Pipeline Politics: A Tug-of-War in Canada

Mon Nov 17 2025 05:28:28 GMT+0200 (Eastern European Standard Time)

The dispute over a proposed oil pipeline from Alberta to British Columbia is stirring significant tensions between the provinces, testing Canada's ambition to boost global trade in energy.

Canada is facing internal conflicts as Alberta pushes for a new pipeline to transport oil to Asia, while British Columbia staunchly opposes the project. The disagreements expose deeper economic and environmental concerns as the nation seeks to reduce reliance on U.S. markets. Alberta's Premier, Danielle Smith, accuses British Columbia's Premier, David Eby, of blocking progress, while Eby dismisses Smith's proposal as unrealistic. This feud comes as Canada aims to position itself as a global energy player amidst mounting climate pressures and local opposition.

As Canada looks to untangle itself economically from the US, the country's landlocked oil patch is eyeing new customers in Asia through a pipeline to the Pacific. Not everyone is on board.

The oil-rich province of Alberta has had one demand for Prime Minister Mark Carney: Help us build an oil pipeline — and fast.

It's no small task — in fact, some argue it has become near-impossible to build a pipeline in Canada because of laws designed to bolster environmental protections. Three oil pipelines have died on the vine in the past decade over fierce opposition.

But Alberta Premier Danielle Smith is not deterred. Her conservative government has taken the unusual step of drafting its own proposal for a pipeline from the Alberta oil sands to British Columbia's northern Pacific coast, aimed at reaching Asian markets. Still in the early stages, Smith hopes that by doing the groundwork a private company will eventually take over and build it.

Neighbouring British Columbia, however, is firmly against it. Premier David Eby has dismissed Smith's plan as fictional and political, arguing no company wants the burden of taking it on. He also accused Smith of jeopardising his own province's ambitions to expand liquified natural gas (LNG) exports to Asia.

Smith in turn, has called him un-Canadian.

The feud between the Western provinces comes at a critical time. Canada is trying to wean itself off its economic dependence on the US amidst changing international trade dynamics.

On Thursday, Carney unveiled new nation-building projects key to Canada's growth; the list included critical minerals mines and an LNG project in BC, but not a pipeline.

With Canada home to one of the world's largest oil reserves, Carney is now facing questions from Albertans over whether he can achieve his goals without first solving the internal rifts.

The disagreement reflects a longstanding clash in Canadian politics where British Columbia prides itself on its environmental stance, while Alberta's economy heavily relies on oil and gas extraction. A survey shows that despite these tensions, a majority of Canadians support building a second pipeline between Alberta and BC.

Yet, environmental concerns remain paramount. Keith Brooks, from Environmental Defence Canada, has warned of fierce opposition and legal challenges from First Nations communities if a new pipeline project progresses.

In this evolving drama, Canada’s ambitions on the global energy stage rise and fall based on the complex interplay of regional interests, economic goals, and environmental responsibilities.