House of Commons Hansard #49 of the 43rd Parliament, 2nd Session. (The original version is on Parliament's site.) The word of the day was broken.

Topics

Keystone XL PipelineEmergency Debate

8:20 p.m.

NDP

Heather McPherson NDP Edmonton Strathcona, AB

Madam Speaker, the NDP has been calling for a diversified economy in Alberta for a very long time. In fact, the Alberta NDP, under our past premier, Rachel Notley, was diversifying our economy and investing in a number of different areas like agriculture and food products, like tourism, like artificial intelligence. It recognized the importance of post-secondary institutions and that they be adequately funded so we could be those centres of excellence and—

Keystone XL PipelineEmergency Debate

8:20 p.m.

The Assistant Deputy Speaker (Mrs. Alexandra Mendès) Alexandra Mendes

We have to resume debate.

The hon. parliamentary secretary to the Minister of National Revenue.

Keystone XL PipelineEmergency Debate

8:20 p.m.

Vaughan—Woodbridge Ontario

Liberal

Francesco Sorbara LiberalParliamentary Secretary to the Minister of National Revenue

Madam Speaker, I will be splitting my time with my hon. friend and colleague, the member of Parliament for Nickel Belt.

I will focus my remarks tonight on the importance of our Canada-U.S. bilateral relations, our largest trading partner and neighbour to the south. Tonight's debate is very important for Canadians across Canada because of the nature of our relationship.

On a personal level, I had the fortune to live and work in the United States for a number of years, and I learned a lot. Obviously, I came back to live in the country I was born in and have continued as such, but it was an experience I am richer for. It improved my development in terms of my career and gave me so many opportunities, and I am blessed for that. I made many friends and I have many relatives in the United States. I know how important our relationship is.

Canada and the United States have long enjoyed one of the most productive, collaborative, mutually beneficial bilateral relationships in the world. It is a partnership of neighbours forged by shared geography, similar values, common interests, deep people-to-people connections and powerful, multi-layered economic and security ties. Our two countries enjoy the largest trading relationship in the world. We defend and protect North America together. We are stewards of our shared environment. We stand on the world stage to respond to pressing global challenges together, which is especially true in times of crisis.

We know that the spread of COVID-19 has caused upheaval in both Canada and the United States, and we have taken unprecedented action to combat the pandemic, support our citizens and stabilize both economies. Last March, Canada and the United States arrived at a far-reaching agreement to limit discretionary and recreational travel across the border, an understanding that has been extended by mutual agreement.

The magnitude of this decision cannot be overstated. Ours is one of the busiest land borders in the world, with approximately 400,000 people crossing it on any given day and over $2 billion of goods and services flow between our two countries. The smooth flow of people and goods across this border is vitally important to both economies and communities on both sides.

In the face of such high stakes, our two countries collaborated in an orderly fashion and quickly arrived at an agreement aimed at limiting the spread of the virus. The agreement has resulted in a 90% reduction in the number of travellers crossing the border while maintaining the flow of essential goods. This collaboration set the tone for subsequent co-operation in getting our citizens home, ensuring the continued operation of our supply chains or assisting each other in the production and procurement of medical supplies and other essential goods.

A striking example has been our co-operation to procure personal protective equipment. As in so many other countries, Canada-U.S. trade in PPE is bilateral and reciprocal. Our collaboration allowed for the smooth flow of PPE across the border and into the hands of health care workers in both countries. Canadian and American partners are also working together and investing in research to combat the virus with collaboration on 15 different diagnostic and vaccine projects. Hundreds of Canadian manufacturers have retooled and shifted their production and provided innovative solutions to address shortages in medical equipment and protective personal equipment. This is critical for the health of both our populations.

Canadians and Americans have depended on each other for decades, from the Halifax explosion to the beaches of northern France in World War II, from the hours and days following September 11, 2001, attacks to the wildfires that devastated California and Oregon this fall. Canadians and Americans have faced the great challenges of the continent and the world side by side.

Today, hundreds of members of the Canadian Armed Forces continue to serve alongside their U.S. allies from across America. The job of protecting the North American homeland continues under the watchful eye of Canadian and American aviators, sailors, soldiers, police officers and firefighters.

