CLRA is encouraged by the memorandum of understanding (MOU) between Prime Minister Mark Carney and Alberta Premier Danielle Smith, which represents a significant step forward for Alberta’s construction industry. It signals the federal government’s commitment to building critical energy infrastructure that supports Canadian workers and our economy.
The MOU establishes a clear pathway for a new pipeline to the west coast, with Alberta required to submit a formal proposal by July 1, 2026, for review through the newly established Major Projects Office. For CLRA members, this could mean one of Canada’s most significant pipeline projects in a generation – a line capable of moving one million barrels per day to Asian markets.
But the pipeline is just the start. The agreement also supports the Pathways Alliance carbon capture project, which aims to become the world’s largest carbon capture, utilization and storage (CCUS) network. Major transmission lines connecting Alberta, B.C. and Saskatchewan will be needed. Large-scale data center infrastructure is part of the framework. Long-term nuclear generation development is on the table to support an expanded low-carbon grid. Each of these represents significant construction opportunities for Alberta’s skilled trades.
“This agreement shows that both levels of government understand what Alberta’s construction industry has been saying for years; Canada needs major infrastructure and Alberta has the skilled workforce to build it,” said CLRA President, Joe McFadyen. “Projects of this scale will create thousands of jobs for pipefitters, welders, heavy equipment operators, electricians, ironworkers and laborers for many years. Our members have the skills and experience to build what’s needed.”
The federal government’s decision to exempt Alberta from clean electricity regulations and not implement the federal oil and gas emissions cap demonstrates a recognition that economic growth and environmental responsibility can coexist. Alberta’s commitment to maintain and expand its industrial carbon pricing to $130 per tonne, along with support for the Pathways Alliance carbon capture project, provides a balanced approach that creates construction opportunities while addressing environmental concerns.
While this is a positive development, there is still significant work ahead. The MOU represents a major shift in how Ottawa and Alberta work together on energy development but turning that into results will require more work. Federal and provincial governments need to finalize carbon pricing negotiations. Coordinated consultation with First Nations must happen. Regulatory pathways for carbon capture, electrification and transmission infrastructure need to be established.
B.C.’s Premier has opposed the agreement, and several Indigenous communities have raised concerns about pipeline development through their territories. Beyond provincial opposition, there’s no committed private-sector proponent yet to actually build the pipeline. Addressing these challenges will require real engagement, respect for Indigenous rights and solutions that balance environmental and economic priorities. Converting this MOU into built projects will require collaboration across governments, industry and Indigenous communities.
Our members are ready to build this infrastructure, and we have the skilled workforce to deliver it. CLRA will continue advocating for major projects and working alongside government, industry and Indigenous partners to support meaningful consultation and help turn this opportunity into reality.