Mr. Speaker, I am addressing this House from my home on the island of Newfoundland, which is the ancestral homeland of the Mi'kmaq and Beothuk peoples, and it is also one of Canada's three proud oil-producing provinces.
The importance of our oil and gas industry is not lost on me. The hard-working men and women who work in it are not lost on me. Every day I can see supply ships heading right out from the harbour here in St. John's, right through the narrows and out to the rigs over 300 kilometres from shore. Indeed, my province relies more on oil revenue than even Alberta or Saskatchewan.
I know that this debate is very important. It is about energy security; Canada's energy security, the United States' energy security and North America's energy security. That is precisely what Line 5 is and the Government of Canada takes this issue very seriously. I take this issue very seriously.
The opposition have claimed in the media and again in this House, and they will continue to say, that we have done nothing on this issue. That we sat on our hands, that we do not take this issue seriously, but that could not be further from the truth. It is misleading, it is irresponsible and it is politically self-serving. Leave it to the members of the official opposition to play partisan politics and seek to score some cheap political points on the backs of working Canadians, of Canadian oil and gas workers, and of Canadians who just want to heat their homes.
We cannot solve this issue with false bravado by beating our chests while simultaneously sticking our heads in the sand, like the members opposite so often do, by calling people who disagree with them brain-dead. That bombastic approach does a great disservice for our oil and gas workers and it does nothing to advance their cause. We are better than that and we owe it to the workers in the industry to be better than that.
These workers built this country. We are the fourth-largest producer of oil and gas in the world. We have the third largest reserves. We do not get there without the people behind it. This is our number one export, one of our biggest industries.
Tonight's emergency debate allows us to focus on something very important, something we do not see enough in Canadian politics. I am talking about the “Team Canada” spirit that unites the political parties, government and the private sector, in support of a critical piece of North American energy infrastructure, specifically a relatively small section of Enbridge Line 5. This section extends 7.2 kilometres across the Straits of Mackinac, a waterway between Lake Huron and Lake Michigan.
I will say to this House what I have said to members of the committee: Shutting down Line 5 would have profound consequences for Canada and the United States. It is a critical energy and economic link. The heating of Canadian homes, the flying of Canadian jets, the operation of Canadian refineries in Sarnia, in Montreal, in Lévis, are non-negotiable. The jobs of those workers are non-negotiable: the 5,000 direct jobs and the 23,000 indirect jobs in the Sarnia region and the thousands of jobs in Quebec.
We have been clear from the start. We would leave no stone unturned in defending Canada's energy security. We have been looking at all of our options. We are working at the political level. We are working at the diplomatic level. We are working at the legal level. It is a full-court press.
We raised Line 5 directly with the President of the United States and members of his cabinet during the virtual Canada-U.S. summit in February. The Prime Minister also raised the critical importance of North American energy security in conversation with Vice President Harris.
I raised the issue with U.S. Energy Secretary Jennifer Granholm in our very first call. I was frank and unequivocal in expressing how significant this issue was for Canada. The Minister of Transport raised Line 5 with his counterpart, Transport Secretary Buttigieg, whose department oversees the Pipeline and Hazardous Materials Safety Administration, the U.S. federal regulator for pipelines, which has consistently stated that Line 5 is safe. The Minister of Foreign Affairs raised this issue with his counterpart, Secretary of State Blinken. Ambassador Hillman has been making the case directly to Governor Whitmer. Meanwhile, in Detroit and in Lansing, Consul General Joe Comartin has been making the case to state lawmakers and members of the Whitmer administration.
Let me take this opportunity to thank Governor Whitmer, Consul General Joe Comartin in Detroit, the team at the Canadian embassy in Washington and all of our diplomats who have been engaging on this issue in Washington, Detroit and Lansing who defend Canada's interests there every day.
I have been speaking continually with Enbridge, as has my office. We are doing what we can to support them. I have also been speaking with labour, with the Canada's Building Trades Unions, the International Union of Operating Engineers and the Canadian Labour Congress. Every day, we are working hard on this issue.
