Debates of Jan. 25th, 2021

Keystone XL Pipeline

[Paul Lefebvre, Liberal, Sudbury, ON]

Mr. Speaker, let me remind the member, who has probably already forgotten, that in the fall we approved NOVA Gas, the NGTL.

The Conservatives never asked for an emergency debate to celebrate the Trans Mountain pipeline that was finally going forward. There was no emergency debate on that success.

As well, on the LNG pipeline—

[Robert Gordon Kitchen, Conservative, Souris—Moose Mountain, SK]

You said $1.5 billion—

[The Deputy Speaker, Bruce Stanton]

Order. I would just remind hon. members that those who are tuning in by video conference cannot actually activate their microphones for those kinds of interruptions and heckles and so on—

[Paul Lefebvre, Liberal, Sudbury, ON]

But they do.

[Robert Gordon Kitchen, Conservative, Souris—Moose Mountain, SK]

Mr. Speaker, I have a point of order.

[The Deputy Speaker, Bruce Stanton]

Order. There is only one member permitted to speak at a time. When the Speaker has arisen and is addressing the House, members have to stand down and wait until I finish what I have to say.

I remind hon. members that when they are participating online, they cannot activate their microphones for the purposes of so-called heckling because when they do so it essentially overrides the microphone and the audio from the member who has been recognized by the Chair and who has the floor.

I would ask hon. members not to do that. If they wish to make a point of order, that is something different and that is why they are able to activate their microphones. We leave that option open for them, but it is not there for heckling in the way that they would, for example, if they were participating in person, so I hope that is understood.

The hon. member for Souris—Moose Mountain was raising a point of order as well. I will let him go ahead at this time.

[Robert Gordon Kitchen, Conservative, Souris—Moose Mountain, SK]

Mr. Speaker, I am using a Surface Pro, and I apologize. I was not intentionally trying to interrupt and I do apologize for that.

[The Deputy Speaker, Bruce Stanton]

I completely accept that, and I am sure the House does as well.

We have not taken time away from the hon. parliamentary secretary. We will let him go back and finish his comment, and then we will continue with questions and comments.

The hon. parliamentary secretary.

[Paul Lefebvre, Liberal, Sudbury, ON]

Mr. Speaker, as I was saying, we talked about the Trans Mountain pipeline and certainly the LNG pipeline going through British Columbia, as well as the investments that we made of $1.7 billion, to clean up the abandoned oil and gas wells in Alberta throughout the pandemic. There are many, many projects that we have invested in to support jobs in Alberta and in Saskatchewan, and we will continue to do so.

[Richard Cannings, NDP, South Okanagan—West Kootenay, BC]

Mr. Speaker, the parliamentary secretary talked a lot about getting to net zero, which I applaud. I hope we all agree that is something that we really have to do, but I would like to remind him that the Canada energy regulator's report before Christmas pointed out that if we do even a moderate amount of work to meet our Paris targets to fight climate change, and this does not include getting to net zero as they did not go that far, we would only need one of these three big pipeline expansion projects.

Since Line 3 is scheduled to come on later this year, that means Keystone XL would not be needed. That means the Trans Mountain expansion would not be needed. We would not need any more oil-by-rail expansion. I am a bit confused as to why his minister said this was an existential threat to the Canadian economy, or something along those lines.

This is an opportunity for us to go to the United States and, instead of pleading with Joe Biden to get permission for this pipeline, to negotiate with the United States about getting involved with their very bold plans to fight climate change and benefit Canadian industries across the country.

[Paul Lefebvre, Liberal, Sudbury, ON]

Mr. Speaker, let me remind the member that 80% of the projected flow of energy going through Trans Mountain has already been booked. It has already been reserved on the market, and the markets will obviously decide what the needs are.

Let me go back to what we announced in December for clean tech. I believe what we have already committed to as a government could certainly benefit Alberta and Saskatchewan. There are some synergies and opportunities on the U.S. side regarding hydrogen, geothermal and clean electricity. There are a lot of commonalties that could support great-paying jobs in Alberta and Saskatchewan, so we need to focus on the opportunities that exist. However, let me again remind the member of market forces: If there is a need for oil and gas, the markets will decide.

[Francis Drouin, Liberal, Glengarry—Prescott—Russell, ON]

Mr. Speaker, our government has focused night and day on the need for a vibrant economic recovery from the pandemic that leaves no one behind. That is why we were both disappointed and saddened with President Biden's decision to revoke the Keystone XL project's permit the day he was inaugurated: disappointed that our efforts in frequently working shoulder to shoulder with the Government of Alberta did not succeed, and saddened for the thousands of workers being laid off. This will hurt many Canadian communities, including indigenous communities. We will continue to work on their behalf to ensure they are part of Canada's recovery.