Another element of our close collaboration is the intervening nature of our energy systems. We know that the United States is Canada's most important market for energy. In turn, Canada is the largest and most secure foreign source of energy for the United States, including crude oil, natural gas, hydroelectricity and uranium. This means that it is mutually beneficial to ensure this supply is secure, reliable and sustainable.

The government recognizes the critical role energy plays in our trade relationship. Jobs, economic security and competitiveness on both sides of the border depend on our bilateral energy trade. The Prime Minister raised Canada's disappointment on the decision of the United States on the Keystone XL pipeline in his telephone conversation with President Biden on Friday. The Prime Minister underscored the important economic and security benefits of our bilateral energy relationship as well as his support for energy workers.

A further element that unites us is our shared natural environment. For example, Canada and the U.S. share many waterways that mark or cross our shared border, from the Great Lakes to rivers such as the mighty St. Lawrence. The shores of these lakes and rivers are home to tens of millions of Americans and Canadians, and decisions made within the basins of one country have consequences for the other.

Hence, their joint stewardship is a cornerstone of Canada-U.S. relations. This stretches back to the Boundary Waters Treaty of 1909, the world's first environmental agreement, to the Great Lakes Water Quality Agreement, which continues to address the environmental challenges of the 21st century.

Of course, we cannot forget the essential economic collaboration that brings us together. While many of my esteemed colleagues will go into more detail on the importance of this co-operation, suffice it to say that our deeply integrated supply chains contribute to a distinct North American advantage and foster millions of jobs on both sides of the border. Cementing this advantage is the new North American Free Trade Agreement, which we were able to renew, update and modernize, even with an American president who could be a bit unpredictable and, shall I say, protectionist. That is the strength of the Canada-U.S. trade bond.

Finally, we also acknowledge that our societies face similar difficulties and shameful legacies. Canadians grieve alongside our American friends at the tragic loss of George Floyd and the countless others impacted by police violence around the world. These are not isolated incidents or elsewhere problems. Prejudice, discrimination and violence are a lived reality for too many people in Canada as well.

In the face of these injustices, we must be clear. We condemn anti-Black racism and systemic discrimination. That is what thousands of principled Americans and Canadians have been doing throughout our two centuries, and this is a moment to admire and honour their work. We hear the same calls for a more inclusive and just society here in Canada, where systemic racism is a problem every single day. Canada is not a bystander. As neighbours, this is a burden that our two societies share, and we must do better together.

In closing, our government will work with the new Biden administration to advance our shared objectives and protect, yes protect, Canadian interests as we have done for the past four years. We look forward to being able to talk with the new President more about climate change, trade, the COVID response and other shared priorities for our two nations.

In their conversation last week, our Prime Minister and President Biden recognized that both countries' fundamental priority is to end the global COVID-19 pandemic. They discussed collaboration on vaccines and acknowledged that the two countries' efforts are strengthened by existing exchanges of medical personnel and the flow of critical medical supplies. The two leaders discussed working closely together to defeat COVID-19 by responding to new variants and following expert advice.

The Prime Minister and the President discussed their shared vision for sustainable economic recovery, creating jobs, and growing the middle class. To that end, they discussed strengthening Canada-U.S. supply chain security and resilience.

It is clear the Canada-U.S. relationship can withstand and even grow in the context of extraordinary challenges. Moving forward, we must safeguard this heightened awareness of our interdependence and look for ways to reinforce our shared North American neighbourhood. The COVID-19 pandemic has further underscored the need to build on existing co-operation in the area of food security, for example, allowing the vital work of food production, processing, distribution and sales to continue, even in the face of enormous challenges.

The Canada-U.S. relationship is a model for the world. Let us pursue this great relationship with the U.S. as partners, friends, allies and neighbours. While it may be natural to focus on self-reliance, there is no way that Canada, the U.S. or any country can go it alone. It is too crucial to find partners whom countries can trust and who will be there for them when the chips are down. For Canada and the U.S., those partners are each other. That is how we build resilience.

Keystone XL PipelineEmergency Debate

8:30 p.m.

