• 2 days PDVSA Booted From Caribbean Terminal Over Unpaid Bills
  • 2 days Russia Warns Ukraine Against Recovering Oil Off The Coast Of Crimea
  • 2 days Syrian Rebels Relinquish Control Of Major Gas Field
  • 2 days Schlumberger Warns Of Moderating Investment In North America
  • 2 days Oil Prices Set For Weekly Loss As Profit Taking Trumps Mideast Tensions
  • 2 days Energy Regulators Look To Guard Grid From Cyberattacks
  • 2 days Mexico Says OPEC Has Not Approached It For Deal Extension
  • 2 days New Video Game Targets Oil Infrastructure
  • 2 days Shell Restarts Bonny Light Exports
  • 2 days Russia’s Rosneft To Take Majority In Kurdish Oil Pipeline
  • 3 days Iraq Struggles To Replace Damaged Kirkuk Equipment As Output Falls
  • 3 days British Utility Companies Brace For Major Reforms
  • 3 days Montenegro A ‘Sweet Spot’ Of Untapped Oil, Gas In The Adriatic
  • 3 days Rosneft CEO: Rising U.S. Shale A Downside Risk To Oil Prices
  • 3 days Brazil Could Invite More Bids For Unsold Pre-Salt Oil Blocks
  • 3 days OPEC/Non-OPEC Seek Consensus On Deal Before Nov Summit
  • 3 days London Stock Exchange Boss Defends Push To Win Aramco IPO
  • 3 days Rosneft Signs $400M Deal With Kurdistan
  • 3 days Kinder Morgan Warns About Trans Mountain Delays
  • 4 days India, China, U.S., Complain Of Venezuelan Crude Oil Quality Issues
  • 4 days Kurdish Kirkuk-Ceyhan Crude Oil Flows Plunge To 225,000 Bpd
  • 4 days Russia, Saudis Team Up To Boost Fracking Tech
  • 4 days Conflicting News Spurs Doubt On Aramco IPO
  • 4 days Exxon Starts Production At New Refinery In Texas
  • 4 days Iraq Asks BP To Redevelop Kirkuk Oil Fields
  • 5 days Oil Prices Rise After U.S. API Reports Strong Crude Inventory Draw
  • 5 days Oil Gains Spur Growth In Canada’s Oil Cities
  • 5 days China To Take 5% Of Rosneft’s Output In New Deal
  • 5 days UAE Oil Giant Seeks Partnership For Possible IPO
  • 5 days Planting Trees Could Cut Emissions As Much As Quitting Oil
  • 5 days VW Fails To Secure Critical Commodity For EVs
  • 5 days Enbridge Pipeline Expansion Finally Approved
  • 5 days Iraqi Forces Seize Control Of North Oil Co Fields In Kirkuk
  • 5 days OPEC Oil Deal Compliance Falls To 86%
  • 6 days U.S. Oil Production To Increase in November As Rig Count Falls
  • 6 days Gazprom Neft Unhappy With OPEC-Russia Production Cut Deal
  • 6 days Disputed Venezuelan Vote Could Lead To More Sanctions, Clashes
  • 6 days EU Urges U.S. Congress To Protect Iran Nuclear Deal
  • 6 days Oil Rig Explosion In Louisiana Leaves 7 Injured, 1 Still Missing
  • 6 days Aramco Says No Plans To Shelve IPO
Oil Markets Fear Iraqi Escalation

Oil Markets Fear Iraqi Escalation

The military operation by Iraqi…

Why Petrol Powered Cars Aren’t Going Anywhere

Why Petrol Powered Cars Aren’t Going Anywhere

Internal combustion engines are still…

Poll: Canadians Overestimate Value Of Oil Sands

Poll: Canadians Overestimate Value Of Oil Sands

A new poll by an environmental group indicates that Canadians, evidently persuaded by Conservative Prime Minister Stephen Harper, appear to have an inflated view of the economic benefits their country may reap from exploiting its tar sands.

Statistics Canada reports that production from oil sands accounts for no more than 2 percent of the country’s gross domestic product. Yet the survey by Environmental Defense said 57 percent of respondents overrated that value, including 41 percent who say that contribution is between 6 and 24 times higher.

The group stressed, however, that its online survey, conducted by Environics, focused only on the economic benefits from existing oil sands ventures in the western province of Alberta, not benefits from the jobs and other ancillary economic benefits that are likely to grow from projects including pipelines that are now being planned.

Despite popular overestimation, Paul Ferley, an economist with the Bank of Canada, said that at even 2 percent of GDP, oil sands extraction represents a fairly large and growing sector of the country’s economy. That makes it twice as large as Canada’s automotive sector, he said. And Ferley emphasized that it’s important to include the ancillary economic activity omitted in the Environics poll.

The survey questioned 1,011 adults nationwide between June 18 and June 23. Neither Environmental Defense nor Environics reported a margin of error for the poll.

Tim Gray, the executive director of Environmental Defense, issued a statement dismissing the Harper government’s characterization of exploiting Canada’s natural resources, including oil sands, as crucial to the country’s economic growth and that to hamper them would likewise hamper development.

“The [oil sands] are not the primary driver of our economy,” he said. “Their contribution is relatively small and certainly not sufficient to justify the risks of planned massive expansion.”

Related Article: Canadian Supreme Court Ruling Throws Major Pipeline into Doubt

Despite their overestimation of the value of oil sands, about 75 percent of the poll’s respondents believed that Canada should wean itself gradually from fossil fuels and rely more on cleaner alternatives.

Although the oil sands industry likely will provide an estimated $79 billion in revenue to the Canadian government during the next two decades, the extraction program remains a key controversy in the country as opposition has been mounting from environmentalists and Canada’s First Nations.

There’s also been resistance in the United States. Canada had hoped to export the crude oil through the proposed Keystone XL pipeline to the Gulf of Mexico, but has been stymied by protests from U.S. environmentalists, the U.S. Environmental Protection Agency and the U.S. State Department, which must give final approval to the pipeline but has postponed its decision.

This appears to have led Harper’s government to push only harder. It estimates that various companies intend to invest over $610 billion in oil sands projects in the next 10 years, so to protect this effort, Ottawa has decided to invest $24 million campaign to improve the public image of oil sands extraction.

By Andy Tully of Oilprice.com



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News