Federal Minister Foresees Growth in Carbon Capture and Storage Projects in Canada

Federal Natural Resources Minister Jonathan Wilkinson predicts a significant increase in commercial-scale carbon capture and storage projects in Canada, with Shell Canada's Polaris project being just the beginning. The enactment of a new federal tax credit for CCS is expected to further boost investments in this sector.

Federal Natural Resources Minister Jonathan Wilkinson anticipates between 20 and 25 commercial-scale carbon capture and storage (CCS) projects to commence in Canada within the next decade. He shared this during an interview in Calgary, following Shell Canada's announcement of its Polaris CCS project in Alberta.

Shell's approval of the Polaris project coincided with the enactment of a new federal investment tax credit for CCS, enabling companies to apply for and obtain the tax credit.

Wilkinson expects further positive final investment decisions from other companies on CCS projects in the coming months. He also expressed confidence in the proposed $16.5-billion Pathways Alliance CCS initiative by a consortium of oilsands companies, potentially one of the largest CCS projects globally.