Dale Swampy, founder of the National Coalition of Chiefs. Photograph for Canadian Energy Centre

From the Canadian Energy Centre

By Deborah Jaremko

National Coalition of Chiefs founder Dale Swampy says Canada needs a more sustainable strategy for reducing emissions

The head of the National Coalition of Chiefs (NCC) says Ottawa’s proposed oil and gas emissions cap couldn’t come at a worse time for Indigenous communities.

Dale Swampy says the cap threatens the combined prospect of higher costs for fuel and groceries, along with fewer economic opportunities like jobs and revenues from involvement in energy projects.   

“Any small fluctuation in the economy is affected on our communities tenfold because we rely so much on basic necessities. And those are going to be the products that increase in price significantly because of this,” says Swampy, who founded the NCC in 2016 to fight poverty through partnerships with the natural resource sector.

He says that of particular concern is the price of fuel, which will skyrocket under the emissions cap because it will force reduced Canadian oil and gas production.

Analysis by S&P Global found that meeting the cap’s requirements would require a production cut of over one million barrels of oil equivalent per day (boe/d) in 2030, and 2.1 million boe/d in 2035.

“Production gets reduced, and the cost of fuel goes up,” Swampy says.

“Our concern is that everything that has to do with both fuel for transportation and fuel to heat our homes is amplified on First Nation communities because we live in rural Canada. We live in isolated communities, and it costs much more for us to operate our daily lives because we have to travel much further than anybody in a metropolitan area. So, it’s going to impact us greatly.”

Indigenous communities are already stretched financially, he says.

“What you could buy in 2019 terms of meat and produce is almost double now, and even though the inflation rate is trending downwards, we still haven’t gotten over the impact of what it costs for a bag of groceries these days,” Swampy says.

“In our communities, more than half are under the age of 21, so there’s a lot of bigger families out there struggling to just get food on the table.”

The frustrating timing of the cap is that it comes amid a rising tide of Indigenous involvement in Canadian oil and gas. Since 2022, more than 75 Indigenous communities in Alberta and B.C. have agreed to become part owners of energy projects.

Three major projects – the Trans Mountain Pipeline Expansion, Coastal GasLink Pipeline and LNG Canada export terminal – together have spent more than $11 billion with Indigenous and local businesses.

“We’re at a turning point right now. There’s a real drive towards getting us involved in equity opportunities, employment opportunities, and contracting opportunities,” Swampy says.

“Everybody who didn’t talk to us in the past is coming to our front door and saying, ‘Do you want to work with us?’ It couldn’t come at a worse time when we have this opportunity. The emissions cap is going to reduce the amount of activity, and it’s going to reduce the amount of investment,” he says.

“We’re part of that industry now. We’re entrenched in it now, and we have to support it in order to support our people that work in this industry.”

Economic growth, and more time, is needed to fund development of low emissions energy sources without ruining the economy, he says.

“I think we need more consultation. We’d like to see them go back to the table and try to incorporate more of a sustainable strategy for emission reductions,” Swampy says.

“We’re the only country in the world that’s actually incorporating this type of legislation. Do you think the rest of the world is going to do this type of thing? No, they’re going to eat our lunch. They’re going to replace the production that we give up, they’re going to excel in the economy because of it, and they won’t talk about significant emission reduction initiatives.”

From the Canadian Taxpayers Federation

By Ryan Thorpe 

Records obtained by the CTF show Clark’s lavish condo is just the tip of the iceberg, with the department dropping taxpayer cash on other luxury properties around the world.

Official residences in other countries: $38 million.

Properties in Afghanistan abandoned to the Taliban: $41 million.

Vacant land in Senegal: $12.5 million.

A chancery in Ukraine: $10.2 million.

Those are some of the holdings in Global Affairs Canada’s real estate portfolio, which has cost taxpayers $186 million in the past 10 years alone.

All told, Global Affairs Canada owns more than 400 properties in more than 70 countries, according to access-to-information records obtained by the Canadian Taxpayers Federation.

“Do we really need the government dropping tens of millions of dollars on official residences half-way around the world?” said Franco Terrazzano, CTF Federal Director. “Better question, does Senegal not have vacant land available for less than eight figures?

“With the government more than $1 trillion in debt, taxpayers need to know why the government is spending so much of our money overseas.”

Global Affairs Canada is embroiled in controversy after it purchased a $9-million luxury condo for New York Consul General Tom Clark amid a housing and cost-of-living crisis. 

The records obtained by the CTF show Clark’s lavish condo is just the tip of the iceberg, with the department dropping taxpayer cash on other luxury properties around the world.

Global Affairs Canada has spent $38.4 million on official residences since 2014, including New Zealand ($2.4 million), Barbados ($3.8 million) and Trinidad and Tobago ($2.5 million), among others. 

In London, U.K., Global Affairs Canada spent $58 million on 23 properties since 2015, all of which serve as “staff quarters,” according to the records. All told, Global Affairs Canada owns 65 properties in London purchased for $208 million. 

In Kabul, Afghanistan, Global Affairs Canada spent $41 million on three properties in late 2018 and 2019, which have since been abandoned to the Taliban. 

Prior to the first property in Kabul being purchased, the U.S. had already begun negotiations with the Taliban for an end to the Afghanistan War. 

Seven months after Global Affairs Canada purchased the last property in Kabul, the U.S. struck a deal with the Taliban for the withdrawal of American troops from the country.

On Aug. 15, 2021, Canada pulled its presence from Afghanistan.

“We have … been unable to inspect the state of these properties since that date,” Global Affairs Canada told the CTF in a written statement.

In October 2021, the Globe and Mail reported that “Islamist militants now guard the former headquarters of Canada’s diplomatic mission in the Afghan capital.”

“This is a lot of taxpayers’ money to spend on new property in Afghanistan when our ally had already been clear it was preparing to leave,” Terrazzano said. “Canadian taxpayers are out $41 million and the Taliban now has new digs, so is anyone in government going to answer for the decision to purchase these properties?”

In Kyiv, Ukraine, Global Affairs Canada purchased a chancery for $10.2 million in 2017.

In Senegal, a country in West Africa, Global Affairs Canada bought $12.5 million worth of “vacant land” in 2022.

“Global Affairs Canada’s real estate portfolio is bloated and the taxpayer tab is ludicrous,” Terrazzano said. “Someone in government must explain what value taxpayers are supposedly getting for the hundreds of millions of dollars spent on all these lavish properties in far flung countries.

“And if Canadians aren’t getting real value, then it’s time to sell off properties so taxpayers can recoup some of this money.”