Quebec economy significantly benefits from Canada’s oil sands – CAPP

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Quebec energy consumption

Leger poll commissioned shows 65% of Quebecers prefer oil imports come from Western Canada

A new economic analysis prepared by AppECo shows that Canada’s oil sands generate significant economic benefits for Quebecers, according to the Canadian Association of Petroleum Producers(CAPP).

The study found Canada’s oil sands had a substantial impact on Quebec’s economy in terms of employment, gross domestic product (GDP) and tax revenue, in a 12-month period between 2014 and 2015.

The International Energy Agency reported global energy demand is forecast to grow 31 per cent by 2040, with the Canada’s oil sands poised to be a major supplier for that need, according to CAPP.

A total of 371 Quebec companies earned $1.2 billion in business contracts, of which more than $585 million were awarded to companies located on the Island of Montreal, $402 million in the North and South shores of Montreal, $33 million in the Greater Québec Area and $210 million elsewhere in Quebec.

These investments were mainly awarded in the transport, machinery manufacturing and retail trade sectors.

“Quebec’s enduring business relationship with Canada’s oil sands proves to be a solid foundation for creating economic benefits, attracting investments and generating revenues for public services such as health care and education, which are essential to our continued shared prosperity,” said Jeff Gaulin, CAPP VP of communications.

 

These investments were mainly awarded in the transport, machinery manufacturing and retail trade sectors.

Furthermore, about 16,200 jobs were created or maintained by Canadian oil sands producers’ expenditures in Quebec, including more than 7,500 jobs on the Island of Montreal.

Expenditures also added $1.25 billion (1.5 per cent) to GDP, including $557 million in direct GDP. The portion of revenues for the Government of Quebec totaled $215 million.

CAPP claims that Quebec suppliers contribute significantly in oil sands innovation and technology, such as GHGSat, a Montreal-based aerospace company helping oil sands sector monitor, cut GHG emissions.

“Today, Quebec is an important partner in the Canadian oil sands. The innovations of Quebec suppliers will help Canada’s oil sands become a cleaner energy source for tomorrow,” said Gaulin.

A recently published Leger poll commissioned by the Montreal Economic Institute (MEI) shows 65 per cent of Quebecers prefer oil imports come from Western Canada.

Another 56 per cent of respondents prefer that Quebec develop its own oil resources rather continuing to import oil for its needs.

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