Conservative

Garnett Genuis Conservative Sherwood Park—Fort Saskatchewan, AB

Madam Speaker, I certainly share the conviction of the member that the Canada-U.S. relationship is very important. However, looking at the record of the government, the Prime Minister has sat across the table now from three different U.S. presidents.

Under Obama, we heard that there was a bromance. It appears that it was a one-sided bromance because we were not able to get any concessions in important areas. We failed to resolve issues around softwood lumber and other issues. When Donald Trump took office, the Prime Minister right away said that we would love to renegotiate NAFTA, and made further concessions. Now we have a new President. He did not run on a “make Canada happy again” slogan, and he cancelled Keystone right away.

We have had three presidents sitting across the table from the Prime Minister, and we have had dramatic failures when it comes to energy, agricultural producers, softwood lumber and getting any kind of commitments around “buy America”, so the problem seems to be on this side of the border in terms of our ability to stand up for our own interests. When is the Prime Minister going to acknowledge these failures and start getting serious about standing up for Canada?

Keystone XL PipelineEmergency Debate

8:30 p.m.

Liberal

Francesco Sorbara Liberal Vaughan—Woodbridge, ON

Madam Speaker, for the renegotiated NAFTA agreement, CUSMA, I have to give credit to the Deputy Prime Minister and Minister of Finance and the entire Canadian trade negotiation team, because we went into that negotiation, and it was very tough. It was a very long period of time. We stood our ground, and we came out with a great agreement.

I know here the recent announcements by General Motors of over $2 billion of investments in the auto sector, which benefits all of Canada, and a total of $7 billion of investments in the auto sector for green, electric vehicle production, is something that we need to stand up and cheer about.

Our agricultural sector is second to none with exports and continues to lead the way in creating jobs. Here in Ontario, specifically, the agri-food industry is actually the largest industry in the province, in terms of employment. I am proud—

Keystone XL PipelineEmergency Debate

8:35 p.m.

The Assistant Deputy Speaker (Mrs. Alexandra Mendès) Alexandra Mendes

The hon. member for Lac-Saint-Jean.

Keystone XL PipelineEmergency Debate

8:35 p.m.

Bloc

Alexis Brunelle-Duceppe Bloc Lac-Saint-Jean, QC

Madam Speaker, I want to thank the parliamentary secretary for his speech, which I listened to intently.

He said he was disappointed by the Biden administration's decision to cancel the Keystone XL project. I understand his position, but in 2014 and 2015, the current Minister of Canadian Heritage of this same government sent a series of tweets—which are very easy to find and which I could send to the parliamentary secretary if he would like—applauding the obstacles the Keystone XL project was facing under the Obama administration.

Are Liberal cabinet ministers and government members disappointed or happy that the Keystone XL project was cancelled? I would like the parliamentary secretary to comment on that.

Keystone XL PipelineEmergency Debate

8:35 p.m.

Liberal

Francesco Sorbara Liberal Vaughan—Woodbridge, ON

Madam Speaker, I want to ensure we can get Canadian products and resources to market, and achieve the price that is deserved on those products. The TMX pipeline that is going to be built will be able to do that. The Line 3 replacement is also going to do that.

I do wish to say, for my Alberta colleagues, that I was proud when the federal government gave approval to the $2.3 billion expansion on the NOVA Gas Transmission Ltd. line. That is something that is going to assist Alberta. I am also proud of the investment taking place in the Alberta heartland, which is going to employ thousands of union workers in the petrochemical industry in the Chemical Industry Association of Canada.

We need to work with all stakeholders and all communities so we ensure that the transition that is taking place, in terms of transformation on climate change to electric vehicles and electrification, happens in a way that we can still utilize resources that Canadians—

Keystone XL PipelineEmergency Debate

8:35 p.m.

The Assistant Deputy Speaker (Mrs. Alexandra Mendès) Alexandra Mendes

Continuing with questions and comments, the hon. member for Victoria.

Keystone XL PipelineEmergency Debate

8:35 p.m.

NDP

Laurel Collins NDP Victoria, BC

Madam Speaker, Keystone XL getting cancelled was not a surprise. President Biden made a very clear campaign promise, and our own Energy Regulator says it will not be needed if we take climate action. It is past time that we invest in climate action and sustainable jobs in a just transition, and because of the Prime Minister's inaction, Canada is being left behind.

