A Conservative push to eliminate the Liberal government’s oil and gas emissions cap was overwhelmingly rejected on Tuesday, with every other party in Parliament voting against the motion.
The opposition motion, introduced by Conservative MP Andrew Scheer, called on Prime Minister Mark Carney to “immediately repeal the oil and gas emissions cap, which in effect is a production cap.”
While 140 Conservative MPs voted for the motion, 191 MPs from other parties voted against it.
Shortly before the vote occurred, Conservative MP Shannon Stubbs issued a series of warnings about the cap in a post to X.
The first point she raised was that the cap would kill 54,000 Canadian jobs.
The Liberals previously dismissed a report from the Parliamentary Budget Officer, which claimed that the cap would result in 54,400 jobs lost and a $20.5-billion drop in Canada’s GDP by 2032.
Stubbs added that the cap infringes on provincial jurisdiction and would lead to further legal challenges.
Alberta previously invoked the Sovereignty Act to fight the federal emissions cap, arguing that it violated section 92A of the Constitution, which gives provinces exclusive jurisdiction over non-renewable natural resource development.
Alberta Premier Danielle Smith previously called the cap “a deranged vendetta” that specifically targets her province.
“How are you supposed to participate in good faith with a partner who hammers you over the head when your back is turned? That’s how we feel today,” she said at the time.
Stubbs added that Canada is the only country with a federal absolute cap on its own oil and gas production.
Despite the cap, Stubbs said that experts have claimed it will lead to higher global emissions.
“It will hurt Indigenous, rural and remote communities the most, which the Liberals knew but don’t seem to care. Experts warn Canada is either already in or heading towards a recession. Canada cannot afford a cap on its success,” she said.
Federal environment officials admitted on Monday that the recently scrapped consumer carbon tax had a negligible impact on reducing emissions.
The Business Council of Canada previously warned that the cap would cripple the Canadian economy. It warned that companies would be forced to cut production, worsening the country’s inflation and affordability problems. Some companies have begun to leave.
TC Energy—one of the country’s biggest energy companies, based in Calgary—recently decided to invest $8.5 billion in new U.S. power projects instead of Canada.“The returns we can earn in the United States are significantly more attractive than they are in Canada,” said Chief Executive Officer and President of TC Energy, François Portier, in an interview at the 2025 Concordia Annual Summit. “I expect that the US will continue to be where we’ll invest.”