I must shift now to a key point in the debate. It needs to be said that the Keystone XL project has been a priority for our government since we took office five years ago. It was among the top issues the Prime Minister raised in his first conversation with then President-elect Biden right after the U.S. election. We kept pushing our position with high-level officials in the new administration leading up to January 20.

That underscores this government's determination to support the people and communities in the sector as we strive toward our Paris climate targets. There is no contradiction in these dual goals, because we recognize the ingenuity of our petroleum sector and its status as Canada's largest green tech investor. Put simply, these companies are playing a vital role in helping us find the breakthroughs that will help us confront the climate crisis. That is why the industry and the individuals and communities depending on it figured so prominently in our government's unprecedented COVID-19 economic response plan, which included an injection of billions of dollars in much-needed liquidity for the industry and the introduction of a 75% wage subsidy that has helped to support as many as 60,000 oil and gas jobs in Alberta.

Canadians saw this support when we announced two key components of the COVID-19 package last April.

First, we earmarked more than $1.7 billion to clean up orphan and inactive oil and gas wells in Alberta, Saskatchewan and British Columbia. It is not just an investment aimed at improving the environmental performance of the oil patch; it is also creating thousands of jobs when and where they are needed most.

Second, we created a new $750-million fund to reduce the industry's greenhouse gases and in particular methane emissions, which can be over 80 times more potent than carbon dioxide. This new emissions reduction funding includes $75 million specifically set aside for the Newfoundland and Labrador offshore industry, and we have already bolstered that investment with another $320 million to support upgrades to existing offshore infrastructure, environmental services and clean technology.

This is how we build the most sustainable oil and gas sector in the world. It is by working with an industry that is, as I noted earlier, a leader in finding innovative ways to reduce its carbon footprint.

Petroleum companies routinely account for more than 70% of all private sector investments in R and D, or more than $1 billion each and every year. The Government of Canada is certainly part of that push. It is why the Minister of Innovation, the Minister of Environment and the Minister of Natural Resources announced $100 million in new federal funding to support the clean resource innovation network. This is an industry-led initiative of more than 1,300 members, all devoted to improving the oil and gas sector's environmental and economic performance by developing the breakthrough solutions that drive economic growth, create good well-paying jobs and lead to cleaner energy production. It is a classic win-win and one aimed at reducing the sector's greenhouse gas emissions by 100 megatonnes by 2033, or the equivalent of taking 1.5 million cars off the road.

This perspective has also informed and inspired our government's ongoing efforts to support a strong and sustainable petroleum industry and make it a supplier of choice not only in the United States, but around the world. Just last month, for example, we announced federal approval of the NOVA Gas system expansion project in Alberta. It is a $2.3-billion initiative that will create close to 3,000 jobs, while advancing stronger indigenous engagement and oversight, accelerating the phase-out of coal-fired electricity and providing stronger protections for local caribou herds and their habitat. These are many of the same things that went into our extensive consultations for the Trans Mountain project and our eventual decision to purchase that project in 2018.

We did not just rescue a critical piece of energy infrastructure; we also helped put more than 5,000 Canadians to work in building vital access to tidewater, as well as opening new opportunities for our energy exports and advancing indigenous partnerships and reconciliation.

Another key pillar is the world-class environmental protections we have put in place alongside the TMX project. Those pillars include the $1.5-billion oceans protection plan that stacks up well with what other leading marine nations are doing to preserve their coastlines, oceans and marine life. If I may add a quick aside, I would remind Canadians that we have committed to investing every dollar earned from the TMX project to accelerate Canada's clean-energy transition. That is huge. We have estimated that once the TMX project is completed, it will generate an estimated $500 million in additional corporate income tax revenues alone.

I also want to point out to members this government's support for the $40-billion LNG Canada project in B.C. It happens to be the single largest private sector investment in Canadian history, and it is a project that will be one of the cleanest LNG facilities of its kind anywhere, emitting half the GHG emissions of similar facilities around the world—half.

That is why our government was on the ground with $275 million in federal investments for critical local infrastructure technology to support the LNG Canada facility, ensuring that a generational project and up to 10,000 jobs become reality. These types of projects remind us that Canada is not only a place where good projects get built; we are also critical to securing North America's place as the most dynamic, influential and well-regulated energy region.

