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Ministers pledge to boost energy exports


Canada's energy ministers vowed Tuesday to make the country a global superpower by growing Asian and American markets in the face of heightened political pressure to clean up energy supply and new criticism Alberta is exporting jobs with each barrel of bitumen produced.

Federal, provincial and territorial governments concluded four days of meetings Tuesday promising to collaborate on a national energy approach -- a broad, market-focused plan released at the conclusion of the annual energy and mines ministers conference. Ministers from British Columbia and Ontario did not attend.

Regulatory reform, a favourite subject of federal Natural Resources Minister Joe Oliver, topped the list of commitments that also included support for two contentious pipeline projects.

Improving energy efficiency; expanding awareness; the development of new markets and international trade; and devising a plan to advance smart grid technology and electricity reliability were also touted.

"I believe a shared vision of energy is crucial to Canada's long-term future as a global energy superpower," Oliver told reporters at the Delta Lodge.

Canada's energy sector, he said, should be "market-focused" with a regulatory regime that's transparent, effective and efficient, repeating his goal of a "one-project, one-review" oversight model.

Such an approvals process would better enable massive projects meant to increase energy exports, such as the proposed $5.5-billion Enbridge Inc. Northern Gateway pipeline that would ship bitumen from the oilsands to British Columbia's West Coast where it would be loaded onto tankers - allowing overseas Asian customers to buy Canada's oil, Oliver said.

That project, the subject of hearings beginning in January, has been strongly opposed by some B.C. native groups.

"One of the issues that is very important is that we have to diversify our markets," he said, noting the United States consumes 97% of energy exports from Canada.

Still, the federal minister emphasized his government's support of TransCanada Corp.'s proposed Keystone XL pipeline that would bring Alberta bitumen to U.S. Gulf Coast refineries.

The project -- still under review by the U.S. State Department -- has faced scrutiny south of the border by those wary of more crude imports from the oilsands.

The call to increase energy exports came a day after the Alberta Federation of Labour criticized the province for failing to meet Premier Ed Stelmach's commitment that Alberta would see 72% of oilsands production upgraded in the province by 2016,

The labour group said Energy Resources Conservation Board projections show increasingly less bitumen extracted in the province -- falling to 52% by 2016 -- will be upgraded at home, as more production comes onstream.

Western Canadian oil and gas firms dominating the sector's business community and environmental community groups, alike, were looking for concrete outcomes from conference discussions.

In an interview ahead of meetings, Progress Energy Resources Corp. president and CEO Michael Culbert said one specific way to improve regulation would be to deal with environmental, First Nations and landholder issues up front for pipelines and natural gas liquefaction and export near the Kitimat and Prince Rupert areas of British Columbia's West Coast, due to the growing number of projects proposed in the region -- Progress Energy's potential LNG export terminal among them.

Tides Canada director Merran Smith, who shared her environmental group's view that Canada needs low-carbon energy policies with ministers on Monday, said the country is "missing the boat" on clean energy.