Why Eastern Canada Needs to Support Western Provinces and Reject the Government’s Energy Policies

There are currently about 400 different laws, regulations, taxes and other measures in Canada that serve as greenhouse gas (GHG) reduction measures. No one has a clue which of them are effective or useless or how much they are damaging our economy and reducing Canadians’ standard of living needlessly.

The federal Liberal government’s approach to energy policy has created problematic regional divisions across Canada. It’s time for the East to reject these crass politics and show greater support for the West.

Two recent court decisions — one at the Supreme Court and another at the Federal Court — have ruled against the federal government with respect to the Impact Assessment Act (the “No More Pipelines Bill”) and the single-use plastics ban. The courts found these laws to be unconstitutional as the federal government had intruded on provincial jurisdiction, among some other considerations such as the absurdity of declaring plastics “toxic.”

Around the same time, Environment Minister Steven Guilbeault announced a punitive new emissions cap on the oil and gas industry at COP28, which was also attended by Alberta Premier Danielle Smith and Saskatchewan Premier Scott Moe. This was seemingly timed to embarrass Guilbeault’s provincial counterparts and the Canadian oil and gas executives in attendance.

Back in October, Prime Minister Justin Trudeau announced a three-year exemption for home heating oil from the carbon tax. As heating oil is only used extensively in the Atlantic provinces, this was clearly an attempt to win back sharply declining Liberal support in that region. After Liberals claimed the carbon tax must be applied everywhere — in every industry and every region — this move served as a complete refutation of everything the Liberals had said before. It completely undermined their rationale for the carbon tax.

Meanwhile, countries around the world such as the United Kingdom and much of the European Union have been abandoning or significantly watering down their “net-zero” plans. Auto manufacturers are backing off production of electric vehicles (EVs) as they are not selling and all the lofty goals of the climate-crisis crowd are being questioned, as it has become clear the impact of these policies is hugely damaging to the economy and our standard of living.

For the trillions of dollars spent around the globe to attain the elusive net-zero target, very little has been achieved other than negative impacts on average citizens. Meanwhile, an elite class of “green” activists and government officials travel around the world first-class on the taxpayers’ dime, spewing much carbon in the process.

There are currently about 400 different laws, regulations, taxes and other measures in Canada that serve as greenhouse gas (GHG) reduction measures. No one has a clue which of them are effective or useless or how much they are damaging our economy and reducing Canadians’ standard of living needlessly. This is because the Trudeau government never evaluates the effectiveness of its policies.

The Liberals first sold us the carbon tax as the only measure needed to reduce GHGs, arguing it was a market-based mechanism that would motivate consumers and businesses to make their own sensible decisions to reduce fossil fuel usage. We were also told by former environment minister Catherine McKenna the carbon tax would never exceed $50 a tonne, which we now know was just one of many Liberal bald-faced lies as the tax is slated to increase to at least $170/tonne by 2030.

Despite dishonest claims the carbon tax was the only measure needed, we have subsequently seen the so-called Clean Fuel Standard, the absurdly red-tape intensive Impact Assessment Act (which the Supreme Court has now overthrown), and Guilbeault’s recent emissions cap.

Interestingly, other parts of the economy emit similar amounts of GHGs as the oil and gas sector, but those industries are not subject to an emissions cap. Could it be because those industries are located in regions that tend to vote Liberal, unlike Alberta and Saskatchewan? Perish the thought!

Throughout all of the climate policy overkill, the provinces of Alberta and Saskatchewan have remained steadfast in opposing foolish federal government initiatives based on facts, science and constitutional law. All Canadians should know that Alberta in particular is a disproportionately significant contributor to the rest of Canada in many ways — equalization payments, contributions to programs such as CPP and Employment Insurance as well as personal and corporate taxation and royalty revenue from the oil and gas industry.

It was truly ironic that, in the context of the federal budget earlier this year, Finance Minister Chrystia Freeland boasted that government revenues had come in higher than forecast. Yet the key source for this excess revenue was the oil and gas sector the Liberals are working hard to kill.

Alberta and Saskatchewan have been doing yeoman’s work defending the jurisdictional rights of all provinces and opposing the costly and unproductive federal government policies. At the same time, their success is boosting the economy of the whole country.

While Trudeau plays his destructive and divisive regional games — putting in place policies that benefit some parts of Canada while punishing others — all in the name of Liberal votes, the whole of Canada should call his bluff and support the leadership role that is being taken by the Prairie provinces.

The next federal election would be an ideal time to demonstrate that support.

Catherine Swift is president of the Coalition of Concerned Manufacturers and Businesses of Canada

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Canadian Energy Centre / 2 hours ago

Cross-Canada economic benefits of the proposed Northern Gateway Pipeline project

Alberta / 2 hours ago

Albertans need clarity on prime minister’s incoherent energy policy

Canadian Energy Centre

Cross-Canada economic benefits of the proposed Northern Gateway Pipeline project

Published on June 15, 2025

Todayville

From the Canadian Energy Centre

Billions in government revenue and thousands of jobs across provinces

Announced in 2006, the Northern Gateway project would have built twin pipelines between Bruderheim, Alta. and a marine terminal at Kitimat, B.C.

One pipeline would export 525,000 barrels per day of heavy oil from Alberta to tidewater markets. The other would import 193,000 barrels per day of condensate to Alberta to dilute heavy oil for pipeline transportation.

The project would have generated significant economic benefits across Canada.

