The Globe and Mail reports in its Wednesday, Jan. 16, edition that former Suncor Energy chief executive officer Rick George says Canada needs more pipelines to preserve the country's standard of living. The Globe's Josh Wingrove writes that Mr. George says a shortage in pipeline capacity is a matter of Canadian "sovereignty." He says the lack of capacity is driving down the price paid for Canadian oil, hurting resource companies and gouging government revenue.
Mr. George notes that "Canada depends almost wholly on the United States, but the reverse is not true." He says Canada needs to be able to move oil and natural gas to the Pacific coast so as to access an alternative export market. He is urging pipeline advocates and critics to get "out of the trench" and have a "civil discussion."
He expects TransCanada's Keystone XL pipeline to be approved, more oil to be shipped by rail, and Enbridge's existing Line 9 reversed to send oil East to Montreal.
Mr. George expects the price gap to narrow before a capacity crunch forces companies to limit production.
Mr. George is now a partner at Novo Investment Group. Mr. George is currently in the public eye promoting his book, Sun Rise.