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Eastern Canadian crude oil supply and its implications for regional energy security

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  • Hughes, Larry

Abstract

Canada has been blessed with immense energy resources; however, their distribution is not uniform. One such example is crude oil, which is found primarily in western Canada. Eastern Canada, consisting of the six eastern-most provinces (Newfoundland and Labrador, New Brunswick, Nova Scotia, Ontario, Prince Edward Island, and Quebec), produce limited quantities of crude oil, most of which is exported to the United States. Ideally, western Canadian crude oil would meet the demands of eastern Canada; however, the North American Free Trade Agreement (NAFTA) and the absence of oil pipelines means that eastern Canada increasingly relies on supplies of crude oil from a small number of oil exporting countries, many with declining production. This paper examines crude oil production, supply, and its refining in eastern Canada. It shows that crude production in the region has reached its peak and that increasing global competition for crude oil will affect energy security in eastern Canada, either through price increases or supply shortages, or both.

Suggested Citation

  • Hughes, Larry, 2010. "Eastern Canadian crude oil supply and its implications for regional energy security," Energy Policy, Elsevier, vol. 38(6), pages 2692-2699, June.
    • Handle: RePEc:eee:enepol:v:38:y:2010:i:6:p:2692-2699
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    References listed on IDEAS

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    1. Gowdy, John & Juliá, Roxana, 2007. "Technology and petroleum exhaustion: Evidence from two mega-oilfields," Energy, Elsevier, vol. 32(8), pages 1448-1454.
    2. Hughes, Larry, 2009. "The four 'R's of energy security," Energy Policy, Elsevier, vol. 37(6), pages 2459-2461, June.
    3. Mel Watkins, 2003. "The Clash of Ideas: Neoclassical Trade Theory Versus Canadian Political Economy," International Journal of Political Economy, Taylor & Francis Journals, vol. 33(3), pages 90-101.
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    Cited by:

    1. Hughes, Larry, 2012. "A generic framework for the description and analysis of energy security in an energy system," Energy Policy, Elsevier, vol. 42(C), pages 221-231.
    2. Aleksei Valentinovich Bogoviz & Svetlana Vladislavlevna Lobova & Yulia Vyacheslavovna Ragulina & Alexander Nikolaevich Alekseev, 2018. "Russia s Energy Security Doctrine: Addressing Emerging Challenges and Opportunities," International Journal of Energy Economics and Policy, Econjournals, vol. 8(5), pages 1-6.
    3. Fertel, Camille & Bahn, Olivier & Vaillancourt, Kathleen & Waaub, Jean-Philippe, 2013. "Canadian energy and climate policies: A SWOT analysis in search of federal/provincial coherence," Energy Policy, Elsevier, vol. 63(C), pages 1139-1150.
    4. Augutis, Juozas & Krikštolaitis, Ričardas & Martišauskas, Linas & Pečiulytė, Sigita & Žutautaitė, Inga, 2017. "Integrated energy security assessment," Energy, Elsevier, vol. 138(C), pages 890-901.
    5. Hughes, Larry & Chaudhry, Nikhil, 2011. "The challenge of meeting Canada's greenhouse gas reduction targets," Energy Policy, Elsevier, vol. 39(3), pages 1352-1362, March.
    6. Neil A. Wilmot, 2013. "Cointegration in the Oil Market among Regional Blends," International Journal of Energy Economics and Policy, Econjournals, vol. 3(4), pages 424-433.

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