Business
Premiers Rally For Energy Infrastructure To Counter U.S. Tariff Threats

From the Frontier Centre for Public Policy
With U.S. tariffs looming, Premiers push for border security, pipelines, and interprovincial trade reform
After more than eight years of federal policies that have challenged the oil and gas industry, imagining Canadian energy policy in a post-Trudeau era is no easy task.
However, recent meetings addressing the threat of United States tariffs may offer hope for revisiting energy policies through provincial collaboration.
The January 2025 Council of the Federation meetings, attended by all 13 provincial and territorial premiers, produced several key value propositions.
- After spending a week in Washington, D.C., meeting with Donald Trump and his administration, Alberta Premier Danielle Smith highlighted the provinces’ resource strengths.
- British Columbia can leverage germanium—a critical mineral essential in defence applications that China will no longer export to the U.S.
- Saskatchewan’s uranium supply offers an alternative to reliance on Kazakhstan and Russia.
- Canadian provinces can provide resources that align with U.S. energy goals.
Any provincial initiatives must also address U.S. priorities, including tighter border security and increased defence spending.
To meet U.S. energy security needs, Canada must remove policy barriers hindering development. Policies like the Clean Energy Regulations (CER), the emissions cap, and the net-zero vehicle mandate (starting January 2026) are significant challenges. Provinces must collaborate to amend or remove these policies, ensuring they do not survive the next federal election. Alberta and Saskatchewan have already opposed the CER, and the proposed emissions cap remains under review.
The federal government acknowledges that these policies must be re-evaluated to avoid obstructing shared energy goals, including:
- carbon pollution pricing
- methane regulations
- clean fuel standards
- carbon capture incentives
- emissions reduction funding
- clean growth programs
- best-in-class guidelines for new oil and gas projects under federal review.
The U.S.’s energy deficit—20 million barrels consumed daily versus 13 million produced—creates an opportunity for Canada. Achieving this requires dismantling interprovincial trade barriers and developing infrastructure projects from coast to coast. The Council meetings have initiated such collaboration, with ongoing bilateral discussions expected. Infrastructure projects like pipelines to the East and West coasts would enable Canada to supply the U.S. and other global markets, reducing reliance on hostile regimes.
Newfoundland and Labrador Premier Andrew Furey stated: “I see energy as Canada’s queen in the game of chess. We don’t need to expose our queen this early. The opposition needs to know that the queen exists, but they don’t need to know what we’re going to do with the queen.”
Saskatchewan Premier Scott Moe and Alberta Premier Danielle Smith have rejected measures that would affect Canada’s energy exports to the U.S.
“When you look at the pipeline system, how oil is actually transported into the U.S. and back into Canada,” Moe said, “it would be very difficult, and I think impossible operationally to even consider.” Manitoba Premier Wab Kinew emphasized the importance of national unity, stating that energy decisions must not fracture the country. Ontario Premier Doug Ford warned that tariffs could cost Ontario 500,000 jobs, while P.E.I. Premier Dennis King noted that tariffs could cost 25 per cent of P.E.I.’s GDP and 14,000 jobs—a catastrophic loss for the province.
The Council meetings highlighted three key priorities:
- Demonstrate Canada’s commitment to border security and meet its two per cent GDP NATO target.
- Build oil and gas pipelines east and west to diversify markets and remove interprovincial trade barriers, enabling a stronger national economy.
- Secure provincial consent before imposing export tariffs or restrictions that could harm individual provinces.
This emerging consensus underscores that Canada’s energy future depends on proactive, constructive diplomacy with U.S. lawmakers, supported by a unified provincial front and practical energy policies that benefit both nations.
Maureen McCall is an energy business analyst and Fellow at the Frontier Center for Public Policy. She writes on energy issues for EnergyNow and the BOE Report. She has 20 years of experience as a business analyst for national and international energy companies in Canada.
Business
It Took Trump To Get Canada Serious About Free Trade With Itself