This cancellation highlights the Prime Minister's broken promise on a just transition. It is disappointing but not surprising to see the Prime Minister, who has broken so many promises, urge President Biden to break a presidential campaign promise on Keystone.

We need climate action. Workers are being left behind. When will the government stop gambling billions on pipelines that are at odds with our climate goals and move forward—

Keystone XL PipelineEmergency Debate

8:35 p.m.

The Assistant Deputy Speaker (Mrs. Alexandra Mendès) Alexandra Mendes

The parliamentary secretary has the opportunity for a very short answer.

Keystone XL PipelineEmergency Debate

8:35 p.m.

Liberal

Francesco Sorbara Liberal Vaughan—Woodbridge, ON

Madam Speaker, I believe in late fall we introduced a transformational climate change package to continue the transformation of the Canadian economy. We put a price on pollution, which we are going to raise and rebate back to Canadians.

The change is happening now. The innovation is happening now. Canada is at the forefront of that innovation. We will continue to be at the forefront of innovation. We just had a $7-billion investment in the auto sector in Ontario in the last couple of months and—

Keystone XL PipelineEmergency Debate

8:35 p.m.

The Assistant Deputy Speaker (Mrs. Alexandra Mendès) Alexandra Mendes

Resuming debate, the hon. member for Nickel Belt.

Keystone XL PipelineEmergency Debate

8:35 p.m.

Liberal

Marc Serré Liberal Nickel Belt, ON

Madam Speaker, I thank the Parliamentary Secretary to the Minister of National Revenue for his remarks.

I would like to start by acknowledging that we are gathering on the traditional and unceded territory of the Algonquin people.

Canada and the U.S. have one of the most productive, collaborative, mutually beneficial, bilateral relationships in the world. An essential element of this relationship is energy. I was a member of the natural resources committee from 2015-18, and we heard clearly from witnesses all across the country of the importance of our natural resources in Canada. We know the United States is Canada's most important market for energy. In return, Canada is the largest and most secure foreign source of energy for the United States, including crude oil, natural gas, hydroelectricity and uranium.

In 2019, 91% of Canada's energy exports were destined for the U.S., totalling nearly $125 billion in value. The reverse was also true. Canada is the second-largest market for U.S. energy exports, and these exports play an important role in ensuring Canada has a reliable and secure energy supply. The truth is that Canada and the U.S. have a highly integrated energy infrastructure system, which allows for the optimization of current global competitiveness, benefiting both Canada and the U.S. We know that the energy sector provides thousands of well-paying, middle-class jobs on both sides of the border.

Canada is the United States' largest, safest, most reliable and most competitive supplier of oil and gas, including crude oil, refined oil products and natural gas. Here are some enlightening facts. In 2019, Canada supplied 56% of the United States' crude oil imports, accounting for 23% of U.S. consumption. Canada also supplied 9% of the natural gas used in the U.S. One in five barrels of oil consumed in the United States comes from Canada. The United States imports more oil from Canada than from all OPEC countries combined.

Canadian crude oil accounts for the majority of the oil refined in the U.S., and those products drive the American manufacturing sector and are exported around the world. Canada is one of the only major suppliers of oil to the United States that has a price on carbon and a 2050 net-zero target.

An essential element of this energy system is the energy infrastructure, including pipelines. As the Prime Minister said directly to President Biden during their meeting last week, we are disappointed, but we acknowledge the President's decision to keep his election promise and revoke the presidential permits for the Keystone XL project. We have raised the importance of this project several times. We discussed it directly with President Biden recently and in November, as well as several times with senior officials in the incoming administration, including in the days leading up to his inauguration.

That being said, Canadian oil already flows through more than 70 pipelines, creating one of the most integrated energy systems in the world between two countries. We maintain that to continue providing and improving the benefits of Canadian oil and gas to the United States, we must build and maintain the necessary infrastructure to get the products to where they are needed. As far as electricity is concerned, Canadian hydroelectricity exports provide many U.S. states with a clean, renewable, solid base load 24 hours a day, seven days a week.

