Canada's offshore oil and gas industry is a significant economic driver. Its success is critical to both the Atlantic region and our entire country’s economic recovery - but right now, the industry is in crisis. The combination of COVID-19, the related temporary drop in demand for oil and gas and the resulting price collapse has deferred projects, delayed exploration programs and reduced government revenues. Thousands of women and men have been laid off from jobs that are at risk of never returning unless immediate federal action is taken.
Our offshore sector represents one of the lowest carbon per barrel footprints in the world, with an average of under 19 kg CO2 equivalent per barrel for Newfoundland and Labrador’s current producing projects. The offshore sector is also a global leader in ocean innovation, leading to the development and adoption of new technologies that benefit not only the oil and gas sector, but all ocean industries.
If this vital Canadian industry does not get the support and investment it needs from the federal government it is estimated that the ten year period 2020-2029 will result in a combined reduction of more than:
- $18 billion in federal and provincial government revenues
- $11 billion lost in provincial revenues
- $7 billion for the federal government and other provinces.
Please send a letter to your Member of Parliament, Minister of Natural Resources Seamus O'Regan, Minister of Finance Bill Morneau, Minister of Environment and Climate Change Jonathan Wilkinson, and Minister of Infrastructure and Communities Catherine McKenna, letting them know that you support Canada's offshore oil and gas industry and asking them to tell Prime Minister Trudeau that the industry requires immediate federal support. It only takes minute and your voice will have a large impact.
Now more than ever, Canadians need to support each other.
A strong Newfoundland and Labrador is a strong Canada.
- Directly employs more than 6,500 people (and thousands more indirectly).
- Supports more than 500 supply/service companies.
- Cumulative expenditures by the producing sector in Atlantic Canada from 1997 to 2017 total more than $66.8 billion.
- Cumulative royalties paid to the Governments of Nova Scotia and Newfoundland and Labrador from 1997 to 2017 total more than $23.3 billion.
- More than $506 million spent on research and development, and education and training