in Canada. The amendments to the Competition Act will make it harder for applicants to talk to Canadians and gain public support for their projects, particularly those focused on reducing emissions.”

About CAPP

The Canadian Association of Petroleum Producers (CAPP) is a nonpartisan, research-based industry association that advocates on behalf of our member companies, large and small, that explore, develop and produce oil and natural gas across Canada. Our affiliate members provide a wide range of services to support the mining industry.

CAPP members produce almost three-quarters of Canada’s annual oil and gas production and support approximately 450,000 direct and indirect jobs in nearly every region of Canada. According to the most recent published data, the industry contributes more than $70 billion to Canada’s GDP, as well as $45 billion in taxes and royalties to governments across the country. CAPP is a solutions-oriented partner and works with all levels of government to ensure Canada’s oil and gas industry thrives.

We are committed to meeting the need for safe, reliable, affordable and responsibly produced energy for Canada and the world. We are proud to strengthen industry efforts to reduce greenhouse gas emissions from oil and gas production and support the participation and well-being of Indigenous Peoples.