Author: Michael Holden
Pipe or Perish: Saving an Oil Industry at Risk reveals significant economic losses to the Canadian economy – between $30 and $70 million per day for each stalled pipeline project that would open up access to the right markets.
In addition to the need to open up pipeline access to new markets, the report also finds:
There are clear opportunities for rail transport, but building new pipelines is the best long-term transportation solution;
Current market conditions do not support developing additional refining and upgrading capacity in western Canada.
Pipe or Perish concludes that failure to address current pipeline shortfalls will put western Canada’s oil industry at risk and will have a substantial negative impact on the Canadian economy. The economic benefits will be lost if provinces don’t work together to open up access to markets in Asia, Eastern Canada and the U.S. Eastern Seaboard while cooperation between Canada and the US is key to getting oil to the Gulf Coast.