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Oil and Natural Gas Industry Means Economic Recovery – Even in Ontario

As Canada emerges from the pandemic, the natural gas and oil industry is poised to help drive the country’s recovery – even in Ontario.

Through direct and indirect employment, people from B.C. to Newfoundland and Labrador are connected with the energy sector. To illustrate the point, the Canadian Association of Petroleum Producers (CAPP) has created two short videos focused on Ontario suppliers such as Tenaris Algoma (maker of steel pipe), Validere Technologies (high-tech trading and logistics software developers) and with comments from the Ontario Chamber of Commerce and the Canadian Manufacturers and Exporters. Go to www.context.capp.ca and search the video library for these and other insights into the natural gas and oil industry.

The oil and natural gas sector can help Canada’s post-pandemic economic recovery. With the right set of policies, the sector could create 120,000 new jobs, attract up to $20 billion in new investment and increase government revenues to $7.5 billion annually to fight the deficit and fund social programs. And those benefits are Canada-wide.

In fact, outside of Alberta, Ontario is the largest supplier to Canada’s oil sands industry. Major services contracted in the Mississauga region include equipment, chemicals and engineering. Dollars spent in Mississauga amounted to almost 15 per cent of the oil sands’ total spend in Ontario, with 218 local suppliers and contracts totalling $275 million in 2019.

And there’s good news on the environmental front, too. Canadian producers of natural gas and oil share Canadians’ concerns about climate and the greenhouse gas (GHG) emissions. With an emphasis on clean technologies and knowledge sharing within the industry, the natural gas and oil sector is a world leader in innovation and emissions reduction. The industry has a broad portfolio of innovative solutions that are already resulting in emissions reductions:

  • From 2011 to 2019, the combined production of natural gas, condensate and natural gas liquids increased 32% while emissions intensity in this sector decreased by 33%.
  • As a result of Canada’s flaring conservation practices, this country ranks among the lowest-emission natural gas producers globally.
  • While production from oil sands in situ facilities grew by 66% from 2013 to 2019, emissions intensity dropped by 8%.
  • From 2013 to 2019 oil sands mining production increased 59% as emissions intensity decreased by 14%.
  • Overall emissions from Canada’s offshore production is already low relative to other global offshore sources. Offshore operators have reduced flaring significantly and are working to manage and reduce emissions through operational efficiencies and preventative maintenance, which in turn reduces energy consumption.

The oil and natural gas sector means jobs and positive economic growth in Ontario, and a lower-carbon future for all Canadians. Find out more at www.capp.ca.  



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