Canada is often torn in two different directions when it comes to energy policy, with former Prime Minister Justin Trudeau pursuing a green transition more strongly, while major oil-producing regions fought to keep oil and gas on the agenda. The ongoing production of highly polluting oil sands in Alberta province seems, to many, to be at odds with Canada’s climate targets, while others argue that the country’s crude production is key to both energy security and revenue. Now, as Avi Lewis takes over the New Democratic Party (NDP), the question of what Canadians expect for the future of domestic energy is more prominent than ever.
Avi Lewis, the recently appointed leader of Canada’s left-leaning NDP, has defended his stance on energy after being criticised for refusing to support Canada’s oil and gas industry. In the past, regardless of how much a politician has wanted to push a greener energy agenda, they have continued to show some level of support for Canadian-produced fossil fuels. However, Lewis has distanced himself from this position by prioritising climate action and addressing affordability issues.
His stance has caused some NDP provincial wings to distance themselves from the new party leader, resulting in Lewis calling provincial leaders to discuss their concerns about energy policies with him. He has, nevertheless, reaffirmed his opposition to new oil and gas development. “The energy economy is extremely unstable… We think we need to accelerate the transition to a more stable, secure and safe economy, and a more independent Canadian economy,” explained Lewis. The leader also said he thought Canada should increase its investment in green energy.
It is important to note that Lewis has said that the NDP seeks to halt the expansion of oil and gas infrastructure rather than “shut it down” entirely. Lewis explained his opinions on energy, “We want to get off the boom-and-bust rollercoaster. Every time that anyone talks about starting a transition, the conversation is buried by this bad faith narrative that we’re calling for shutting it all down tomorrow — which we’re not.”
Lewis’s climate policies are expected to divide political opinion in Canada’s West, particularly Alberta, and other parts of the country, as many in the main oil-producing province continue to support fossil fuel development. The NDP leader in Alberta, Naheed Nenshi, said that Lewis’s stance on energy is not in the interests of the oil-rich province. “Albertans deserve federal leaders who understand the importance of Alberta and our essential role in the federation,” said Nenshi.
Meanwhile, Saskatchewan NDP Leader Carla Beck wrote in an open letter that she declined a meeting request from Lewis, citing his energy policies as the reason. Beck said that Lewis’s stance on energy jeopardised “$13.6 billion in economic activity annually in Saskatchewan.” However, some provincial NDP leaders have shown support for Lewis, supporting the leader’s aim to drive down energy prices for consumers. This includes Manitoba’s Premier Wab Kinew, who has stated that he believes Lewis would be a “great voice for the country.”
Canada has long been divided on the issue of energy. In 2021, then-Prime Minister Justin Trudeau was criticised by those in the oil industry for appointing two men with strong environmental records as the environment and climate change minister and the natural resources minister. Trudeau stated from the beginning of his last term that addressing climate change was a major priority, having already imposed a carbon tax and pledged net-zero carbon emissions by 2050.
The move drew criticism from those in the fossil fuel industry, particularly in Alberta, over fears the PM would turn his back on the industry. Meanwhile, many renewable energy advocates criticised Trudeau for not doing enough to support a green transition. Now, his successor, Mark Carney, is facing the same dilemmas.
Canada’s Prime Minister, Liberal Party leader Mark Carney, has strived to make Canada a global “energy superpower” since taking over from Trudeau last year. Carney has focused on reducing the country’s trade reliance on the United States, particularly following repeated threats from Trump that the U.S. could introduce or increase tariffs on Canadian goods.
Over the last year, Carney has begun to undo many of Trudeau’s green transition energy policies in support of oil and gas. Carney has encouraged LNG production and signed a memorandum of understanding with Alberta’s Premier Danielle Smith in November to advance a new bitumen pipeline in British Columbia, much to the dismay of Canadian environmentalists.
With Canada so divided over energy, it appears that no leader’s stance on energy will be entirely satisfactory to voters. Despite Canada’s oil production increase under Trudeau, he is often remembered because of his support for renewable energy and supposed opposition to oil and gas. Meanwhile, Carney is widely criticised by environmentalists for undoing the energy diversification of recent years.
By Felicity Bradstock for Oilprice.com