Electricity crosses the U.S.-Canada border along more than 30 major transmission lines unrestricted by physical or tariff barriers as part of an effective, efficient, highly integrated North American energy grid. This highly integrated system benefits both Canada and the United States. Operators consistently take advantage of spare energy capacity in neighbouring jurisdictions to optimize their systems. Ratepayers benefit from a more reliable and resilient electrical system that expands the international border.

In 2019, Canada exported over 60 teratonnes of hours of electricity to the U.S., the equivalent of powering almost six million U.S. homes. Those exports save American households, consumers and companies hundreds of millions of dollars each year on their electricity bills. Canadian hydro also contributes to U.S. energy security and helps states meet critical GHG emission reduction targets and to move to a low-carbon economy. With regard to uranium, Canada supplies the U.S. with 33% of the fuel used for its reactors, which in turn generate 20% of U.S. electricity. Industry and government in both countries are also collaborating on developing advanced nuclear technology, including the next small modular reactors that the natural resources committee studied at great length a few years ago.

In the current context of a global pandemic, it is more important than ever that we work closely to ensure a secure, reliable, sustainable supply of energy sources for North America and the world.

We know that Canada and the United States share a common vision to build back better, together, a vision that will ensure a clean, inclusive and equitable energy future. Canada is committed to securing an ever-growing variety of energy sources, whether it is about reducing the environmental footprint of conventional energy, developing or deploying clean energy or increasing energy efficiency. It is clear that the Canada-U.S. relationship can withstand, and even thrive, despite the extraordinary challenges we currently face. To move forward, we must build on our interdependence and seek ways to strengthen our North American locality.

The energy relationship between Canada and the United States is a model for the rest of the world. Let us continue this great relationship with the United States as a partner, friend, ally and neighbour. While it is natural to emphasize self-sufficiency, Canada, the United States and other countries cannot go it alone.

Canada and the United States are partners. This is how we will build alliances between the two countries.

Keystone XL PipelineEmergency Debate

8:45 p.m.

Conservative

Damien Kurek Conservative Battle River—Crowfoot, AB

Madam Speaker, I appreciate the speech by the member opposite. I find it interesting that in the midst of the news that is dominating today, and rightfully so, the Keystone XL pipeline and the various other concerns that we have before us, the Biden administration has signed and intends to introduce more buy American provisions.

It is interesting because the Prime Minister supposedly discussed this on Friday in his call with the new U.S. president. Certainly, if I were a Canadian business owner who does business in the United States, I would be terrified of the Prime Minister's approaching the subject of buy American with the same level of apathy and inaction he had with the Keystone XL pipeline.

We have seen an abysmal response from the Prime Minister and the government when it comes to Keystone XL. Is that what Canadians can expect when it comes to the buy American provisions the U.S. administration announced today?

Keystone XL PipelineEmergency Debate

8:45 p.m.

Liberal

Marc Serré Liberal Nickel Belt, ON

Madam Speaker, I thank my hon. colleague for his question, but I disagree with him.

When he was the leader of the third party in the House of Commons, the Prime Minister supported the Keystone project. When he became Prime Minister, he continued to support the Keystone project. There have been discussions between the U.S. administration and the Prime Minister to determine how to continue with Keystone. Unfortunately for us, President Biden decided to cancel the project after he was elected.

With regard to the buy American provisions, our two countries engage in 2.2 billion transactions. We have an integrated economy. We will find ways to work constructively with the new U.S. administration, with the goal of ensuring that our two economies can grow together.

Keystone XL PipelineEmergency Debate

8:50 p.m.

Bloc

Monique Pauzé Bloc Repentigny, QC

Madam Speaker, I thank my colleague for his speech.

The member started his speech by talking about various energy sources. He mentioned oil, gas, uranium and hydroelectricity. My question for him is the following.

How does he plan to meet the Paris objectives? How does he plan to tackle climate change if he considers oil, gas, uranium and a little hydroelectricity to be the primary sources of energy?

Keystone XL PipelineEmergency Debate

8:50 p.m.

Liberal

Marc Serré Liberal Nickel Belt, ON

Madam Speaker, I thank the member for her question.

With respect to the Paris targets for 2050, it is important to consider not only the energy sources we use now, as I mentioned in my speech, but also renewable energy sources.

