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Canadian Energy Centre

Unleashing Canada’s competitive advantage in energy and natural resources

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7 minute read

From the Canadian Energy Centre

By Cody Ciona

Q&A with Bryan Detchou, senior director of natural resources, environment and sustainability with the Canadian Chamber of Commerce

Canada’s energy sector is one of the country’s greatest strengths, says an emerging leader with the Canadian Chamber of Commerce.

Bryan Detchou is the Chamber’s senior director of natural resources, environment and sustainability.

A former government relations consultant and staffer on Parliament Hill, in 2023 The Peak recognized Detchou as one of Canada’s young leaders shaping the country’s economy, culture and society.

The Chamber boasts a membership of over 200,000 businesses, including many energy-related companies. Detchou helps advocate for achieving the sector’s untapped potential.

Here’s what he shared with the Canadian Energy Centre:

CEC: Why does the Canadian Chamber of Commerce support Canada’s oil and natural gas sector? 

BD: The mandate of the Canadian Chamber of Commerce is to support and be the leading voice for all businesses across the Canadian economy.

You cannot discuss the Canadian economy without recognizing the essential role of the oil and gas sector.

CEC: What role should Canada’s energy sector play in the 21st century Canadian and world economies? 

BD: We believe that Canada’s energy and natural resources sectors are sources of pride and deserve strong support. These sectors hold the potential for Canada to exceed expectations on the global stage, positioning us as a key player in solving many of the world’s pressing challenges.

The conflict in Ukraine has exposed vulnerabilities in European and global energy security, underscoring the critical role Canada can play in addressing these issues. It is not only Canada’s responsibility to its citizens but also its duty to the global community to be a strong and reliable energy partner.

However, our failure to act decisively on energy security weakens our position and undermines our ability to contribute meaningfully to the reduction of global emissions.

CEC: How can Canadian energy businesses take a leadership position in emissions reduction? 

BD: The majority of emissions reductions are being driven by the private sector, and we’re already seeing significant investments from various organizations. However, the challenge lies in the substantial capital required for these initiatives.

Before making major investment decisions, companies need a level of certainty and predictability in the markets they operate in—this is where the government can play a stronger role.

Regulatory hurdles, such as amendments to the Impact Assessment Act and the slow deployment of Investment Tax Credits, continue to create uncertainty.

We must understand that this is a global race. Canada is not the only country working to reduce greenhouse gas emissions and attract the necessary investment.

It is our responsibility to identify and leverage our competitive advantages. There is still much Canada can do to ensure its regulatory framework is conducive to attracting investment and driving environmental progress.

CEC: How is the federal greenwashing Bill C-59 impacting Canadian energy companies? 

BD: From the outset, we have been fully engaged in addressing the challenges posed by this new legislation, starting with our involvement when the amendment was first introduced in the House of Commons committee in late May.

We testified before the Senate in early June, voicing the concerns of the industry, and have remained actively engaged ever since.

We unequivocally support the goal of ensuring that no Canadian company engages in deceptive marketing, whether in terms of product claims or the communication of their environmental commitments, particularly those aimed at combating climate change. Transparency and accountability are fundamental.

However, the law’s vague language and the absence of a clearly defined methodology have unfortunately created uncertainty across all sectors of the Canadian economy. This uncertainty hinders the ability of businesses to openly and confidently contribute to Canada’s ambitious climate goals.

Rather than driving environmental progress, the new law has inadvertently undermined the significant efforts already made by Canadian corporations, and by extension, the Canadian government. It has become a barrier to both innovation and meaningful environmental action.

The time has come for the government to revisit this legislation. The government should do now what it should have done in May and work collaboratively with industry stakeholders to develop a made-in-Canada regime that ensures corporate accountability and transparency while fostering, not stifling, innovation and environmental ambition.

Only by doing this can we achieve the climate objectives that Canada is striving for.

CEC: What does the Chamber believe are the best steps forward for Canada’s energy sector? 

BD: The best way forward for Canada’s energy sector involves recognizing and leveraging our natural resources as one of the country’s greatest strengths, rather than a weakness. In the face of global challenges Canada’s energy sector must evolve to address these pressing issues.

We advocate for a balanced approach that includes diversifying the energy portfolio with investments in renewable technologies and innovations like carbon capture and storage and hydrogen, ensuring a clear and efficient regulatory framework to attract investment, and strengthening Indigenous partnerships to foster shared prosperity.

Promoting sustainable resource development to meet net-zero targets, expanding global market opportunities, and enhancing collaboration between government and industry are crucial.