The following projections are drawn from the report Public Interest Benefits of the Northern Gateway Project (Wright Mansell Research Ltd., July 2012), which was submitted as reply evidence during the regulatory process.

Financial figures have been adjusted to 2025 dollars using the Bank of Canada’s Inflation Calculator, with $1.00 in 2012 equivalent to $1.34 in 2025.

Total Government Revenue by Region

Between 2019 and 2048, a period encompassing both construction and operations, the Northern Gateway project was projected to generate the following total government revenues by region (direct, indirect and induced):

British Columbia

Provincial government revenue: $11.5 billion
Federal government revenue: $8.9 billion
Total: $20.4 billion

Alberta

Provincial government revenue: $49.4 billion
Federal government revenue: $41.5 billion
Total: $90.9 billion

Ontario

Provincial government revenue: $1.7 billion
Federal government revenue: $2.7 billion
Total: $4.4 billion

Quebec

Provincial government revenue: $746 million
Federal government revenue: $541 million
Total: $1.29 billion

Saskatchewan

Provincial government revenue: $6.9 billion
Federal government revenue: $4.4 billion
Total: $11.3 billion

Other

Provincial government revenue: $1.9 billion
Federal government revenue: $1.4 billion
Total: $3.3 billion

Canada

Provincial government revenue: $72.1 billion
Federal government revenue: $59.4 billion
Total: $131.7 billion

Annual Government Revenue by Region

Over the period 2019 and 2048, the Northern Gateway project was projected to generate the following annual government revenues by region (direct, indirect and induced):

British Columbia

Provincial government revenue: $340 million
Federal government revenue: $261 million
Total: $601 million per year

Alberta

Provincial government revenue: $1.5 billion
Federal government revenue: $1.2 billion
Total: $2.7 billion per year

Ontario

Provincial government revenue: $51 million
Federal government revenue: $79 million
Total: $130 million per year

Quebec

Provincial government revenue: $21 million
Federal government revenue: $16 million
Total: $37 million per year

Saskatchewan

Provincial government revenue: $204 million
Federal government revenue: $129 million
Total: $333 million per year

Other

Provincial government revenue: $58 million
Federal government revenue: $40 million
Total: $98 million per year

Canada

Provincial government revenue: $2.1 billion
Federal government revenue: $1.7 billion
Total: $3.8 billion per year

Employment by Region

Over the period 2019 to 2048, the Northern Gateway Pipeline was projected to generate the following direct, indirect and induced full-time equivalent (FTE) jobs by region:

British Columbia

Annual average: 7,736
Total over the period: 224,344

Alberta

Annual average: 11,798
Total over the period: 342,142

Ontario

Annual average: 3,061
Total over the period: 88,769

Quebec

Annual average: 1,003
Total over the period: 29,087

Saskatchewan

Annual average: 2,127
Total over the period: 61,683

Other

Annual average: 953
Total over the period: 27,637

Canada

Annual average: 26,678
Total over the period: 773,662

Alberta

Albertans need clarity on prime minister’s incoherent energy policy

Published on June 15, 2025

Todayville

From the Fraser Institute

By Tegan Hill

The new government under Prime Minister Mark Carney recently delivered its throne speech, which set out the government’s priorities for the coming term. Unfortunately, on energy policy, Albertans are still waiting for clarity.

Prime Minister Carney’s position on energy policy has been confusing, to say the least. On the campaign trail, he promised to keep Trudeau’s arbitrary emissions cap for the oil and gas sector, and Bill C-69 (which opponents call the “no more pipelines act”). Then, two weeks ago, he said his government will “change things at the federal level that need to be changed in order for projects to move forward,” adding he may eventually scrap both the emissions cap and Bill C-69.

His recent cabinet appointments further muddied his government’s position. On one hand, he appointed Tim Hodgson as the new minister of Energy and Natural Resources. Hodgson has called energy “Canada’s superpower” and promised to support oil and pipelines, and fix the mistrust that’s been built up over the past decade between Alberta and Ottawa. His appointment gave hope to some that Carney may have a new approach to revitalize Canada’s oil and gas sector.

On the other hand, he appointed Julie Dabrusin as the new minister of Environment and Climate Change. Dabrusin was the parliamentary secretary to the two previous environment ministers (Jonathan Wilkinson and Steven Guilbeault) who opposed several pipeline developments and were instrumental in introducing the oil and gas emissions cap, among other measures designed to restrict traditional energy development.

To confuse matters further, Guilbeault, who remains in Carney’s cabinet albeit in a diminished role, dismissed the need for additional pipeline infrastructure less than 48 hours after Carney expressed conditional support for new pipelines.

The throne speech was an opportunity to finally provide clarity to Canadians—and specifically Albertans—about the future of Canada’s energy industry. During her first meeting with Prime Minister Carney, Premier Danielle Smith outlined Alberta’s demands, which include scrapping the emissions cap, Bill C-69 and Bill C-48, which bans most oil tankers loading or unloading anywhere on British Columbia’s north coast (Smith also wants Ottawa to support an oil pipeline to B.C.’s coast). But again, the throne speech provided no clarity on any of these items. Instead, it contained vague platitudes including promises to “identify and catalyse projects of national significance” and “enable Canada to become the world’s leading energy superpower in both clean and conventional energy.”

Until the Carney government provides a clear plan to address the roadblocks facing Canada’s energy industry, private investment will remain on the sidelines, or worse, flow to other countries. Put simply, time is up. Albertans—and Canadians—need clarity. No more flip flopping and no more platitudes.