Rachel Doran, president and executive director of Clean Energy Canada, a think tank at Simon Fraser University, asks in an article in the Globe and Mail: “Is it really a good idea for the government to subsidize a pipeline?”
But while the share of private energy investment going into fossil fuels has slumped from 50 per cent to 28 per cent over the past decade, fossil fuels now receive about as much money from taxpayers through subsidies as they do from private investors, keeping their costs artificially lower.
Yes, oil is our biggest export, but its contribution to Canada’s GDP combined with gas was 3.8 per cent in 2025. All told, 56,000 Canadians worked directly in oil and gas extraction in 2025, compared with 108,000 in electric power generation, transmission and distribution, according to Statistics Canada. (Doran & Keller, 2026)
When the Government finances economic development there seem to be many mouths to feed. The trade-offs in seeking political support and voters before the next election call may sometimes fall into the category of “short term gain for long term pain”.
References
Doran, R., & Keller, T. (2026, October 1). Opinion: Is it really a good idea for the government to subsidize a pipeline? The Globe and Mail. Retrieved October 3, 2026, from https://www.theglobeandmail.com/business/commentary/article-is-it-a-good-idea-to-subsidize-the-west-coast-pipeline/?