We need to look at the investments the government has already made and see how we can build a better green economy. Balance is important. Right now, 6.7% of vehicles worldwide are electric. Change is happening. Investors around the world are focusing on green energies. We need to plan and strike a balance.

Some investments will affect workers, for example, the miners in Ontario. When my father was a member of Parliament in the 1970s, there were 25,000 miners in Sudbury. Now, there are 5,000.

We need to take investments in innovation into account. We need to look to the future and look at how to build the economy.

Keystone XL PipelineEmergency Debate

8:50 p.m.

NDP

Gord Johns NDP Courtenay—Alberni, BC

Madam Speaker, this is a decision that has been made. The President has made this decision, and yet here we are today debating that decision.

What we want and I think what workers want, what people in Alberta and across Canada want, is for the government to come back with opportunities to invest in clean energy, with things that will ensure that these workers, families and communities can move forward.

What I want to hear and I hope that my colleague will talk about is a plan by the government to invest in those communities and workers, making sure that they have a prosperous economy that is going to work for the future. Instead, here we are debating a decision that has already been made. It is not going to change anything here. We need the government to take action. The government has an opportunity to stop the division right here in the House and help Albertans and get people back to work and move us forward—

Keystone XL PipelineEmergency Debate

January 25th, 2021 / 8:50 p.m.

The Assistant Deputy Speaker (Mrs. Alexandra Mendès) Alexandra Mendes

The hon. member for Nickel Belt has a very short opportunity to answer.

Keystone XL PipelineEmergency Debate

8:50 p.m.

Liberal

Marc Serré Liberal Nickel Belt, ON

Madam Speaker, yes, the first thing we are doing today in the Keystone debate is looking at moving forward. Therefore, I appreciate the question the member is asking. It is why we need to invest in workers and renewables. The economy is moving toward that and we have to find ways to balance that out.

Hopefully we can move forward and look at more investments, but we have made investments in renewable energy and workers and in economic development agencies to make sure that we look at the jobs moving forward.

Keystone XL PipelineEmergency Debate

8:50 p.m.

Conservative

Shannon Stubbs Conservative Lakeland, AB

Madam Speaker, I will split my time with my colleague from Regina—Lewvan.

I am grateful to participate in this emergency debate, which is of course of great national importance in general but also to the people I represent in particular.

The new U.S. president's decision to cancel the permit for the Keystone XL pipeline is not remotely surprising, but it is a short-sighted political move that ignores evidence, economics and common sense, as was the case the first time around when he was vice-president. With the stroke of a pen, thousands of people are out of work in the middle of a global crisis, and the transportation opportunities for world-class Canadian oil are set back yet again.

I am speaking as I always do: for the people who have been out of work or who are scraping by with inconsistent work, who are suddenly out of a job with few places to turn, for families and communities whose futures are precarious, all through no fault of their own.

Canadians whose livelihoods depend on the oil and gas sector are rightly anxious about their futures and are struggling with complete and utter financial despair. Entire communities are in fact at risk because of the policy- and legislative-driven historic levels of bankruptcies and the decline in investment in Canadian oil and gas. That damage ripples through other sectors, risks jobs and harms businesses right across the country.

Since 2015, more than 200,000 jobs have been lost in Canada's energy sector. The devastation is real in more ways than one. In Alberta alone, a recent University of Calgary study said that for every 1% increase in unemployment, 16 Albertans will die by suicide. Never has a Canadian industry faced such a severe triple threat: global oversupply and demand drops, a collapse of global prices and a self-imposed lack of market access, domestic policies designed to drive investment away, killing businesses and jobs.

It is bad enough when the U.S. president and other American legislators block Canadian energy infrastructure despite the economic security, political and continental ties between our countries, and that the reality is that the U.S. sits on tens of thousands of kilometres of pipeline networks and is a major oil importer from Canada.

The decision is not a surprise to anyone when we consider the domestic political considerations of the new president. Also, this decision is perfectly aligned with the best interests of the United States. The U.S. is currently a world-leading energy exporter and producer and put the policy framework in place for the private sector to enable the U.S. to become rapidly energy independent and self-sufficient, an objective that actually started under the previous Democrat administration when the current president was vice-president and was expedited and secured under the most recent administration.

