The inclusion of greenhouse gas (GHG) emissions costs in energy systems decision- making requires the development of a framework to inform stakeholders of the full costs and benefits of potential investments. This thesis develops such a framework by integrating life cycle assessment (LCA) with cost-benefit analysis (CBA) to explore the GHG and economic tradeoffs involved in upgrading vs. diluting oil sands bitumen under proposed carbon-price policies. An LCA study of these pathways is conducted through the development of a well-to-tank (WTT) spreadsheet model based on engineering principles and industry data. Plausible ranges of GHG emissions are developed for these pathways to explore GHG reduction opportunities. A CBA is then conducted to explore the costs and benefits of upgrading and dilution investments from multiple stakeholder perspectives. This thesis finds that at stringent carbon prices (> $75/tonne CO2e), public and private stakeholders may diverge in their views on whether Alberta should upgrade bitumen.