Pipe Dream or Panacea? Evaluating the Case for Oil Pipelines in Canada
Oil pipelines have returned to the centre of Canada’s economic debate as trade tensions and uncertainty revive interest in energy infrastructure as a path to growth. A new report by energy and environmental economist Andrew Leach, co-director of the Institute for Public Economics at the University of Alberta, argues there is a potential case for another westbound oil pipeline to access Asian markets and ease capacity constraints. He warns that changing global oil dynamics, lower prices, market oversupply and the risk of overbuilt infrastructure could undermine its economic viability. The report also highlights growing legal and political barriers, particularly the increasing expectation of Indigenous consent, concluding that any decision on a new pipeline must rest with governments after a transparent assessment of whether it serves the public interest.
