An analysis of the rationale for Canada's withdrawal from the Kyoto Protocol and the possible impacts on the Canadian oil and gas industry

Abstract

Under the Kyoto Protocol, Canada pledged to reduce its greenhouse gas (GHG) emissions by 6% below its 1990 levels, from 2008-2012. Unfortunately, Canada withdrew in December 2011, which was effective from December 2012. This thesis analyses the rationale for Canada’s withdrawal and how it might impact its oil and gas industry. The qualitative method used, deploys the case study approach for the entire study. From an extensive empirical review, the research questions are analyzed using the constructive and interpretative analytical method, under two theoretical frameworks – The Rational Choice Theory and Public Choice Theory. Results show Canada renounced the Protocol because of huge oil sand deposits, which it could not have exploited under the 6% reduction target. Canada aims to check its GHG emissions only through a Canadian made GHG mitigation strategy. Opinions of oil and gas industry experts were not sampled due to lack of interest in the central research question. The thesis recommends more transparent operations from oil and gas companies regarding environmental issues. The federal government should adopt long term emission reduction goals with strict considerations of national energy resources and economic interests.