What is most galling of all is how the Prime Minister of Canada and the Liberal government have done virtually nothing to fight for KXL and have put Canada in such a vulnerable and powerless position. Certainly the Liberals have turned their backs on Canadian energy workers and their families and are ignoring the disproportionate pain and damage they have caused to Albertans, but that is not new.

The reality is that the Prime Minister has never actually championed the KXL pipeline. It should chill everyone that despite close ideological ties between the Prime Minister and the U.S. president, and despite a number of aggressive measures in the pursuit of the sham of social licence that the Prime Minister has imposed on Canada, including currently pushing a legislative framework that is almost unparalleled around the world and KXL's proponent saying the pipeline will be at net zero, it was killed on arrival.

The Prime Minister's weak response to former president Obama's Keystone veto in 2015 was to simply say that he was “disappointed”. He failed to correct the repeated myth that Canadian oil is “dirty”, especially at a time when the U.S. imported record levels of Canadian oil, more than it ever had before in the history of its country at that same time. The Prime Minister did not bother to point that out either. He failed to correct the record on Canada's stronger environmental standards for oil and gas and that Canada is a long-time environmental leader in responsible energy development.

The Prime Minister failed to make the case for KXL to American decision-makers then and now, and he failed to support TransCanada in the courts, in the States or through the NAFTA dispute resolution mechanism at all times in between. Of course this is all easy and obvious to understand. The Prime Minister just does not actually want this pipeline to be built. He said himself that he wants to phase out the oil sands. He has blocked pipelines and targeted Canadian oil and gas with harmful policies repeatedly. His inaction on KXL in 2015 and now in 2021 just proves the point.

What is blindingly clear, and Conservatives have been warning about this for some time, is that Canada must urgently get new export pipelines to new markets beyond the United States.

The brutal reality is that if the Liberals had not vetoed the northern gateway pipeline, deliberately killing thousands of jobs, dozens of benefit agreements with indigenous communities and the only stand-alone option for export to the Asia-Pacific for Canada, and if the Liberals had not intervened politically to kill the only private sector west-to-east pipeline proposal that could have secured Canadian energy independence while reaching European markets with double standards, last-minute regulatory changes and hurdles, Canada would actually have two new export pipelines to markets other than the U.S. right now. However, the Liberals killed both of them, so now the Canadian Minister of Natural Resources, the very minister who should be pushing for this project the most, said that we must simply “respect the decision”, and Canada's ambassador to the U.S. says everyone should move on.

Conservatives have backed Keystone XL every single step of the way. The independent National Energy Board and the Conservative government approved Keystone XL in 2010, and in 2012 the former Conservative government launched a major multi-year lobbying effort that successfully secured the support of the majority of U.S. lawmakers. After the Liberals were in government in 2016, the Conservatives called on them to support TransCanada's NAFTA appeal of a Keystone XL veto, but the Liberals were MIA. The previous administration made a common sense, fact-based decision, put economic best interests, the Canada-U.S. partnership and the standard of living and energy security of North Americans ahead of anti-energy ideology and short-sighted activism by reversing the previous veto.

Now here we are, back where we were in 2016 because the Liberal government will not actually fight for pipelines. That should be an important point to the whole country, because the lack of capacity to bring Canadian oil and gas to more international markets is a national economic crisis. The discount on Canadian oil cost Canada hundreds of thousands of jobs in the energy and manufacturing sectors. It is decreasing the value of Canada's financial markets and depriving federal, provincial, territorial and indigenous governments of billions of dollars in lost revenue long into the future, but that is the consequence of the Liberals' decision to kill new Canadian pipelines to export markets, and the real travesty is that they did it while the U.S. ramped up its own domestic production and removed its own ban on exporting American crude oil in its own interests. The Liberals have failed completely to secure Canada's own interests. The U.S. is both Canada's biggest oil and gas competitor as an exporter and Canada's biggest customer for oil and gas, and Canada's energy remains landlocked and captive to U.S. purchasers.