By embracing our energy sector as a key asset, Canada can enhance its role on the global stage, support our allies, and combat climate change effectively. Unleashing the full potential of Canada’s natural resources is essential for securing energy security, achieving economic growth and driving long-term prosperity.

Canadian Energy Centre

Alberta oil sands legacy tailings down 40 per cent since 2015

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Wapisiw Lookout, reclaimed site of the oil sands industry’s first tailings pond, which started in 1967. The area was restored to a solid surface in 2010 and now functions as a 220-acre watershed. Photo courtesy Suncor Energy

From the Canadian Energy Centre 

By CEC Research

Mines demonstrate significant strides through technological innovation

Tailings are a byproduct of mining operations around the world.

In Alberta’s oil sands, tailings are a fluid mixture of water, sand, silt, clay and residual bitumen generated during the extraction process.

Engineered basins or “tailings ponds” store the material and help oil sands mining projects recycle water, reducing the amount withdrawn from the Athabasca River.

In 2023, 79 per cent of the water used for oil sands mining was recycled, according to the latest data from the Alberta Energy Regulator (AER).

Decades of operations, rising production and federal regulations prohibiting the release of process-affected water have contributed to a significant accumulation of oil sands fluid tailings.

The Mining Association of Canada describes that:

“Like many other industrial processes, the oil sands mining process requires water. 

However, while many other types of mines in Canada like copper, nickel, gold, iron ore and diamond mines are allowed to release water (effluent) to an aquatic environment provided that it meets stringent regulatory requirements, there are no such regulations for oil sands mines. 

Instead, these mines have had to retain most of the water used in their processes, and significant amounts of accumulated precipitation, since the mines began operating.”

Despite this ongoing challenge, oil sands mining operators have made significant strides in reducing fluid tailings through technological innovation.

This is demonstrated by reductions in “legacy fluid tailings” since 2015.

Legacy Fluid Tailings vs. New Fluid Tailings

As part of implementing the Tailings Management Framework introduced in March 2015, the AER released Directive 085: Fluid Tailings Management for Oil Sands Mining Projects in July 2016.

Directive 085 introduced new criteria for the measurement and closure of “legacy fluid tailings” separate from those applied to “new fluid tailings.”

Legacy fluid tailings are defined as those deposited in storage before January 1, 2015, while new fluid tailings are those deposited in storage after January 1, 2015.

The new rules specified that new fluid tailings must be ready to reclaim ten years after the end of a mine’s life, while legacy fluid tailings must be ready to reclaim by the end of a mine’s life.

Total Oil Sands Legacy Fluid Tailings

Alberta’s oil sands mining sector decreased total legacy fluid tailings by approximately 40 per cent between 2015 and 2024, according to the latest company reporting to the AER.

Total legacy fluid tailings in 2024 were approximately 623 million cubic metres, down from about one billion cubic metres in 2015.

The reductions are led by the sector’s longest-running projects: Suncor Energy’s Base Mine (opened in 1967), Syncrude’s Mildred Lake Mine (opened in 1978), and Syncrude’s Aurora North Mine (opened in 2001). All are now operated by Suncor Energy.

The Horizon Mine, operated by Canadian Natural Resources (opened in 2009) also reports a significant reduction in legacy fluid tailings.

The Muskeg River Mine (opened in 2002) and Jackpine Mine (opened in 2010) had modest changes in legacy fluid tailings over the period. Both are now operated by Canadian Natural Resources.

Imperial Oil’s Kearl Mine (opened in 2013) and Suncor Energy’s Fort Hills Mine (opened in 2018) have no reported legacy fluid tailings.

Suncor Energy Base Mine

Between 2015 and 2024, Suncor Energy’s Base Mine reduced legacy fluid tailings by approximately 98 per cent, from 293 million cubic metres to 6 million cubic metres.

Syncrude Mildred Lake Mine

Between 2015 and 2024, Syncrude’s Mildred Lake Mine reduced legacy fluid tailings by approximately 15 per cent, from 457 million cubic metres to 389 million cubic metres.

Syncrude Aurora North Mine

Between 2015 and 2024, Syncrude’s Aurora North Mine reduced legacy fluid tailings by approximately 25 per cent, from 102 million cubic metres to 77 million cubic metres.

Canadian Natural Resources Horizon Mine

Between 2015 and 2024, Canadian Natural Resources’ Horizon Mine reduced legacy fluid tailings by approximately 36 per cent, from 66 million cubic metres to 42 million cubic metres.

Total Oil Sands Fluid Tailings 

Reducing legacy fluid tailings has helped slow the overall growth of fluid tailings across the oil sands sector.

