Does a Red Government Still Mean A Healthy Oil Industry?

by: Sehej N.

After ten years, on October 19th 2015, a red Liberal government was voted in to parliament. Their leader, Justin Trudeau, is more environmentally friendly than Stephen Harper, Canada’s last prime minister.
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One of Trudeau’s plans is  to have natural energy as well as fossil fuels. Many people show hostility to the new prime minister, because his father, Pierre Elliott Trudeau implemented the National Energy Program in the 80s. This program ruined lives of people who worked in the oil and gas industry. This brings up the question: Will Justin Trudeau negatively or positively affect the oil industry?

Of course, the oil industry was showered in love and money by the Conservative government, and they know that Trudeau is not going to show this kind of affection towards them, but was the love from the Conservatives beneficial, or did it just harm the industry even more? For example, when Harper tried to speak up to the general population and other neighbouring countries, namely U.S.A, about potential pipelines, he wasn’t being heard. There is hope in the industry that Trudeau’s voice will be heard and that society will agree to potential pipelines such as the Energy East Pipeline, which will carry many barrels of oil from Alberta to Saskatchewan.

The reason that these companies have hope for Trudeau is because, if he agrees he’s speaking on behalf of Canada, not just the “West” like Harper did. This is a key  a reason for people to believe that these pipelines would be beneficial.

With plenty of positives, there also comes a handful of negatives. With a new Liberal government, not as many proposals for pipelines will be accepted. An example of this is the Northern Gateway Pipeline, a pipeline made by Enbridge, was likely being built under the Tory government, but with the Liberal’s there is no way that it is being constructed. Canada has relied on oil to gain profit for the country for at least the last ten years and with this new form of leader that will change. This will affect the industry heavily causing less and less profit coming from oil. Another reason the oil companies will be affected, is that they are being taxed more, leading to potential job layoffs which Trudeau says he will avoid. With higher tax comes less money, which means the corporation has less to give to employees. People will face some hardships.

Beneficial is word that is different in everyone’s head, so to find out if the Liberal government is “beneficial” to the oil industry is a hard question to answer.here are pros and cons both ways, and only the future can tell us what is going to come out of this change.
Johnson, Tracy. “Fear and Optimism in the Oilpatch after Liberal Win.”CBCnews. CBC/Radio Canada, 20 Oct. 2015. Web. 22 Oct. 2015.

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