Benefits for us
and the world

Pipelines deliver vital resources for all Canadians

Pipelines move 97 per cent of the oil and natural gas that help drive Canada’s economy. In 2018 the oil and natural gas sector represented over 11 per cent of Canada’s total economic activity.* Since 2005, oil and natural gas has contributed almost $1 trillion to Canada’s GDP.**

* Source: Natural Resources Canada, Energy and the Economy

** Source: Stats Canada Natural Resources Satellite Account (NRSA)

In 2018, CEPA members invested $27.5 million in community initiatives across Canada, such as safety, environment and education, including $5.4 million in Indigenous communities.

In 2018, CEPA members contributed $1.8 billion to government tax revenues, including income, property, motor fuel and carbon taxes.

In 2018, of $1.8 billion in tax revenues, CEPA members paid more than $764 million in property taxes to municipalities in communities across Canada where they operate pipelines. In many rural municipalities with transmission pipelines, our industry is the largest single contributor to municipal taxes.

In 2018, CEPA members collectively spent almost $4.6 billion to obtain personnel, services, supplies and equipment from local sources, including $240 million from Indigenous suppliers.

In 2018, CEPA members directly employed 13,646 (full-time equivalent) employees in Canada.

CEPA members continue to make significant investments in pipeline infrastructure – a total of $7 billion in 2018.

About this report

The 2019 Transmission Pipeline Industry Performance Report marks our fifth annual performance report. This is a voluntary document CEPA produces as part of the energy transmission pipeline industry’s commitment to transparency and accountability. Canadians want to know more about safety, environmental protection and socio-economic contributions. It’s all here.

In addition, CEPA is open about what its member companies are doing to deliver Canada’s energy safely and responsibly. CEPA members work together to share best practices, learn from one another and collectively improve the entire industry, to be the very best in the world.

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Message from the President and CEO and Board Chair.

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Pipelines are also an important source for jobs that people need to support their families, and funding that governments need to support vital social programs. Pipelines directly provide over 13,000 full-time equivalent jobs, and indirectly enable hundreds of thousands of jobs across Canada, as well as the livelihoods of millions of other Canadians. And since 2008, oil and natural gas has contributed over $200 billion to fund vital government programs like health care and education.*

* Source: RBC Economics, Energy Matters

Oil and natural gas made up over 11% of Canada’s economy in 2018.

Source: Canadian Association of Petroleum Producers, Frequently Used Statistics

Average annual government revenues collected from the oil and gas industry, from 2013 to 2017.

Source: Natural Resources Canada, Energy and the Economy

Pipelines are a vital part of the shared energy future

As our energy ecosystem evolves, pipelines are playing an even more important role in the energy future for both Canada and the world. CEPA and its members are embracing this new role.

World energy demand is growing

Increasing world population and the growing global economy mean energy demand is rising. While solar and wind energy production is rising, forecasts indicate oil and natural gas could still provide the majority of the world’s energy in 2040. Pipelines, and pipeline operators, remain a vital part of the evolving energy ecosystem Canada and the world depend on.

Demand for Canada’s energy is growing

As the world addresses climate change, cleaner-burning natural gas will be an important part of the solution. According to the International Energy Agency (IEA) World Energy Outlook 2018, global demand for natural gas will increase, replacing coal as the world’s second-largest energy source by 2030.
Liquefied natural gas (LNG) from Canada can help lower global greenhouse gas (GHG) emissions when it’s used to displace higher-emitting fuels for power generation. Right now, access to tidewater is limiting world access to our natural gas.

Petroleum supply in Canada is exceeding pipeline capacity

Canada is prepared to play a vital role in the future

Pipelines remain an integral part of the evolving energy ecosystem Canada and the world depend on for a secure energy future.

Are pipelines safe?

Yes, they are the safest way to transport the energy Canada and the world need. In fact, Canadian transmission pipelines are among the safest in the world.

In 2018, Canada’s 121,000-kilometre network of transmission pipelines moved 97 per cent of Canada’s natural gas and onshore crude oil production to the people who need it (the other 3 per cent was by rail or truck).

Out of 1.6 billion barrels of oil transported by CEPA members, a total of 11.3 barrels were spilled and couldn’t be recovered. These remaining barrels dissipate through volatilization (similar to evaporation) and other natural processes. While this is only a tiny percentage of oil transported, no amount spilled is acceptable to CEPA members, who work toward a common goal of zero incidents.

CEPA members work together to continuously improve what are already among the highest safety standards, and best safety records, in the world. Over 51,000 kilometres of transmission pipeline were inspected from the inside in 2018, and over 2,600 integrity digs were performed to check any anomalies identified. Hundreds of exercises were performed to ensure CEPA member companies’ emergency response teams are prepared. Over $2 billion was spent on monitoring to ensure that your energy was delivered safely.

Canada and the world will need oil and natural gas long into the future, and you can count on CEPA members to get it to you in the safest, most responsible way.