Pipeline Industry in Canada
Pipelines that move oil and natural gas are a critical part of our nation’s energy infrastructure. They are also a key component of the energy industry which employs hundreds of thousands of Canadians across the country and puts food on the table for just as many families.
Without pipelines, countless homes across our country would go without heat, and refineries without feedstock which would potentially create massive shortages for many day-to-day petroleum products we all rely on, not to mention the lost employment opportunities and public / private sector revenues that go with them.
Pipeline Capacity & Discounts
When we talk about the pipeline industry in Canada and the environment, we must have an informed, fact-based and balanced discussion. This is not an “either or” conversation, but one that must recognize the benefits of pipelines for Canada, their record of performance within our nation and the world-class regulatory framework we have in place to ensure operations are conducted safely without harm to workers, the public or our environment.
It is also a conversation that must bring into context what's happening around the world. Several major oil and gas producing nations are continuing to build oil and gas pipelines at a rapid rate as a result of projected growth in demand for years to come. The same goes for Texas, a major oil producing jurisdiction just south of the border.
Today, Canada’s shortage of pipeline capacity and our reliance on one customer - who buys 100% of our natural gas and 97% of our crude oil exports - has resulted in a steep price discount on our product.
New pipeline capacity is expected to reduce the countless millions Canada loses every day out of its economy as a result of discounted oil and natural gas, money which could be used to build new schools, hospitals and roads and support the jobs to build / staff them.
It makes sense to build these pipeline projects to create prosperity, but why aren't we? Learn more at:
Canada's Pipeline Industry: Facts
- 97% of Canadian crude oil and natural gas production is transported by transmission pipelines (NRC)
- Canada exported over $130 billion of mineral fuels and oil in 2019, a large majority of which was transported by pipelines (World's Top Exports)
- 119,000 kilometres of transmission pipelines are operated by CEPA members in Canada, enough to circle our planet 3 times (CEPA)
- 830,000 kilometres of pipelines (gathering, transmission and delivery lines) exist in an extensive underground network across Canada (CEPA)
- In 2015, Canada’s transmission pipelines added $11.5 billion to Canada’s economy (CEPA)
- 34,000 full-time equivalent jobs are supported by the Canadian pipeline industry (CEPA)
- Pipelines are responsible for just 1% of Canada’s total greenhouse gas (GHG) emissions (CEPA)
- 4,200 railcars would be needed to transport the 3.4 million barrels of crude oil produced by Canada each day (CEPA)
Pipelines & Environmental Leadership
- Between 2002-2015, 99.999 percent of all liquid product and natural gas was transported safely by the pipeline industry (CEPA)
- Pipelines have been shown to reduce GHG emissions associated with the transport of oil and natural gas by 61-77 percent versus rail (University of Alberta)
- Pipelines have been shown to be 4.5x safer to transport oil and natural gas versus rail (University of Alberta)
- Trans Mountain has been safely moving oil from Alberta to British Columbia for transport via tankers for almost 65 years (TMX)
- In 2016, Canada’s pipeline industry invested $22.8 million into innovative technology to improve performance and safety (CEPA)
- Canada’s pipeline industry operates at the highest level of standards across the world - the Canadian pipeline standards document is more than 500 pages in length and describes in detail the technical and operational requirements by law (CEPA)
Many special interest and environmental groups oppose the construction of all pipelines in Canada, citing decreasing demand for oil and natural gas despite major energy organizations projecting growing global demand for many years to come.
Repeated (and sometimes successful) attempts to delay projects like Trans Mountain and Coastal GasLink dwarf the substantial loss for Canadians when projects like Energy East and Northern Gateway were cancelled in 2016 and 2017. These projects would have generated tens of billions in government revenues, created tens of thousands of jobs, and brought tangible prosperity to both urban and rural communities across the country.
The only winners when Canadian pipelines are stalled are other major oil and gas producing nations who are happy to meet growing global demand. Often these producers do not have anywhere near the environmental protections, regulatory oversight and transparency involved with production that Canada does.
It’s time Canadians start standing up for what’s good for Canada and the global environment by supporting pipelines. These major infrastructure projects benefit Canadians from coast-to-coast and also will allow us to fund more renewable energy projects while decreasing the discount we take on our oil and gas. Join us!
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