432-00659 (Natural resources and energy)

The Government of Canada acknowledges that a well-functioning oil and gas industry will be fundamental to Canada’s post-pandemic recovery and climate ambitions. This is why the government has taken a number of measures to support energy workers impacted by the pandemic while achieving sustainability objectives. Assistance for the oil and gas industry includes $2.8 billion in targeted supports for the sector, in addition to economy-wide liquidity measures that are currently helping many oil and gas firms through the pandemic. These measures are helping get people back to work, while helping the industry reduce its environmental impact.

The government also remains firmly committed to supporting the competitiveness of the energy sector by working with federal and provincial counterparts, industry and other parties in two key areas. First, to identify the barriers facing Canada’s oil and gas sector. Second, to pinpoint future growth opportunities that will connect Canada’s resources to new markets. The government continues to support key infrastructure projects such as Trans Mountain Expansion project, LNG Canada and the NGTL 2021 natural gas pipeline expansion project. Completing these infrastructure projects safely also supports good middle-class jobs.

The government also recognizes that the long-term success of Canada’s oil and gas sector depends on the industry’s efforts to decarbonize and remain competitive in a low-carbon economy. The Strengthened Climate Plan (SCP), announced on December 11, 2020, underscores the government’s commitment to work collaboratively with provinces, territories, industry, and labour groups to support all of Canada’s industrial sectors in their decarbonisation efforts. Several of the measures announced through the SCP will support the implementation of the Hydrogen Strategy for Canada and the Clean Fuel Regulations. These measures include the investment of $1.5 billion for a Low-carbon and Zero-emissions Fuels Fund to help grow the production and use of clean fuels in Canada. The government is also launching a Net-Zero Challenge for large emitters to develop and implement plans to achieve net-zero emissions by 2050. As companies seek new ways to build their clean industry advantage, they can tap into the $3 billion Strategic Innovation Fund’s Net-Zero Accelerator to help scale up low-carbon technologies.

The SCP also reaffirms the Government of Canada’s commitment to create over one million jobs, restoring employment to pre-pandemic levels. Many of these jobs will be in both the traditional energy and the low-carbon fuels sectors. These are sectors that require highly skilled workers who are well-paid. These skillsets are often directly transferrable across the economy. The government wants to expand Canada’s skilled workforce. That is why it is making the largest training investment in Canadian history. This will include supporting Canadians as they build new skills in growing sectors, helping workers receive the education and accreditation they need, and strengthening workers’ futures, by connecting them to employers and good jobs. To prepare for the jobs of the future, the government is investing $225 million in the Future Skills initiative to ensure that Canada’s skills development policies and programs align with evolving labour market trends.

The government is also taking action to make Canada a more attractive place to invest and do business. Through the modernization of the regulatory review processes, the government has put in place better rules that ensure public confidence in how decisions are made on major natural resource projects. These rules help the government take into account the potential environmental impact of major projects, lead to more timely and predictable reviews, and encourage investment in Canada’s energy sector.

Internationally, the government is taking steps to position Canada as a preferred partner for those seeking to be key players in tomorrow’s economy. The government is engaging with members of the international community to re-affirm Canada’s commitments to the energy sector, its support for innovation, and Canada’s strong trade and investment value proposition. Canada boasts stable and predictable political and economic systems, low corporate tax rates, and free trade and investment agreements covering over two-thirds of the global economy.

These Government of Canada measures will set the energy sector up for success now, and help it thrive in an increasingly low-carbon future.