Alberta to phase out coal
The provincial government of Alberta, Canada, said it aims to phase out coal by 2030 by adding more renewable energy resources to its grid. “The plan we have put forward Continue Reading
Canadian Energy Companies Seen Disappearing in Oil’s `New World’
Canada is poised to lose energy companies as the industry faces the “new normal” of lower and more volatile oil prices along with tougher climate and regulatory policies, billionaire investor Continue Reading
Canada’s New Leadership Reverses Course on Climate Change
In less than a month, Canada has executed a complete about-face on global climate change . With the defeat of the Conservatives in the October general election, out went nearly Continue Reading
Canada’s Energy-Rich Alberta to Cap Oil Sands Emissions
The Suncor oil-sands extraction plant near Fort McMurray in Alberta, Canada. CALGARY, Alberta—The government of oil-rich Alberta province in western Canada on Sunday pledged to phase out coal emissions by 2030, limit greenhouse gases from oil-sands production and implement an economywide carbon tax. The province unveiled the long-awaited plan one day ahead of a meeting in Ottawa among Prime Minister Justin Trudeau, Alberta Premier Rachel Notley, and the leaders of other Canadian provinces and territories to discuss environment policy. Mr. Trudeau has pledged to develop a framework for reducing greenhouse-gas emissions before a United Nations summit on Nov. 30. The plan comes at a challenging time for coal and oil producers in western Canada that are struggling to cope with low commodity prices. “Our goal is to become one of the world’s most progressive and forward-looking energy producers,” Ms. Notley said at a news conference in Edmonton. “We are […]
Oil Rout Puts Canada in C$3 Billion Hole as Trudeau Steps Up
Canadian Finance Minister Bill Morneau released forecasts showing he’s inherited a much worse fiscal outlook than expected as the country’s finances take a big hit from the oil price slump. A fiscal update released by the finance department showed Canada on pace for red ink even before newly elected Prime Minister Justin Trudeau kicks off his plan for deficit spending. The latest projections are for a C$3 billion ($2.3 billion) deficit in the fiscal year that began in March, compared with a C$1.4 billion surplus budgeted by former Finance Minister Joe Oliver. To take into account growing risks to the outlook, Friday’s update — which doesn’t reflect any new measures — includes revenue assumptions that fall C$2 billion short of those used in the previous government’s April budget . It’s a more cautious outlook that suggests Trudeau will need to bring Canada deeper into deficit than he campaigned on, […]
Morneau Releases Canada Fiscal Update Friday Amid Oil Price Drop
Canadian Finance Minister Bill Morneau will detail the state of play of the federal government’s finances Friday, amid worries about falling oil prices. The update won’t include the cost of new measures promised by the Liberal Party in the election campaign, according to an advisory on the finance department’s website. The world’s 11th largest economy shrank in the first half of the year as crude oil prices dropped below $50 a barrel and manufacturers struggled to rebuild U.S. orders even with the aid of a falling currency. The Parliamentary Budget Officer cut its 2015 growth forecast to 1.1 percent on Nov. 10 and projected additional deficits of C$13 billion ($9.8 billion) over three years in addition to the Liberal Party’s plan for C$25 billion of deficits.
OPEC Targets U.S. Shale, But Hits Canada Instead
A bucket loader digs for oil sands at a mine in this aerial photograph taken near Fort McMurray, Alberta, Canada, on June 4, 2015. OPEC took a swing at U.S. shale and knocked down Canada. Threatened by surging production from North America, the Organization of Petroleum Exporting Countries has been pumping above its quota for 17 months as it seeks to take market share from higher-cost regions. The resulting 60 percent price crash is hitting Alberta harder than Texas. Canadian producers are struggling to cut the cost of extracting bitumen from the oil sands, and their other wells are failing to match the efficiency gains of U.S. rivals, a Bloomberg Intelligence analysis shows. While output keeps rising in the Permian Basin, the largest U.S. shale play, companies are slowing output from wells in Alberta and have shelved 18 oil-sands projects during the downturn, according to ARC Financial Corp. “OPEC […]
TransCanada will grow without Keystone XL
TransCanada says it will remain resilient in North American energy sector despite fallout from Keystone XL decision. Photo by tcly/Shutterstock CALGARY, Alberta, Nov. 18 (UPI) — Pipeline company TransCanada said it had $9.75 billion worth of projects on tap that will expand its North American footprint despite recent political setbacks. "Our $50 billion portfolio of high-quality, long-life energy infrastructure assets are expected to continue generating stable and predictable results through various market conditions," Russ Girling, TransCanada’s president and chief executive officer, told investors in Toronto. In its third quarter earnings report, the Canadian pipeline company said earnings of $337 million were 2 percent lower than third quarter 2014. For the nine months ending Sept. 30, earnings of $970 million were down 7.6 percent year-on-year. That beat some of its peers in an energy sector struggling to endure through a depressed oil economy. Girling said his company was performing well, […]
Suncor Plans Higher Spending of Up to $5.5 Billion Next Year
Suncor Energy Inc., Canada’s largest crude producer, plans to boost capital spending to as much as C$7.3 billion ($5.5 billion) next year to expand operations and increase efficiency. The investment would be an increase from about C$6.3 billion this year, the average of 14 analysts’ estimates compiled by Bloomberg. The program is flexible, within a range starting at C$6.7 billion, to respond quickly to any further deterioration in market conditions, Suncor said Tuesday. Both capital and operating expenditures can be scaled back. Suncor has announced 1,000 job cuts, lowered its 2015 capital budget by $1 billion and delayed projects to weather collapsing prices. The company, along with Canadian Natural Resources Ltd., Cenovus Energy Inc. and other competitors, has squeezed spending in the oil sands, one of the world’s most expensive reserves to develop. “We’re well-positioned to invest in our base business and growth projects, even in a lower for […]
Canada’s Trudeau unveils plan to fund green infrastructure at G20
Canadian Prime Minister Justin Trudeau prioritizes green infrastructure in investment strategy unveiled from the sidelines of a G20 meeting in Turkey . Photo by Heinz Ruckemann/UPI ANTALYA, Turkey, Nov. 16 (UPI) — Dedicated funding for infrastructure supporting a low-carbon economy is one of the pillars of a new investment strategy, Canada’s prime minister said. Lower crude oil prices are hurting a Canadian economy that depends heavily on oil and natural gas exports. Exports from Canada largely target a U.S. economy that’s relying less on foreign reserves because of increased production from shale basins in the Lower 48. Government data show a national unemployment rate of 7 percent in Canada, compared with 4 percent in the United States. Monthly gross domestic product increased in August — the last full month for which data are available — by 0.1 percent for Canada, compared with 1.5 percent for the United States in […]