The government also stalled the Trans Mountain expansion by extending the regulatory process and by failing in its own process of indigenous consultation. TMX was supposed to be operational by December 2019. Now TMX is not estimated for completion until December 2022, and at least $12.6 billion in Canadian tax dollars have been spent when the private sector proponent only really needed legal and political certainty to proceed. Unfortunately, the reality is that TMX will not even address Canada's market diversification issues, because while the marginal part of its shipments will go to the Asia-Pacific, the vast majority will go to the existing American refinery network.

The tanker ban, Bill C-48, now law, prevents the potential of pipeline infrastructure for export to the Asia-Pacific as the Liberals designed it to do, and as the private sector economist policy experts and Conservatives warned, the Liberals' no-more-pipelines bill, Bill C-69, which is now law, will guarantee that no new pipelines will get proposed or manage to get approved in Canada in the future.

Of course, another urgent concern is that Michigan's governor is considering shutting down Line 5. Since the Prime Minister does not care about what happens to Alberta, let us hope that he figures out the risk in a hurry and cares about what it would mean for Ontario, because Sarnia's mayor said the city is set to lose 5,000 jobs and cannot risk losing one single job. Six refineries in Ontario and the U.S. Midwest rely on Line 5, and it also supplies all of the fuel to the Pearson airport.

Scott Archer, the president of UA local 663 in Sarnia, said shutting down Line 5 “would entirely cripple the economy of this region.” While anti-energy activists celebrate the shutdown of these pipelines, the Americans are laughing all the way to the bank, because while our Prime Minister and the Liberals were busy blocking energy infrastructure in Canada, the U.S. was on track to become energy independent.

The U.S., of course, has rapidly become self-sufficient while also leading the world as the largest oil exporter, but that is because these decisions are not about the environment; they are based on competition and business interests. The Liberals fell for it, and all Canadians have lost as a result. Make no mistake: I do not begrudge the Americans for securing their own energy supply. I am just profoundly angry and mind-boggled that the Canadian government did not do the same in Canada's best interest.

Meanwhile, major parts of Canada remain dependent on foreign oil from countries with nowhere near the environmental social governance, regulatory or labour standards, or performance of Canada. As a result of our Prime Minister's actions and inaction, in turn Canadians everywhere lose.

If the Prime Minister cares about national unity and about securing Canada's own economic best interests in every region and every province of the country, he will reverse his destructive direction over the last five years and stand up for Canada for once.

Keystone XL PipelineEmergency Debate

9 p.m.

Conservative

Damien Kurek Conservative Battle River—Crowfoot, AB

Mr. Speaker, I appreciate the member for Lakeland's advocacy and understanding of this very important issue. We share a constituency border, so we both understand the implications of this decision. There is significant economic loss, significant loss of jobs and massive implications to the economy, but there is also an environmental cost. There is a significant environmental cost for this.

I would ask the member to comment on the significant environmental cost that is related to the cancellation of the Keystone XL project.

Keystone XL PipelineEmergency Debate

9:05 p.m.

Conservative

Shannon Stubbs Conservative Lakeland, AB

Mr. Speaker, my colleague makes a really good point, especially when we consider that the environment knows no boundaries and that it is a global concern on which there should be local action. Canada, with the most responsible energy sector in the world, which is Canadian oil and gas, could continue to thrive long into the future by ensuring that there was enough capacity to transport Canadian energy products around the world, energy products that the world will continue to need long into the future. As a result of the Liberals' blocking Canada from being able to do that, both here at home and now also failing to make the case to ensure that the Keystone XL pipeline could be built, the reality is that in the long run, the environment is worse off, and that is a real tragedy.

I have also listened closely to my colleagues talking about the necessity for investments in clean energy and alternative energy innovation and technology. I would say that I would be surprised if there was a member here who was against those investments, but members should also remember that the largest private sector investors in the innovation and technology that members are calling for is the Canadian oil and gas sector. It is the multi-energy companies that are active in the Canadian energy sector.

In fact, Alberta alone is one of the provinces that boasts the oldest and largest different kinds of investment in alternative renewable energy. This is where the decision that is being made and the policies being advanced by anti-energy activists really make no sense. In fact, by blocking Canadian oil and gas and blocking Canadian energy infrastructure, they—

Keystone XL PipelineEmergency Debate

9:05 p.m.

The Speaker Anthony Rota

Questions and comments, the hon. member for Kingston and the Islands.