The governments of Ontario, Alberta, and Saskatchewan are collaborating to assess the viability of constructing a new pipeline stretching from the west to the east. This proposed pipeline aims to transport oil and gas from western regions to refineries and ports in southern Ontario.
Ontario has initiated a call for proposals to conduct a study exploring various options for establishing a new economic and energy corridor connecting these provinces. The goal is to ensure long-term energy access for households and businesses, generate numerous job opportunities, enhance trade and investments, and reinforce Canada’s standing as a global energy leader.
The resurgence of discussions on expanding Canada’s pipeline capacity was triggered by U.S. tariff threats earlier this year. The potential vulnerability of Canada’s energy infrastructure to such tariffs prompted considerations for building a new west-east pipeline to enhance the country’s self-reliance in the oil and gas sector, which has deep ties to the U.S. market.
Ontario Premier Doug Ford emphasized the necessity of the proposed pipeline to counter economic threats from the south. He highlighted the importance of building domestic energy infrastructure to safeguard energy security, explore new markets for Canadian resources, and foster job creation.
The collaboration between Alberta, Ontario, and Saskatchewan on pipeline and trade infrastructure development was formalized through a memorandum of understanding signed by the respective premiers. This agreement aims to facilitate the construction of pipelines and trade infrastructure across provincial boundaries.
Despite some increased support due to U.S. tariff concerns, public opinion in Canada remains divided on pipelines. While there has been a rise in backing for projects like Energy East, criticisms persist regarding expanding pipeline capacity, especially considering Canada’s commitments to reducing emissions and transitioning to cleaner energy sources amidst the ongoing climate crisis.
The Ontario government emphasized that pipelines represent the safest, most reliable, and cost-effective means to transport the energy essential for everyday Canadian use. The call for proposals for a feasibility study on the new pipeline project is open to companies nationwide.