Without efforts to reduce legacy fluid tailings, the total oil sands fluid tailings footprint today would be approximately 1.6 billion cubic metres.

The current fluid tailings volume stands at approximately 1.2 billion cubic metres, up from roughly 1.1 billion in 2015.

The unaltered reproduction of this content is free of charge with attribution to the Canadian Energy Centre.

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Why it’s time to repeal the oil tanker ban on B.C.’s north coast

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The Port of Prince Rupert on the north coast of British Columbia. Photo courtesy Prince Rupert Port Authority

From the Canadian Energy Centre

By Will Gibson

Moratorium does little to improve marine safety while sending the wrong message to energy investors

In 2019, Martha Hall Findlay, then-CEO of the Canada West Foundation, penned a strongly worded op-ed in the Globe and Mail calling the federal ban of oil tankers on B.C.’s northern coast “un-Canadian.”

Six years later, her opinion hasn’t changed.

“It was bad legislation and the government should get rid of it,” said Hall Findlay, now director of the University of Calgary’s School of Public Policy.

The moratorium, known as Bill C-48, banned vessels carrying more than 12,500 tonnes of oil from accessing northern B.C. ports.

Targeting products from one sector in one area does little to achieve the goal of overall improved marine transport safety, she said.

“There are risks associated with any kind of transportation with any goods, and not all of them are with oil tankers. All that singling out one part of one coast did was prevent more oil and gas from being produced that could be shipped off that coast,” she said.

Hall Findlay is a former Liberal MP who served as Suncor Energy’s chief sustainability officer before taking on her role at the University of Calgary.

She sees an opportunity to remove the tanker moratorium in light of changing attitudes about resource development across Canada and a new federal government that has publicly committed to delivering nation-building energy projects.

“There’s a greater recognition in large portions of the public across the country, not just Alberta and Saskatchewan, that Canada is too dependent on the United States as the only customer for our energy products,” she said.

“There are better alternatives to C-48, such as setting aside what are called Particularly Sensitive Sea Areas, which have been established in areas such as the Great Barrier Reef and the Galapagos Islands.”

The Business Council of British Columbia, which represents more than 200 companies, post-secondary institutions and industry associations, echoes Hall Findlay’s call for the tanker ban to be repealed.

“Comparable shipments face no such restrictions on the East Coast,” said Denise Mullen, the council’s director of environment, sustainability and Indigenous relations.

“This unfair treatment reinforces Canada’s over-reliance on the U.S. market, where Canadian oil is sold at a discount, by restricting access to Asia-Pacific markets.

“This results in billions in lost government revenues and reduced private investment at a time when our economy can least afford it.”

The ban on tanker traffic specifically in northern B.C. doesn’t make sense given Canada already has strong marine safety regulations in place, Mullen said.

Notably, completion of the Trans Mountain Pipeline expansion in 2024 also doubled marine spill response capacity on Canada’s West Coast. A $170 million investment added new equipment, personnel and response bases in the Salish Sea.

“The [C-48] moratorium adds little real protection while sending a damaging message to global investors,” she said.

“This undermines the confidence needed for long-term investment in critical trade-enabling infrastructure.”

Indigenous Resource Network executive director John Desjarlais senses there’s an openness to revisiting the issue for Indigenous communities.

“Sentiment has changed and evolved in the past six years,” he said.

“There are still concerns and trust that needs to be built. But there’s also a recognition that in addition to environmental impacts, [there are] consequences of not doing it in terms of an economic impact as well as the cascading socio-economic impacts.”

The ban effectively killed the proposed $16-billion Eagle Spirit project, an Indigenous-led pipeline that would have shipped oil from northern Alberta to a tidewater export terminal at Prince Rupert, B.C.

“When you have Indigenous participants who want to advance these projects, the moratorium needs to be revisited,” Desjarlais said.

He notes that in the six years since the tanker ban went into effect, there are growing partnerships between B.C. First Nations and the energy industry, including the Haisla Nation’s Cedar LNG project and the Nisga’a Nation’s Ksi Lisims LNG project.

This has deepened the trust that projects can mitigate risks while providing economic reconciliation and benefits to communities, Dejarlais said.

“Industry has come leaps and bounds in terms of working with First Nations,” he said.

“They are treating the rights of the communities they work with appropriately in terms of project risk and returns.”

Hall Findlay is cautiously optimistic that the tanker ban will be replaced by more appropriate legislation.

“I’m hoping that we see the revival of a federal government that brings pragmatism to governing the country,” she said.

“Repealing C-48 would be a sign of that happening.”

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