Energy Security
Currently, 66% of tar sands oil is being exported to the United States, while over 40% of the oil used in Canada is imported to fulfill the needs of Eastern Canada. When the Keystone pipeline is built from Alberta through to the States, the tar sands industry will become increasingly reliant on US refineries for processing and Canada will continue the tradition of providing raw resources to the United States instead of processing it (and creating more jobs) for ourselves. The tar sands industry is ensuring the energy security of the United States while ignoring the energy needs of the rest of Canada.
Canada has surpassed Saudi Arabia as the number one exporter of oil to the United States. And, despite growing oil exports to the U.S., Canada is importing one million barrels of oil a day (over 40% from OPEC countries) to meet energy needs in Ontario, Quebec and the Atlantic provinces. Alberta oil reserves are being shipped south instead of east to meets needs of our own nation. What’s more, Canada is obligated to maintain its oil exports to the U.S. The proportionality clause of the North American Free Trade Agreement [NAFTA] requires Canada to continue exporting oil at a level that is the same or above the average volume of exports during the previous three years.
Canada could, through the National Energy board, require that our oil exports not exceed the current ration of production to exports. But if, for conservation purposes, Canada were to introduce a quota, let alone a ban, on our oil exports to the U.S., Washington would likely invoke NAFTA and retaliate. And now, big business interests in Canada want to further solidify this obligation by incorporating a ‘resource security pact’ between Canada, the United States and Mexico through the new Security and Prosperity Partnership.
Additionally, in Alberta, dwindling reserves of natural gas are rapidly being used to fuel tar sands production, thereby seriously reducing existing supplies required for Canada’s own energy security [Canada has only 8.7 years proven supply left] as well as natural gas pipelined in from the Canadian High Arctic which would be sufficient to fuel every home in Canada. If the Mackenzie Valley pipeline is built, most if not all of the natural gas found in Northern Canada will be shipped to tar sands extraction sites in Northern Alberta.
Nuclear power is being proposed as a substitute for natural gas in fuelling tar sands extraction, raises profound problems about safe storage of nuclear wastes and corresponding insecurities, especially in the fragile northern ecology.
