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Canada would have to designate major pipeline projects such as Northern Gateway as being “in the national interest” and therefore legally required before companies will consider investing again, says Enbridge Inc. chief executive officer Greg Ebel.
“For us to be willing to seriously consider reinvesting in a project like that, whether it’s east to west or just west, we need to see real changes on numerous fronts,” he said during a quarterly earnings conference call on Friday when asked what it would take for Enbridge to invest again in a major oil pipeline project in Canada, similar to the company’s cancelled Northern Gateway project, which would have transported crude from Alberta to a marine terminal on British Columbia’s northern coast.
Ebel said it could require permitting changes and repealing federal legislation such as Bill C-69, dubbed the “no-more-pipelines act,” which changed how the federal government reviews major projects.
“We would need to see real legislative change at the federal and provincial government level that specifically identifies major infrastructure projects like Northern Gateway as being in the national interest and therefore legally required,” he said.
Ebel also called for more Indigenous consultation and loan guarantees for groups seeking a stake in major projects.
He also took aim at the federal Liberals’ signature environmental policies, including Bill C-59’s greenwashing rules and the oil and gas emissions cap.
“You’ve got to see support for energy production, as opposed to reducing it, which you see through emission caps and carbon tax,” he said.
You've got to see support for energy production as opposed to reducing it
Greg Ebel
Ebel’s comments came amid a resurgence of public interest in Canada’s export pipeline capacity in the wake of threats by United States President Donald Trump to impose a 25 per cent tariff on most Canadian goods and 10 per cent on energy.
Enbridge said it didn’t expect U.S. tariffs to have a material impact on its operations due to the stable nature of pipeline revenues, which are typically underpinned by long-term contracts with shippers.
Ebel also said the “hard wiring of the energy system in North America” could limit tariff-related disruptions, adding that he expected energy would continue to move north and south more than it does east and west.
Enbridge reported adjusted earnings of $1.6 billion in the fourth quarter of 2024, up from $1.4 billion in the same period in 2023, driven by new U.S. gas utility acquisitions and higher tolls on the Mainline pipeline system.