I am extremely sceptical of the proposals to sequester carbon dioxide in
geologic formations as a means of addressing greenhouse gas emissions
into the atmosphere.  However, I believe there are enormous
opportunities for increases in efficiency and the use of renewable fuels
and other innovative approaches in mining the oilsands.  These could
include the use of solar and geothermal energy as pre-heating steps,
instead of natural gas; and the re-use of water instead of constant use
of fresh groundwater in the processes.  However, so long as consumers
keep demanding the finished products (gasoline, heating oil, diesel
fuel) and the price points are attractive, don't expect the majors to
stop harvesting the oilsands for environmental or climate change
reasons.

Darryl

Article follows.
======================================================

OTTAWA - It has been blamed as one of the big
villains causing global warming, but a new study by
PricewaterhouseCoopers has concluded that Alberta's
oilsands could play a key role in saving the planet
from the effects of climate change.
The consulting firm suggests Canada and other G7
countries must take the lead to tackle global warming
through various strategies to improve energy
efficiency, increase use of renewable fuels and
developing carbon capture and storage technology.
Under a "Green Growth Plus" plan, the firm
estimates a 17% reduction in global greenhouse gas
emissions, thanks in part to geological formations in
Western Canada that are suitable for storing carbon
underground.
"I think what's surprising about [the report] is the
emphasis that carbon capture and storage has on the
best-scenario case and how Western Canada can
actually help with climate change through carbon
capture and storage," said Christine Schuh, Canadian
climate change leader at PricewaterhouseCoopers.
With no strategy in place, Ms. Schuh said greenhouse
gas emissions would double around the world by
2050. However, the green growth plan would require
the G7 countries to reduce their overall emissions by
51% between 2004 and 2050, while the emerging
economies of China, India, Brazil, Russia, Mexico,
Indonesia and Turkey could increase their emissions
by 29%. Ms. Schuh said it would still allow for
modest economic growth of about 3% in GDP.
"It will shift the economy around," said Ms. Schuh,
based in Calgary. "I think what will happen is we'll
have a more energy-efficient economy, and probably
stimulate technologies that reduce greenhouse gas
emissions. That could mean a carbon-restricted
future."
Another study released yesterday by the David
Suzuki Foundation had harsh criticism for the Alberta
and Saskatchewan governments because of rising
greenhouse gas emissions and a lack of action on
climate change.
While Saskatchewan has the highest greenhouse gas
emissions proportional to its economy and
population, Alberta represents the biggest threat
because it produces the largest amount of emissions
overall.
"Both Saskatchewan and Alberta are at the bottom of
the list, but it's pretty easy to argue that
Saskatchewan is actually worse," said Dale Marshall,
a climate change policy analyst at the foundation. He
noted that a 2005 study by Petroleum Technology
Alliance Canada concluded that oil producers could
slash greenhouse gas emissions by 29 megatonnes
through investments to improve their efficiency. The
industry study concluded the investments would be
recuperated through new savings on operations.
Quebec, Manitoba and Prince Edward Island
garnered the most praise in the Suzuki report for
establishing serious plans to reduce greenhouse gas
emissions. The foundation also praised B.C. for
continuing to protect agricultural land.


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