As important as all of these things are, I have to point out that the pandemic has exposed another pressing priority. COVID-19 has laid bare global vulnerabilities and inequalities. The job losses we have seen during this pandemic have been disproportionately borne by women, youth and indigenous people, as well as marginalized groups such as immigrants, racialized people and persons with disabilities, all of which has reinforced our belief that a clean-energy future cannot and must not leave anyone behind.

This brings me back to Keystone XL. This was an excellent project. We fought hard to make it happen. However, we have to respect the democratic institution of our number one ally and trading partner. President Biden made a promise, and he kept it. We must now look to the future and work closely with this new administration on our many shared objectives, from global health to climate change to job creation. We will work with that administration and all Canadians to deliver on our shared mission: net zero emissions by 2050, a global economy that continues to grow and an energy transition that leaves no one behind.

[Andrew Scheer, Conservative, Regina—Qu'Appelle, SK]

Mr. Speaker, I can hardly believe what is coming out of the hon. member's mouth. He says that the Liberals rescued TMX. What did they rescue TMX from, exactly? It was from their own government's abysmal policies. It was his government's imposition of the carbon tax, Bill C-69, Bill C-48 and all the regulatory uncertainty that scared away the investment. They act as if it is something to be proud of. For the first time in Canadian history, the government had to buy a pipeline in order to get it built. That is a damning indictment of the government's record when it comes to the energy sector.

Why are the Liberal Party and the Prime Minister so quick to make apologies for the U.S. president? We should not be surprised. They could not stand up to Donald Trump during NAFTA and now they cannot stand up to President Biden on Keystone. They are making apologies for the fact that on day one, the U.S. president signed the executive order to kill Keystone XL, which hurts employment in both Canada and the U.S. It hurts indigenous opportunities, as well as opportunities for everyone else.

They are so quick to apologize. Why is it that the government has such a hard time standing up to American presidents? It drove away investment; it drove jobs and opportunity to the United States; it backed down on NAFTA under President Trump, and now it caves like a bad hand in poker before even trying. Why is the government constantly backing down from American presidents?

[Francis Drouin, Liberal, Glengarry—Prescott—Russell, ON]

Mr. Speaker, I have an 18-month-old child at home and sometimes he kicks and screams because he is not happy with my decisions, but it is not a strategy to inform me or influence me on the decisions that are best for him. That particular member was kicking and screaming for the last three years when he was the leader of the opposition and now there is a new leader of the opposition, but he seems to be adopting the same strategy. I do not see how kicking and screaming is going to help us build more pipelines.

Perhaps the member should take note of section 35 and our duty to consult with indigenous peoples. It is something that he completely omitted in his platform in 2019. No pipelines are going to get built in Canada if we do not consult with our indigenous peoples.

My question for the member is this: Knowing that President Biden is going to be in power for the next four years, is kicking and screaming really a good strategy to adopt here?

[Laurel Collins, NDP, Victoria, BC]

Mr. Speaker, the member clearly articulated how the Liberals have been pushing for betting on these pipelines. He said there is no contradiction with climate action, but Canada's own independent energy regulator says that the oil sands will not need Keystone XL or the Trans Mountain expansion if the government passes the promised climate legislation. Oil and gas workers are struggling. Fifty thousand workers have lost their jobs since 2014, but instead of implementing the kind of just transition that would support workers, families and communities with training and low-carbon jobs for the future, the Liberals keep making empty promises on the climate and cheerleading, or buying risky pipeline projects.

If the Liberal Party or the Conservative Party truly cared about communities and workers across Canada, would they not be investing in a just transition, not sometime down the road, but now to diversify our economy and create low-carbon jobs?

[Francis Drouin, Liberal, Glengarry—Prescott—Russell, ON]

Mr. Speaker, I would invite the hon. member to look at the plan that the minister of environment presented to Canadians just before the holiday season. We know that we will be putting a price on pollution of $170 per tonne by 2030. We are already electrifying the roads of Canada to allow electric vehicles to go from one city to another, so I think we have a strong and robust plan.

At the same time, I do not think it is realistic to say that we can suddenly shut all of the oil pipelines everywhere in the world, thinking that the transition will happen tomorrow morning. I think we have to be more realistic in the approach that we propose to Canadians. I have full confidence in the Prime Minister and our Minister of Environment to propose that plan.

[The Deputy Speaker, Bruce Stanton]

It being midnight, the motion that the House do now adjourn is deemed to have been adopted. Accordingly the House stands adjourned until later this day at 10 a.m. pursuant to Standing Order 24(1).

(The House adjourned at 12 a.m.)