Mr. Speaker, I am glad to remind my hon. colleague that we are the only government to have built a pipeline to tidewater, something the previous Conservative governments and the oil and gas promoters on that side have never done. It is funny, because they laugh and scream, but they never were able to do it. We found the right formula. We understood that balance: the environment and the economy go hand in hand.
That is why the Government of Canada is putting a cap on greenhouse gas pollution from the oil and gas sector. That is a normal thing to do. Canada will be the first oil and gas producing country to do so. Our government published proposed regulations in November.
If the opposition members had their way, they would just let the sector pollute for free. We do not agree on this side of the House. They can challenge us on a policy, but they are still light on policy. All they have is five slogans. Until they showcase a policy, we can have an informed debate on this particular issue, but they still have nothing on the other side.
The greenhouse gas pollution cap will ensure that the sector invests in the maximum technically achievable decarbonization in order to achieve significant emissions reductions by 2030 and to get on a pathway to net-zero emissions by 2050. This is good for consumers around the world. If we are able to get to net zero, Canada will be able to promote its oil and gas sector, because that is what consumers around the world are asking for. It is possible. Of course, if we use the technology of today it is not possible. However, we have full confidence that the people, and the sector, will be able to succeed in this challenge.
We have faith in the people and the industry to rise to this challenge. On this side of the House, we believe in technology, but we need to challenge the industry. That is why we have set this target.
Cap and trade is a proven market-based approach that has been used successfully around the world to reduce emissions. Quebec, California and Ontario at one point had a cap-and-trade system. Quebec and California still have a cap-and-trade system and their economies did not fall. They are doing very well.
Over time, the government gives out fewer allowances. To comply, facilities must reduce their emissions or buy allowances from other facilities that have reduced their emissions. I am explaining the cap-and-trade system, a mechanism that has been in place for a long time in Canada, especially in Quebec and Ontario, and California.
The government will continue to work closely with industry, provinces, territories, indigenous groups and other stakeholders to set a realistic, technically achievable goal for the sector. We want industries to use better technologies and improve efficiency. This will allow oil and gas producers to maintain or even grow production while lowering pollution.
On this side of the House, we believe a cap-and-trade system is the right system and we know the oil and gas sector in Alberta will continue to flourish.