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Macdonald-Laurier Institute

We need a Canada-India energy pact: Vijay Sappani in the Financial Post

July 30, 2021
in Columns, Domestic Policy Program, Economic policy, Energy, Foreign Affairs, Foreign Policy Program, In the Media, Latest News
Reading Time: 3 mins read
A A

They have the demand, we have a stable supply and together we can advance global climate goals while supporting employment in Canada’s energy sector, writes Vijay Sappani in the Financial Post. Below is an excerpt from the article, which can be read in full here.

By Vijay Sappani, July 29, 2021

The cancellation of the Keystone XL pipeline and the more general failure to build linear infrastructure complicates a perennial problem: how can we get Canadian oil, natural gas, and other energy products to global markets where they will fetch better prices? At the moment, Canadian energy exports go disproportionately to a U.S. market that is increasingly interested in achieving ambitious climate targets that likely will reduce future opportunities for Canadian fossil-fuel producers.

We need to find new large markets for our exports. It is time for Canada to shift some focus away from our largest trading partner and toward the world’s largest democracy. India is the world’s third-largest energy consumer. By 2040, according to the International Energy Agency, it will account for fully one-quarter of global energy demand. Growth this rapid will cause India’s reliance on overseas oil to reach 92 per cent of its needs.

If India has a growing demand for energy, Canada has a significant supply, including the world’s third-largest reserves of uranium and oil, not to mention substantial volumes of natural gas and significant expertise with green technologies.

Balancing the need for increased energy production with the need to address climate change, India is building infrastructure to boost its use of liquified natural gas and is aiming to generate more than half its electricity consumption using renewable energy by 2030. Whether we are talking oil, uranium, or solar, India needs strong, stable energy supplies and Canada needs a reliable consumer.

***TO READ THE FULL ARTICLE, VISIT THE FINANCIAL POST HERE***

Tags: CanadaCanada-India relationsenergyenergy policyForeign AffairsIndiaVijay Sappani
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