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Fossil fuels aren’t going anywhere, we benefit too much from them

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From the MacDonald Laurier Institute

By Chris Sankey

Indigenous people are finally reaping the rewards.

Over the last eight years we have experienced an unprecedented push from environmental activists to phase out fossil fuels. The Government of Canada seems to think it is possible. During question period in the Senate earlier this year, Sen. David Wells noted that, according to the Liberals, the energy transition “will cost $100-$125 billion per year at least to 2050,” and asked “When Canada only emits 1.5 per cent of global emissions, how does this expenditure make sense?”

Let me repeat that. $125 billion each year.

Who is going to pay for this? This is simply not possible, unless people want to see the Canadian economy in ruins.

Without fossil fuels, life as we know it would not be possible. State-of-the-art lifesaving medical equipment comes from fossil fuels and critical minerals from mining. Critical infrastructure, vehicles, planes, trains, container ships, ferries, and the billions of household necessities we buy from Canadian Tire, Walmart, Amazon and Ikea come from fossil fuels and help us function in our everyday lives. Without these needs we simply do not prosper.

Take for instance the environmental marches we see on our streets. The protesters seemingly have zero understanding of what makes their marches possible? Yes, fossil fuels. If you are going to protest for “Just Stop Oil,” then climate activists have to stop blocking traffic, because an idling vehicle is so much harder on the environment. And what about showing up in clothing and holding up signs made of hydrocarbons demonstrates your commitment to saving the planet? Hypocrisy? Absolutely.

From the moment we come out of our mother’s body, fossil fuels make our lives better. From cradle to grave, our lives are intertwined with fossil fuels. Just think of the act of giving birth. Chances are the mother was rushed to hospital in an ambulance, helicopter, plane, your personal vehicle, or taxi. As grandparents, siblings, uncles, aunts and cousins arrive at the hospital in their fossil fuel-powered cars and trucks smiling ear to ear welcoming the new baby to the family. They show up with gifts likely made from fossil fuels and critical minerals. If it is not made from fossil fuels, they were most definitely transported to the store using fossil fuels.

It is time we stop kidding ourselves that we can step away from the oil and gas wealth upon which our country benefits so much.

Only now, it will be Indigenous communities who are going to lead the multi-billion-dollar opportunity and put Canada at the front of global markets as a preferred supplier. For far too long, activist’s voice have been the determining factor in how governments make decisions on this necessary industry in our territories.

We need to make sure we have a framework that lays out a technology transition where we produce cleaner oil and gas by using new technology that will reduce emissions and grow our economies.

Since the Liberals were elected in 2015 everywhere we turn, our resource sector is being badly hurt. Forestry, fishing, oil and gas are screaming for more production, but federal regulations threaten to not only destroy the energy industry, but all industries with the emissions cap. Renewables are costing taxpayers billions in subsidies and it will not end there.

Indigenous people have always took care of the environment and grown our economies. From fishing, logging, farming and hunting, we used fossil fuels to make it happen.

Obviously, humans did not use fossil fuels prior to the industrial revolution and indigenous people made hunting weapons out of wood and stone. Life was challenging for our ancestors back then; life expectancy was short for all people.

Over time, technology in the energy sector changed for the better. I would be remiss if I did not include the fact that industry did not always have modern clean tech; emissions were high and cancer-causing effects were widespread. That introduced chemicals foreign to indigenous people. Like all things, newer and safer technology emerged. Making life much easier and convenient.

However, historically speaking indigenous people lived on fat and protein. Everything we ate was natural. Like all things that come and go, European contact forever changed our way of life. We were greatly impacted in every possible manner, from social, cultural, status and creed. But like we always have, we persevered like our ancestors wanted us too.

This is our turn to take our rightful place on the global stage. We are watching it play out in real time around the world. Energy and food security is the number one priority around the world. Indigenous communities near and far are leading the way in the pursuit of sustainable development, but government and activists are hindering our ability to progress.

It is important that Canadians be realistic when it comes to the use of oil and gas. All of us want to leave our planet better for the next generation. To do so, we must manage expectations. Many countries are just now finally transitioning to oil and gas from more environmentally harmful coal and countries like India will not be carbon neutral until 2070 or later.

Our country has an abundance of resources that the world wants. They are literally knocking on our door to get access to our wealth. We can help countries like China, India and Indonesia move away from burning coal and wood, and thereby help lift millions out of certain poverty, and improve their health.

New climate change technology has emerged in the energy sector, such as carbon capture and storage that will reduce and eliminate emissions and the need for diluent in oil pipelines. Our combination of Indigenous knowledge and history to the land makes for a stronger argument to partner with Indigenous communities.  Alignment amongst indigenous communities is key to securing a project. Proper alignment will de-risk a project and attract investment and industry to the table where we will have a seat and even equity.

Engagement with Indigenous communities is the solution. The vast majority of our people are not against development. We are only against development when we are excluded from the opportunities, or if the evaluation process was developed without Indigenous input.

It is not rocket-science. Include the people whose territory you want to build on. This is an opportunity to build relationships through meaningful dialogue and trust. We must have nation to nation dialogue and build leadership to leadership relationships.  No hidden agendas, just up-front, honest conversations about oil and gas and the costs and benefits of development.

