Canada should consider west-east oil pipeline now that American relationship has changed: minister
Natural Resources Minister Jonathan Wilkinson highlighted the need for Canada to consider constructing a new west-east oil pipeline following President Donald Trump’s threat of tariffs, which exposed vulnerabilities in the country’s energy infrastructure. During a press briefing after a week spent in Washington advocating for the Canada-U.S. trade relationship, Wilkinson emphasized the reliance of certain Canadian regions, particularly Ontario and Quebec, on oil pipelines that traverse through the U.S. to fulfill their energy requirements. He stressed the importance of having serious discussions about the sustainability of this dependency, especially in light of potential trade conflicts with the U.S.
One of the critical pipelines in question is Enbridge’s Line 5, which transports Western Canadian oil across the continent and into Sarnia, Ont., passing through Michigan. The operation of Line 5 is subject to American influence, as evidenced by attempts from Michigan’s governor to shut it down. This pipeline supplies refineries that cater to approximately half of Ontario and Quebec’s fuel demands, encompassing various products like jet fuel for Toronto’s Pearson Airport and residential heating gas.
Wilkinson acknowledged the uncertainty created by these circumstances and called for national conversations on developing infrastructure that offers greater security for the country’s energy needs. While he did not advocate for the mandatory construction of a west-east pipeline, he emphasized the importance of including this option in discussions. He highlighted the ongoing dialogues between the federal government and provincial leaders to enhance Canada’s energy security in the oil sector.
Quebec Premier François Legault expressed reservations about an oil pipeline passing through the province but suggested that Trump’s actions could alter this stance. Conversely, Nova Scotia Premier Tim Houston voiced support for a hypothetical west-east pipeline, urging the approval of projects like Energy East to bolster Canada’s energy independence.
The completion of the Crown-owned Trans Mountain pipeline expansion was lauded by Wilkinson for enabling the transportation of 900,000 barrels of Canadian oil to the West Coast for international shipping without traversing U.S. territory. He underscored the significance of this investment in the current geopolitical climate.
Various stakeholders, including Alberta Premier Danielle Smith and Conservative Leader Pierre Poilievre, have advocated for reviving the Energy East project or similar initiatives to enhance Canada’s energy self-reliance. The project, supported by TC Energy, aimed to transport Alberta oil to eastern markets, reducing the country’s reliance on foreign oil imports.
Despite challenges posed by environmental opposition and Indigenous community concerns, TC Energy’s CEO François Poirier emphasized the potential benefits of operational export pipelines and infrastructure in strengthening Canada’s negotiating position and reducing dependence on the U.S. for energy trade. This underscores the importance of proactive measures to secure the country’s energy future.
