CAPP calls for the feds for long-term answers for oil price differential disaster
Posted Nov 28, 2018 6:59 am.
This article is more than 5 years old.
CALGARY (660 NEWS) – The Prime Minister and the Federal Finance Minister both made an appearance in Calgary within the last seven days and they were both met with protesters because of the financial crisis involving record low oil prices.
Now the Canadian Association of Petroleum Producers (CAPP) is calling out the government to act in order to solve the problem.
President and CEO, Tim McMillan, said the industry in a tough spot right now.
“In the short-term, there are very few good options.”
He called the increase in rail movement a medium-term answer that won’t cut to the heart of the problem.
“In the short-term rail is already ramping up, but it is going to be insufficient for quite some time. The ultimate solution is getting more pipelines built.”
He believes this government’s record has resulted in many of the problems for the industry, and therefore Alberta is facing today.
“I think that the federal government should be acknowledging that the results of cancelling Northern Gateway and difficulties of getting other projects moved forward has created this and no one should be surprised we are in this situation.”
He noted the industry is not looking for any kind of bailout from any government.
“We are a free-enterprise industry that rarely looks to the government for support. We look for them to enable us to invest and grow the Canadian economy.”
McMillan also believes the protests we saw in Calgary were a sign that people want action, but he did say it was a positive sign that leaders in the country were willing to listen to the concerns that many people in Alberta have.
“I would also expect that after they have listened and acknowledged the crisis, that they would take the actions appropriate. We have been very frustrated about their approach to Bill C-69 and their approach to pipelines in general.”
That bill, as it stands, would mean there would be more consultation. McMillan believes that would be a death blow to future projects in the country.
“No new pipelines projects will go forward in Canada if this bill passes.”