I have spoken with the member for Sarnia—Lambton, with Sarnia Mayor Mike Bradley, given the criticality of this issue for the Sarnia region. Just before this debate tonight, I spoke with my counterparts in Quebec, Saskatchewan and Alberta, Ministers Julien, Eyre and Savage, as well as Alberta's special representative in D.C., a former member of this House, James Rajotte. I will be speaking with Ontario Minister Rickford soon as well.
We have been in constant communication on this issue since the fall. We have set up an officials-level working group to make sure we stay aligned and that we work together. It has been, and it will continue to be, a team Canada approach. Line 5 does not just affect one province, it supports this entire country. In the face of external challenges to our energy security, Canadians expect, rightfully, that their governments, federal and provincial, politicians of all stripes, act as one, to be united, and united we are.
MPs and senators in the Canada-United States Inter-Parliamentary Group held 23 virtual meetings with U.S. congressional lawmakers during a blitz of advocacy in March, raising Line 5 in every one of those meetings.
Look no further than to the special committee on the economic relationship between Canada and the United States that this House unanimously voted to create. I appeared before the committee, as did some of my colleagues. I would like to take a moment to thank the members of that committee for their efforts. I suspect we will be hearing more from them tonight.
There was no daylight between parties on the issue. The committee unanimously agreed that Line 5 is a significant aspect of Canada's economic relationship with the United States. The committee unanimously agreed, as their first recommendation, that the government should encourage Enbridge and the State of Michigan to resolve the dispute through a mediated settlement.
We know full well the economic impacts that a shutdown would have in this country. I have already mentioned the jobs, but it bears repeating. It is 5,000 direct jobs in Sarnia, 23,000 indirect jobs in the region, thousands more in Montreal and Lévis, 53% of Ontario's crude oil supply, four refineries depend on Line 5, all of the jet fuel for Pearson International Airport, 66% of Quebec's crude oil supply via Line 9, Suncor's refinery in Montreal and Valero's refinery in Lévis.
The United States depends on Line 5 as much as we do. No two other countries in the world have their energy sectors as closely intertwined as we do, 70 pipelines, nearly three dozen transmission lines, right across the border. A shutdown would have negative impacts on Michigan and the Great Lakes Region, to put it mildly. Sixty-five percent of the propane needs of Michigan's upper peninsula come from Line 5; 55% of state-wide propane needs come from Line 5. Michiganders heat their homes with the product that it delivers. In fact, when we saw extreme cold weather events wreak havoc on power grids in Texas, Michigan was protected from the same circumstances because of Line 5.
There are thousands of jobs at refineries in Ohio, Pennsylvania and Michigan that are at risk should Line 5 shut down. It supplies Marathon's refinery in Detroit. It supplies PBF Energy and bp-Husky refinery in Toledo, Ohio, refineries that have said they have very limited alternatives and would need to close down. Thousands of direct and contracted skilled trades jobs are at risk, and a loss of $5.4 billion in annual economic output. Line 5 powers Detroit's auto industry. It flies jets from Detroit Metro Airport.
Its impact cannot be overstated. It would cause a combined shortage of 14.7 million gallons a day in the region. Michigan, alone, would face a 756,000-gallon a day propane shortage.
We are hopeful that the court-ordered mediation process unfolding between Enbridge and the State of Michigan will yield a local solution. To the opponents of Line 5, I ask, “What is the alternative?”
The reality is that those energy molecules will still get to market, people will not be left out in the cold. As I have said, that is non-negotiable. The demand for the 540,000 barrels a day of oil that Line 5 transports will not go away.
We can either use a pipeline that is demonstrably safe, is efficient, is economical and, as a piece of critical infrastructure, is itself low-emitting, or be forced to put oil on trains, on trucks and on marine transport. It would take 800 rail cars and 2,000 trucks a day just in Canada. In the United States, the number of extra trucks needed could be up to 15,000 a day. That is unquestionably less safe and would increase emissions.