I am tired of watching our people struggle. Our people do not want to watch the prosperity boat sail by Poverty Island. Markets do not wait for anyone. We cannot keep waiting for the right time. We cannot keep waiting for life to get better. First Nations can make it better by being at the economic table where our people can bring traditional knowledge to industry and make decisions in the best interests of our communities. Whether we agree or not in the first instance, we need to be in the room working towards a brighter future, because at the end of the day we all need rubber boots too.

Chris Sankey is a Senior fellow at the MacDonald Laurier Institute, a former Elected Councilor for the Lax Kw Alaams Band and Businessman.

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Liberal’s green spending putting Canada on a road to ruin

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Once upon a time, Canadians were known for our prudence and good sense to such an extent that even our Liberal Party wore the mantle of fiscal responsibility.

Whatever else you might want to say about the party in the era of Jean Chrétien and Paul Martin, it recognized the country’s dire financial situation — back when The Wall Street Journal was referring to Canada as “an honorary member of the Third World” — as a national crisis.

And we (remember, I proudly served as Member of Parliament in that party for 18 years) made many hard decisions with an eye towards cutting spending, paying down the debt, and getting the country back on its feet.

Thankfully we succeeded.

Unfortunately, since then the party has been hijacked by a group of reckless leftwing fanatics — Justin Trudeau and his lackeys — who have spent the past several years feeding what we built into the woodchipper.

Mark Carney’s finally released budget is the perfect illustration of that.

The budget is a 400 page monument to deficit delusion that raises spending to $644.4 billion over five years — including $141.4 billion in new spending — while revenues limp to $583.3 billion, yielding a record (non-pandemic) $78.3 billion shortfall, an increase of 116% from last year.

This isn’t policy; it’s plunder. Interest payments alone devour $55.6 billion this year, projected to hit $76.1 billion by 2029-30 — more than the entire defence budget and rising faster than healthcare transfers.

We can’t discount the possibility that this will lead to a downgrade of our credit rating, which will significantly increase the cost of borrowing and of doing business more generally.

Numbers this big start to feel very abstract. But think of it this way: that is your money they’re spending. Ottawa’s wealth is made up entirely of our tax dollars. We’ve entrusted that money to them with the understanding that they will use it responsibly. In the decade these Liberals have been in power, they have betrayed that trust.

They’ve pursued policies which have made life in Canada increasingly unaffordable. For example, at the time of writing it takes 141 Canadian pennies (up from 139 a few days ago) to buy one U.S. dollar, in which all of our commodities are priced. Well, that’s .25 cents per litre of gasoline. Imagine what that’s going to do to the price of heating, of groceries, of the various other commodities which we consume.

And this budget demonstrates that the Carney era will be more of the same.

Of course, the Elbows Up crowd are saying the opposite — that this shows how fiscally responsible Mark Carney is, unlike his predecessor. (Never mind that they also publicly supported everything that Trudeau did when he was in government.) They claim that Carney shows that he’s more open to oil and gas than Trudeau was.

Don’t believe it.

The oil and gas sector does get a half-hearted nod in the budget with, for instance, a conditional pathway to repeal the emissions cap. But those conditions are important. Repeal is tied to the effectiveness of Carney’s beloved industrial carbon tax. If that newly super-charged carbon tax, which continues to make our lives more expensive, leads to government-set emissions reductions benchmarks being met, then Ottawa might — might — scrap the emissions.

Meanwhile, the budget doubles down on the Trudeau government’s methane emissions regulations. It merely loosens the provisions of the outrageous Bill C-59, an act which should have been scrapped in its entirety. And it leaves in place the Trudeaupian “green” super structure, which has resource sector investment, and any business that can manage it, fleeing to the U.S.

In these perilous times, with Canada teetering on the brink of recession, a responsible government would be cutting spending and getting out of the way of our most productive sectors, especially oil and gas — the backbone of our economy.

It would be repealing the BC tanker ban and Bill C-69, the “no more pipelines act,” so that our natural resources could better generate revenue on the international market and bring down energy rates at home.

It would quit wasting millions on Electric Vehicle charging stations; mandating that all Canadians buy EVs, even with their elevated cost; and pressuring automakers to manufacture Electric Vehicles, regardless of demand, and even as they keep closing up shop and heading south.

But in this budget the Liberals are going the opposite direction. Spend more. Tax more. Leave the basic Net-Zero framework in place. Rearrange the deck chairs on the Titanic.

They’re gambling tomorrow’s prosperity on yesterday’s green dogma, And every grocery run, every gas fill-up, every mortgage payment will serve as a daily reminder that we are the ones footing the bill.

Once upon a time, the Liberals knew better. We made the hard decisions and got the country back on its feet. Nowadays, not so much.

 

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Carney doubles down on NET ZERO

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If you only listened to the mainstream media, you would think Justin Trudeau’s carbon tax is long gone. But the Liberal government’s latest budget actually doubled down on the industrial carbon tax.

While the consumer carbon tax may be paused, the industrial carbon tax punishes industry for “emitting” pollution. It’s only a matter of time before companies either pass the cost of the carbon tax to consumers or move to a country without a carbon tax.

Dan McTeague explains how Prime Minister Carney is doubling down on net zero scams.

 

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