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Alberta

ECONOMIC RECONCILIATION IS A PRIORITY AT ENBRIDGE

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ECONOMIC RECONCILIATION IS A PRIORITY AT ENBRIDGE

Building and maintaining relationships with Indigenous nations and groups over the lifecycle of our assets is essential to Enbridge’s continued success as a leading North American energy delivery company. An important part of how we do business is to work with Indigenous communities to help increase their capacity to participate economically in our projects and operations. Economic engagement ranges from providing training and employment opportunities that build transferrable skills, to the procurement of goods and services from Indigenous businesses. To tap into Indigenous communities’ growing capacity and desire to participate in contracting and employment opportunities, Enbridge has adopted a supply chain process that requires prospective contractors to include detailed Socio-Economic Plans that outline how they will include local Indigenous communities and businesses in their work for Enbridge’s projects and operations. This approach exemplifies our desire to build long-term relationships which create value for both Indigenous communities and our business.

Enbridge has long recognized that hiring Indigenous businesses supports local employment, gives us the opportunity to understand available services and talent, and helps build trust and relationships. We also appreciate the important contribution that Indigenous businesses make each year to the overall economy.

In 2019, we marked a major milestone, surpassing $1 billion in Indigenous spending since 2011 across our Liquids Pipelines and Gas Transmission businesses. This includes direct spend with Indigenous businesses as well as subcontracting opportunities for Indigenous businesses, suppliers and wages paid to Indigenous workers from our contractors.

Our Line 3 pipeline replacement project (L3RP) is an excellent example of how our supply chain is delivering on our commitment to maximize Indigenous participation. This supports our efforts to advance economic reconciliation in accordance with the Truth and Reconciliation Commission’s Call to Action #92.

At $5.3 billion for the Canadian segment alone, the L3RP was the largest capital project in Enbridge’s history. It also represented our largest and most successful community engagement effort – including more than 150 Indigenous communities from as far as 300 kilometres from the pipeline right of way.

As of late September 2019, Indigenous spending on the L3RP totaled approximately $440 million for contracting and wages, while more than 1,100 Indigenous men and women were employed on project construction, representing approximately 20% of the overall workforce.

Indigenous monitors provided environmental and cultural perspective to the project construction team.

“The economic benefits flowing to Indigenous communities from Line 3 pipeline construction are no accident or happy coincidence,” says Enbridge’s Dave Lawson, Vice President of Major Projects. “Rather, they are the direct result of our comprehensive and proactive engagement program and the joint commitments between Enbridge and numerous Indigenous communities and groups.”

The leaders of several First Nations located along the Line 3 route note that “this economic stimulus benefited more than just the workers, it benefited the families and the Nations we represent.” They worked with Enbridge and “found ways to ensure environmental protections, and ways to secure tangible economic benefits and career development commitments for the indigenous people we represent. Enbridge listened and we believe this project has been a success for our people.”

Another community benefitting from the L3RP was the Manitoba Metis Federation (MMF). David Chartrand, President of the MMF says, “In order to work on a pipeline you have to have certification, so we got our people all ready and trained a year before the pipeline went in. We were ahead of the game.”

“I can honestly say,” he adds, “that this is one of the true success stories that we can probably talk about. Enbridge has got a blueprint for other companies if they want to use it.”

This focus on engagement and inclusion led to 58 cooperative project agreements with Enbridge, representing the participation of 95 Indigenous communities or groups.

“From the outset, we made a concerted effort to ensure Indigenous communities understood our project, specifically how they might participate and benefit economically,” explains Kim Brenneis, Director of Community and Indigenous Engagement. “I think the positive results we’ve seen speak to Enbridge’s strong commitment to inclusion as well as to building mutually-beneficial relationships with Indigenous nations.”

Beyond successful engagement, there are three major reasons for the strong Indigenous project participation and spending profile, explains Barry Horon, Director of Supply Chain Management for Projects.

“First, we worked with Indigenous communities to help create the capacity needed to participate in meaningful pipeline contracting and employment opportunities; second, Enbridge adopted a proactive supply chain process that, among other initiatives, required prospective contractors to include detailed Indigenous participation plans in their bids; and third, we implemented a labour strategy to enhance connections between Indigenous job seekers and our primary construction contractors through an online portal and the use of Indigenous labour brokers,” says Horon.

Indigenous men and women, such as Kara Pooyak of Sweetgrass First Nation, made up 20% of the Line 3 construction workforce.

Included in the Indigenous workforce were 27 construction monitor and nine liaison positions that provided both Indigenous perspectives and advice to the Line 3 project team. This helped to ensure that Enbridge’s environmental mitigation strategies – which were approved by the National Energy Board – were implemented during construction.

Another key component of the labour strategy was the now-completed Line 3 Pipeline 101 training-to-employment program. Over three years, more than 260 Indigenous men and women graduated from the program, many of whom have secured work on the L3RP.

Justin McKinney of Swan Lake First Nation is building a career in pipelining, thanks to training and mentorship he received during the Line 3 project.

Our experience with the L3RP led to an assessment of how Enbridge’s Indigenous engagement practices had evolved over the past few years. An outcome of this process was the introduction, in 2019, of our Indigenous Lifecycle Engagement Framework, which now guides our approach to building and sustaining long-term relationships across our business going forward, including for enhancing Indigenous economic participation in our projects and operation.

The framework was shared with several Indigenous nations in Canada. We are now incorporating their feedback into our planning and we will continue to seek to seek their input to ensure that our approach remains in step with their interests and goals.

Thanks to Todayville for helping us bring our members’ stories of collaboration and innovation to the public.

Click to read a foreward from JP Gladu, Chief Development and Relations Officer, Steel River Group; Former President and CEO, Canadian Council for Aboriginal Business.

