Does Ontario Benefit from Canada’s Oil and Gas Industry?

Does Ontario Benefit from Canada’s Oil and Gas Industry?

The short answer is yes! But who’s in for short answers nowadays?

In today’s current climate of misinformation and fear mongering about Canada’s natural resource sector, most of which has been spread by foreign-funded “environmental” groups who only oppose Canadian energy, the whole truth needs to be told in a descriptive and well-sourced way.

One of those truths is that Ontario and the rest of Canada's provinces benefit immensely from the oil and gas industry, which is active in 12 of the 13 provinces and territories. In Ontario's case, many service and manufacturing jobs are created indirectly as a result of activity in the oil and gas sector.

For now, we’ll keep our sites focused on Ontario, but stay tuned for more articles showing how other Canadian provinces without direct oil and gas exploration and production activities also benefit when our natural resource sector is strong.


Canadian Oil and Gas: Benefits for Ontario and Ontarians

CERI Canadian Employment Impacts of All Oil and Gas Development in Canada 2017 2027A study performed by the Canadian Energy Research Institute (CERI) shows the strong connection between Ontario and the Canadian oil and gas sector. The study considered years between 2017 to 2027 and was published in August of 2017:


CERI – Economic Impacts of Canadian Oil and Gas Supply in Canada and the US (2017- 2027)


  • Employment impact from all oil and gas activity across Canada will result in 781,000 person years in Ontario (12 per cent of national total) between 2017 and 2027

Ontario Revenues: Non-Oil Sands Conventional Crude Oil Development

CERI Canadian Employment Impacts of Conventional Oil and Gas Development

  • $30.8 billion in added gross domestic product (GDP) to Ontario’s economy due to conventional crude oil development (not including oil sands) in Canada
  • 158,000 person years of employment in Ontario due to conventional crude oil development (not including oil sands) in Canada
  • $3.03 billion in generated taxes from Ontario industry sectors to federal government from non-oil sands conventional crude oil development in Canada
  • $2.53 billion in provincial taxes collected by Ontario’s government from non-oil sands conventional crude oil development in Canada

Ontario Revenues: Oil Sands Development

CERI Canadian Employment Impacts of Oil Sands Development

  • $98.7 billion in added GDP to Ontario’s economy due to oil sands development
  • 505,000 person years of employment in Ontario due to oil sands development
  • $9.75 billion in generated taxes from Ontario industry sectors to federal government from oil sands development
  • $8.13 billion in provincial taxes collected by Ontario’s government from economic activity due to oil sands development

Ontario Benefits Immensely from Canadian Oil and Gas

Natural Resource Sector Important for Ontario Jobs - Erin O'Toole

While CERI's report does not take into account recent events, it does show just how important Canada’s oil and gas sector is to Ontario and the rest of the country.

This report goes on to mention that for every direct job created in Canada’s oil and gas sector, on average about 2 indirect and 3 induced jobs are created in other sectors. Guess where a significant amount of these created jobs are found? In Ontario!

Furthermore, for every million dollars in CAD invested and generated in the Canadian oil and gas sector, the impact on Canada’s national GDP is $1.2 million CAD.

The benefits of a strong oil and gas industry in Canada for Ontario and the rest of the country are apparent in this report. All Canadians need to realize that the natural resource sector is the backbone of our high standard of living and quality of life


Canada Wins When Our Resource Sector is Strong

Transfer Payments To Canada From Alberta and Ontario 1961 to 2017

Did you know that between 1961 and 2017, Alberta contributed $611 billion in net federal transfer and equalization payments to Canada? During the same time frame, Ontario contributed $722 billion. That’s more than $1.3 trillion combined!

When Ontario and Alberta are strong, Canada is strong! Canadians need to stand up and support the industries that make this transfer of wealth that benefits the entire country possible!


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