We do not need more trucks on the road jamming up the 401 and 403 in the GTA or the 40 in Montreal, or jamming up our already congested border crossings. Those idling trucks would be releasing their emissions in Governor Whitmer's back yard, in Michigan, while they waited to cross the border.
Let me be crystal clear. The protection of the environment of the Great Lakes is of vital importance. I do not think anybody in the House disagrees with that. The reality of the situation is that Line 5 is safe. It has been safe for 65 years, operating in the Straits of Mackinac without incident.
Enbridge is committed to making a safe line even safer. It has proposed the Great Lakes tunnel project, which would take the pipeline off the lake-bed floor and house it in a cement tunnel underneath the lake-bed, protecting it from anchor strikes and protecting the Great Lakes.
This is exactly what Michigan was looking for, and Michigan continues to issue permits to allow the project to proceed. As I said, we are looking at all our options. We are ready to intervene at precisely the right moment.
The 1977 Transit Pipeline Treaty remains in effect and we have other legal tools we can avail ourselves of should the situation require it, but let me reiterate we are encouraged by the mediation process that is unfolding and we encourage Enbridge and the State of Michigan to reach a local solution that maintains the integrity of North American energy security.
We are taking the same approach members of the Special Committee on the Economic Relationship Between Canada and the United States have asked us to, and the same approach Alberta, Saskatchewan, Quebec and Ontario have urged us to. It is an approach that says diplomacy first. It is an approach that says team Canada, with collaboration at the forefront with provincial governments and stakeholders.
Make no mistake about it, this is an irritant in the Canada-U.S. relationship, just as President Biden's decision on Keystone XL was deeply disappointing and hurt our workers, and just as the countervailing and anti-dumping duties on softwood lumber are unfair, unjustified, unwarranted and hurt our forestry workers. However, we cannot lose sight of the great opportunities and possibilities of the Canada-U.S. relationship.
There are opportunities to make this relationship even stronger, and it is a relationship that is bigger than one project or one piece of energy infrastructure. This new administration is more aligned with the goals of the Government of Canada than ever before, and not just with our goals. It is more aligned now with the goals of the governments of Alberta and Saskatchewan than ever before. It is aligned on leaving no worker behind and putting workers at the forefront of building a low-emissions energy future. It is aligned on tackling the greatest challenge of our generation, which is the reality of climate change. It is aligned on securing North American energy security through the protection of critical energy infrastructure and resilient supply chains free of geopolitics.
The U.S. wants to work with us on critical minerals because we have 13 of the 35 minerals it deems essential, and we want to ensure resilient supply chains that prevent Chinese dominance. It wants to work closely with us on CCUS, speaking with a unified voice and seeing it as an opportunity to have oil and gas workers lead decarbonization efforts.
The Prime Minister and President Biden agreed in their February summit to work together to build our economies back better as we confront the climate crisis. North American energy security is a big part of this, and this was spelled out in their joint “Roadmap for a Renewed U.S.-Canada Partnership”. This formal document recognized the important economic and energy security benefits of the bilateral energy relationship and its highly integrated infrastructure.
The “Roadmap for a Renewed U.S.-Canada Partnership” presents us with a plan to protect our highly integrated energy infrastructure, such as Line 5, to maintain the security and resilience of supply chains like that of Canadian crude heading south.
It is a plan to renew and strengthen existing bilateral agreements on critical minerals, advance nature-based climate solutions, harmonize standards and regulations to increase competitiveness and provide an even playing field for our companies.
It is about people. It is about workers and ensuring that no worker is left behind, making sure that energy-producing regions or provinces such as mine are not left behind. We need the ingenuity, the determination and the hard work of our energy workers in our energy-producing provinces to build up our low-emissions energy future.
Let me conclude with where I began. This is an issue that impacts all of Canada. This government takes the issue of Line 5 and Canada's energy security very seriously. We have put forward a team Canada approach, working with the provinces, with Enbridge, with the unions and with the House. We are leaving no stone unturned in defending Canada's energy security and the workers who built this country.