Chief executive officers within the energy sector are asking the four federal political party leaders to declare an energy crisis in Canada and to utilize emergency powers for a swifter development of projects considered to be in the national interest.
“We are at a turning point in Canada's history and national interest,” they wrote in an open letter. “There is increasing public support to urgently grow our energy sector and build energy infrastructure, including new oil and natural gas pipelines and LNG (liquefied natural gas) terminals, to expand Canada's energy exports.”
The CBC reported that the chief executives of 10 of the biggest oil and natural gas companies and four of the biggest pipeline companies called upon the leaders of the Liberal, Conservative, NDP and Bloc Québécois parties to:
- simplify regulations
- commit to strict six-month deadlines for project approvals
- remove the federal limitation on emissions
- repeal the federal carbon levy on large emitters
- provide loan guarantees for Indigenous co-investment opportunities
In the letter, the energy sector executives also said that “all plausible global outlooks forecast oil and natural gas remaining among the world's largest sources of energy for decades to come.”
The CBC noted in its article that US President Donald Trump has threatened Canada’s sovereignty and has proposed a 10-percent levy on oil and natural gas, among other significant tariffs on Canadian goods.
Trump’s administration also has plans to make the US a stronger competitor in the energy space by raising energy production in the country, the CBC’s article added.
Energy execs speak up
“These are not normal times,” said Adam Waterous, executive chairman at Strathcona Resources Ltd. and CEO of the Waterous Energy Fund, as per the CBC. “Three months ago, we didn't have the same Canadian consensus to urgently build these projects.”
“I think there's been an awakening and more balance in the conversation around affordability, reliability and sustainability,” said François Poirier, chief executive at TC Energy Corp., according to the CBC.
“Geopolitical tensions, as well as some of the trade discussions that are ongoing between the United States and all of its counterparties are helping unite Canadians and helping Canadians understand the importance of diversifying its markets,” Poirier added.
“This moment absolutely calls for decisive action, but we need to be strategic and responsible about which projects and industries are developed,” said Janetta McKenzie, oil and gas program director at the Pembina Institute clean energy think-tank, reported the CBC.
“Do we want to follow the United States in a race to the bottom when it comes to environmental and climate regulation?” McKenzie also said.