If Saudi Arabia’s oil minister’s dire warning about high-cost energy producers didn’t effectively get the message across that Canada needs to adjust to a new market reality, perhaps a new warning by the International Energy Agency (IEA) might.
“We are likely to see continued capacity increases (in) the near term, with growth slowing considerably, if not coming to a complete standstill, after the projects under construction are completed,” the IEA said in an oil market overview published Monday.
According to the IEA, Canada’s oil era may be coming to an end due to dramatically low prices, increasing environmental concerns, a lack of public support for pipelines and evolving climate policies.
In an in-depth review of Canada’s energy portfolio and policies released Thursday, the agency urged Canada to adopt strong climate goals as it considers future energy production.
“As a leading exporter of oil, coal, natural gas, uranium and hydropower, Canada is a cornerstone of global energy markets and energy security,” IEA Executive Director Fatih Birol said as he presented the report, Energy Policies of IEA Countries – Canada 2015.