The Saskatchewan Chamber of Commerce is urging the federal government to reassess the new emissions cap proposed November 4, 2024 for the oil and gas sector. Under the cap, producers in Canada will be required to cut greenhouse gas emissions by about one-third over the next eight years.

Our industry leaders already face a complex regulatory landscape, including carbon taxes, clean fuel standards, and methane regulations, which create uncertainty for businesses and investors. A new emissions cap would derail investments, production, and economic growth. Additional regulations are both unnecessary and out of sync with other oil producing nations, such as the United States.

Here are just some of the ways that our oil and gas sector contributes to our economic wellbeing:

Balancing International Trade

Canadians import billions of dollars in goods from around the world each year in everything from fresh produce to electronics. The Canadian oil and gas industry offsets this with over $155.4 billion in energy exports in 2023, significantly improving our trade balance. Oil and gas and their associated products account for 20% of Canadian exports, making them by far the largest export category.

Powering a Province

Saskatchewan produced 457,000 barrels of crude oil and 309.7 million cubic feet of natural gas per day in 2023. Natural gas energy generation alone accounts for 44% of all energy produced in Saskatchewan, powering the homes, businesses, and infrastructure that keep our provincial economy thriving. This power enables us to be second in the nation for real GDP growth at 1.6% and to have the highest anticipated capital investment increases of any province.

Supporting Local and Indigenous Communities

Our oil and gas sector contributed $34.1 billion in federal and provincial income taxes and royalties in 2023. These revenues help to fund hospitals, pay for education, run critical social programs, and support the arts – all of which contribute to Canadians’ high quality of living. More than 320,000 jobs are also supported by Canada’s oil and gas industry – including over 5,000 here in Saskatchewan. Furthermore, oil and gas contributes 22% of the province’s GDP, making it a significant pillar of our economy.