From the Frontier Centre for Public Policy
By Lee Harding
Trump’s protectionism has jolted Canada into finally beginning to tear down interprovincial trade barriers
The threat of Donald Trump’s tariffs and the potential collapse of North American free trade have prompted Canada to look inward. With international trade under pressure, the country is—at last—taking meaningful steps to improve trade within its borders.
Canada’s Constitution gives provinces control over many key economic levers. While Ottawa manages international trade, the provinces regulate licensing, certification and procurement rules. These fragmented regulations have long acted as internal trade barriers, forcing companies and professionals to navigate duplicate approval processes when operating across provincial lines.
These restrictions increase costs, delay projects and limit job opportunities for businesses and workers. For consumers, they mean higher prices and fewer choices. Economists estimate that these barriers hold back up to $200 billion of Canada’s economy annually, roughly eight per cent of the country’s GDP.
Ironically, it wasn’t until after Canada signed the North American Free Trade Agreement that it began to address domestic trade restrictions. In 1994, the first ministers signed the Agreement on Internal Trade (AIT), committing to equal treatment of bidders on provincial and municipal contracts. Subsequent regional agreements, such as Alberta and British Columbia’s Trade, Investment and Labour Mobility Agreement in 2007, and the New West Partnership that followed, expanded cooperation to include broader credential recognition and enforceable dispute resolution.
In 2017, the Canadian Free Trade Agreement (CFTA) replaced the AIT to streamline trade among provinces and territories. While more ambitious in scope, the CFTA’s effectiveness has been limited by a patchwork of exemptions and slow implementation.
Now, however, Trump’s protectionism has reignited momentum to fix the problem. In recent months, provincial and territorial labour market ministers met with their federal counterpart to strengthen the CFTA. Their goal: to remove longstanding barriers and unlock the full potential of Canada’s internal market.
According to a March 5 CFTA press release, five governments have agreed to eliminate 40 exemptions they previously claimed for themselves. A June 1 deadline has been set to produce an action plan for nationwide mutual recognition of professional credentials. Ministers are also working on the mutual recognition of consumer goods, excluding food, so that if a product is approved for sale in one province, it can be sold anywhere in Canada without added red tape.
Ontario Premier Doug Ford has signalled that his province won’t wait for consensus. Ontario is dropping all its CFTA exemptions, allowing medical professionals to begin practising while awaiting registration with provincial regulators.
Ontario has partnered with Nova Scotia and New Brunswick to implement mutual recognition of goods, services and registered workers. These provinces have also enabled direct-to-consumer alcohol sales, letting individuals purchase alcohol directly from producers for personal consumption.
A joint CFTA statement says other provinces intend to follow suit, except Prince Edward Island and Newfoundland and Labrador.
These developments are long overdue. Confederation happened more than 150 years ago, and prohibition ended more than a century ago, yet Canadians still face barriers when trying to buy a bottle of wine from another province or find work across a provincial line.
Perhaps now, Canada will finally become the economic union it was always meant to be. Few would thank Donald Trump, but without his tariffs, this renewed urgency to break down internal trade barriers might never have emerged.
Lee Harding is a research fellow with the Frontier Centre for Public Policy.
2025 Federal Election
Carney’s budget is worse than Trudeau’s

Liberal Leader Mark Carney is planning to borrow more money than former prime minister Justin Trudeau.
That’s an odd plan for a former banker because the federal government is already spending more on debt interest payments than it spends on health-care transfers to the provinces.
Let’s take a deeper look at Carney’s plan.
Carney says that his government would “spend less, invest more.”
At first glance, that might sound better than the previous decade of massive deficits and increasing debt, but does that sound like a real change?
Because if you open a thesaurus, you’ll find that “spend” and “invest” are synonyms, they mean the same thing.
And Carney’s platform shows it. Carney plans to increase government spending by $130 billion. He plans to increase the federal debt by $225 billion over the next four years. That’s about $100 billion more than Trudeau was planning borrow over the same period, according to the most recent Fall Economic Statement.
Carney is planning to waste $5.6 billion more on debt interest charges than Trudeau. Interest charges already cost taxpayers more than $1 billion per week.
The platform claims that Carney will run a budget surplus in 2028, but that’s nonsense. Because once you include the $48 billion of spending in Carney’s “capital” budget, the tiny surplus disappears, and taxpayers are stuck with more debt.
And that’s despite planning to take even more money from Canadians in years ahead. Carney’s platform shows that his carbon tariff, another carbon tax on Canadians, will cost taxpayers $500 million.
The bottom line is that government spending, no matter what pile it is put into, is just government spending. And when the government spends too much, that means it must borrow more money, and taxpayers have to pay the interest payments on that irresponsible borrowing.
Canadians don’t even believe that Carney can follow through on his watered-down plan. A majority of Canadians are skeptical that Carney will balance the operational budget in three years, according to Leger polling.
All Carney’s plan means for Canadians is more borrowing and higher debt. And taxpayers can’t afford anymore debt.
When the Liberals were first elected the debt was $616 billion. It’s projected to reach almost $1.3 trillion by the end of the year, that means the debt has more than doubled in the last decade.
Every single Canadian’s individual share of the federal debt averages about $30,000.
Interest charges on the debt are costing taxpayers $53.7 billion this year. That’s more than the government takes in GST from Canadians. That means every time you go to the grocery store, fill up your car with gas, or buy almost anything else, all that federal sales tax you pay isn’t being used for anything but paying for the government’s poor financial decisions.
Creative accounting is not the solution to get the government’s fiscal house in order. It’s spending cuts. And Carney even says this.
“The federal government has been spending too much,” said Carney. He then went on to acknowledge the huge spending growth of the government over the last decade and the ballooning of the federal bureaucracy. A serious plan to balance the budget and pay down debt includes cutting spending and slashing bureaucracy.
But the Conservatives aren’t off the hook here either. Conservative Leader Pierre Poilievre has said that he will balance the budget “as soon as possible,” but hasn’t told taxpayers when that is.
More debt today means higher taxes tomorrow. That’s because every dollar borrowed by the federal government must be paid back plus interest. Any party that says it wants to make life more affordable also needs a plan to start paying back the debt.
Taxpayers need a government that will commit to balancing the budget for real and start paying back debt, not one that is continuing to pile on debt and waste billions on interest charges.
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