Prime Minister Mark Carney and Alberta Premier Danielle Smith have signed a deal aimed at developing a new oil export pipeline. However, skepticism remains about whether the industry will step up to build it. Despite this uncertainty, industry executives and groups have welcomed the agreement, which signifies a shift in the historically contentious relationship between Alberta and the federal government. "This is what happens when governments choose growth over gridlock," said Avik Dey, CEO of Capital Power Corp., during a speech in Calgary. He emphasized that supportive regulations encourage major companies and investors to pursue energy development. The agreement outlines an ambitious plan requiring billions in private investment. It proposes a new pipeline capable of transporting one million barrels of oil per day from Alberta to the northern coast of British Columbia. Additionally, it mandates that the Pathways Alliance, a consortium of oilsands producers, approve a $16 billion carbon capture and storage system. The oil industry will also face a stronger industrial carbon tax and must reduce methane emissions by 75% over the next decade. Dean Setoguchi, CEO of Keyera Corp., expressed support for the Carney government's direction in the energy sector. "I like what I’m hearing from the prime minister and his office. I’m very, very encouraged, and I give him a lot of credit, because the direction that we’re going now is much more positive than what we’ve seen in the last decade," Setoguchi stated. Despite the optimism, analysts and industry observers question whether a company will actually commit to building the new pipeline. Current operators are prioritizing low-risk projects and may require incentives to undertake a long-term mega-project. Setoguchi noted, "There has to be a clear enough signal to the public markets and shareholders to say, ‘You know what; with all of these extra policies and things that we’re going to do, it’s still a good investment allocation of capital to grow our production here.’ That’s the math that still has to be figured out in my mind." The agreement also stipulates that consultation and partnership with Indigenous rights-holders and British Columbia are necessary before proceeding with the new pipeline. B.C. Premier David Eby’s NDP party criticized the negotiations, stating that they were conducted without involving the province. In a fundraising email, the party asserted, "Folks out east are trying to push forward a bitumen pipeline from Alberta that has no First Nations consent, and makes no financial or economic sense. It has no private proponent, no route, no private funding, and would cost taxpayers billions." The future of the proposed pipeline remains uncertain as discussions continue and stakeholders voice their concerns.