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European Union dropping 'dirty oil' label on oilsands

The European Union is dropping plans to label oilsands crude as the dirty oil.

A proposal released today says no fuel would be penalized based on the carbon intensity of the base fuel.

It would have applied to oilsands crude because it takes more energy to produce than conventional oil, which means more greenhouse gases per barrel.

Critics argued the tag discriminated against oilsands products.