JP Gladu, Chief Development and Relations Officer, Steel River Group; Former President & CEO, Canadian Council for Aboriginal Business

Click to read comments about this series from Jacob Irving, President of the Energy Council of Canada.

Jacob Irving, President of Energy Council of Canada

The Canadian Energy Compendium is an annual initiative by the Energy Council of Canada to provide an opportunity for cross-sectoral collaboration and discussion on current topics in Canada’s energy sector.  The 2020 Canadian Energy Compendium: Innovations in Energy Efficiency is due to be released November 2020.

 

Click below to read more stories from Energy Council of Canada’s Compendium series.

Read more on Todayville.

PETER SUTHERLAND SR GENERATING STATION POWERS NORTHEAST ONTARIO

COASTAL GASLINK PIPELINE PROJECT SETS NEW STANDARD WITH UNPRECEDENTED INDIGENOUS SUPPORT AND PARTICIPATION

The Energy Council of Canada brings together a diverse body of members, including voices from all energy industries, associations, and levels of government within Canada. We foster dialogue, strategic thinking, collaboration, and action by bringing together senior energy executives from all industries in the public and private sectors to address national, continental, and international energy issues.

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Alberta

Big win for Alberta and Canada: Statement from Premier Smith

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Premier Danielle Smith issued the following statement on the April 2, 2025 U.S. tariff announcement:

“Today was an important win for Canada and Alberta, as it appears the United States has decided to uphold the majority of the free trade agreement (CUSMA) between our two nations. It also appears this will continue to be the case until after the Canadian federal election has concluded and the newly elected Canadian government is able to renegotiate CUSMA with the U.S. administration.

“This is precisely what I have been advocating for from the U.S. administration for months.

“It means that the majority of goods sold into the United States from Canada will have no tariffs applied to them, including zero per cent tariffs on energy, minerals, agricultural products, uranium, seafood, potash and host of other Canadian goods.

“There is still work to be done, of course. Unfortunately, tariffs previously announced by the United States on Canadian automobiles, steel and aluminum have not been removed. The efforts of premiers and the federal government should therefore shift towards removing or significantly reducing these remaining tariffs as we go forward and ensuring affected workers across Canada are generously supported until the situation is resolved.

“I again call on all involved in our national advocacy efforts to focus on diplomacy and persuasion while avoiding unnecessary escalation. Clearly, this strategy has been the most effective to this point.

“As it appears the worst of this tariff dispute is behind us (though there is still work to be done), it is my sincere hope that we, as Canadians, can abandon the disastrous policies that have made Canada vulnerable to and overly dependent on the United States, fast-track national resource corridors, get out of the way of provincial resource development and turn our country into an independent economic juggernaut and energy superpower.”

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Alberta

Energy sector will fuel Alberta economy and Canada’s exports for many years to come

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From the Fraser Institute

By Jock Finlayson

By any measure, Alberta is an energy powerhouse—within Canada, but also on a global scale. In 2023, it produced 85 per cent of Canada’s oil and three-fifths of the country’s natural gas. Most of Canada’s oil reserves are in Alberta, along with a majority of natural gas reserves. Alberta is the beating heart of the Canadian energy economy. And energy, in turn, accounts for one-quarter of Canada’s international exports.

Consider some key facts about the province’s energy landscape, as noted in the Alberta Energy Regulator’s (AER) 2023 annual report. Oil and natural gas production continued to rise (on a volume basis) in 2023, on the heels of steady increases over the preceding half decade. However, the dollar value of Alberta’s oil and gas production fell in 2023, as the surging prices recorded in 2022 following Russia’s invasion of Ukraine retreated. Capital spending in the province’s energy sector reached $30 billion in 2023, making it the leading driver of private-sector investment. And completion of the Trans Mountain pipeline expansion project has opened new offshore export avenues for Canada’s oil industry and should boost Alberta’s energy production and exports going forward.

In a world striving to address climate change, Alberta’s hydrocarbon-heavy energy sector faces challenges. At some point, the world may start to consume less oil and, later, less natural gas (in absolute terms). But such “peak” consumption hasn’t arrived yet, nor does it appear imminent. While the demand for certain refined petroleum products is trending down in some advanced economies, particularly in Europe, we should take a broader global perspective when assessing energy demand and supply trends.

Looking at the worldwide picture, Goldman Sachs’ 2024 global energy forecast predicts that “oil usage will increase through 2034” thanks to strong demand in emerging markets and growing production of petrochemicals that depend on oil as the principal feedstock. Global demand for natural gas (including LNG) will also continue to increase, particularly since natural gas is the least carbon-intensive fossil fuel and more of it is being traded in the form of liquefied natural gas (LNG).

Against this backdrop, there are reasons to be optimistic about the prospects for Alberta’s energy sector, particularly if the federal government dials back some of the economically destructive energy and climate policies adopted by the last government. According to the AER’s “base case” forecast, overall energy output will expand over the next 10 years. Oilsands output is projected to grow modestly; natural gas production will also rise, in part due to greater demand for Alberta’s upstream gas from LNG operators in British Columbia.

The AER’s forecast also points to a positive trajectory for capital spending across the province’s energy sector. The agency sees annual investment rising from almost $30 billion to $40 billion by 2033. Most of this takes place in the oil and gas industry, but “emerging” energy resources and projects aimed at climate mitigation are expected to represent a bigger slice of energy-related capital spending going forward.

Like many other oil and gas producing jurisdictions, Alberta must navigate the bumpy journey to a lower-carbon future. But the world is set to remain dependent on fossil fuels for decades to come. This suggests the energy sector will continue to underpin not only the Alberta economy but also Canada’s export portfolio for the foreseeable future.

Jock Finlayson

Senior Fellow, Fraser Institute
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