UPDATE 2-Suncor tells Canadian lawmakers it is sticking to climate commitments

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(Adds details on Suncor climate strategy, CEO quotes, environmental group's reaction in paragraphs 1, 3, 5-9)

By Nia Williams

Oct 16 (Reuters) -

Suncor Energy CEO Rich Kruger on Monday said the company remains committed to cutting carbon emissions, after his previous comments raised concerns Canada's second-largest oil producer was backtracking on its climate pledges.

Kruger, who appeared before a Canadian parliamentary committee in Ottawa to answer questions on Suncor's climate strategy, said in an earnings call in August that the company had put a "disproportionate emphasis" on the longer-term transition away from oil and gas to cleaner forms of energy.

Those comments, made during Canada's worst-ever wildfire season, sparked condemnation from environmental groups and were described as "disappointing" by Canadian Environment Minister Steven Guilbeault.

Kruger told the Standing Committee on Natural Resources that Suncor was still aiming to reach net-zero emissions by 2050, and would focus on decarbonizing oil production and growing its renewable fuels businesses.

"Our commitments on decarbonization and being part of the transition have not changed at all since I've taken over in this position six months ago," Kruger said.

Kruger, a former Exxon Mobil executive, took the helm at Suncor after its former chief executive officer, Mark Little, resigned following several years of operational upsets and a string of worker fatalities.

"For us to be a part of the solution for the long term we have to do today's business very well, and if you look back at the track record over the last several years at Suncor, that cannot be said," Kruger added.

Calgary-based Suncor is counting on carbon capture and storage and efficiency measures to help reach its climate goals. Last year, it sold its wind and solar business to focus instead on hydrogen and renewable fuels.

Environmental Defence, an advocacy group, described Kruger's testimony as "greenwashing" and urged the Canadian government to impose a strong cap on oil and gas emissions.

Kruger also told the committee that unpredictability in Canadian energy policy is scaring away capital investment in the sector. He made that remark days after Canada's Supreme Court ruled that a federal law assessing the environmental impact of major projects like oil sands plants was largely unconstitutional.

Canada is the world's fourth-largest crude producer, and Prime Minister Justin Trudeau's Liberal government has faced opposition from industry as it tries to introduce legislation to curb carbon emissions and overhaul the regulatory process for natural resource projects.

"If the hurdle is set at a certain height, that's fine. We just want to know it's not a moving target," Kruger said. (Reporting by Nia Williams; editing by Jonathan Oatis and Paul Simao)

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