Opinion

McCain's Mission to Ottawa

US, Canada need to forge a less oily relationship.

By Aaron Freeman and Matt Price, 19 Jun 2008, TheTyee.ca

John McCain

John McCain: Crude politics?

John McCain will take the stage in Ottawa on Friday to try to draw a clear line between himself and Barack Obama on the North American Free Trade Agreement (NAFTA). You'll remember that Obama and Clinton mixed it up during the primary race about who would go further in renegotiating the trade deal to strengthen labour and environmental standards. McCain, by contrast, wants to portray himself as a free trader, no holds barred.

It's a surprise in itself that a U.S. presidential candidate would give a campaign speech on foreign soil. Given the large Latino population in America, McCain could have chosen to give the speech in Mexico, but that would have invited stories about U.S. factories relocating there at a time when the U.S. economy is flirting with recession.

Instead McCain gets to point to what some Americans would see as a key benefit to them under NAFTA -- access to the second largest petroleum reserves on the planet in the Canadian tar sands. The trade deal effectively prohibits Canada from treating its oil as a national resource, instead letting the market dictate who gets to play and who gets the oil. In practice, this means American oil companies get to play freely and the U.S. also gets most of the oil.

Indeed, McCain has been stumping on the issue of energy security for the past several days, even reversing himself on the issue of offshore drilling in the U.S. to play to the concern over high gas prices. He seems to be gambling that anger at the pump will trump strong feelings against offshore drilling in key election battlegrounds like Florida.

Contradicting himself on global warming?

McCain is also walking a tightrope on global warming. He is running ads highlighting his break with the Bush administration on wanting to address global warming, which is where things get interesting with regards to the Canadian tar sands.

While giving money to friendly Canadians for oil may seem more attractive than giving it to some regimes in the Middle East, the problem is that extracting oil from the Canadian tar sands comes at a huge environmental cost. The deposit is wrapped in clay and sand, so a massive amount of energy is needed to get the oil out, whether by using the largest machines on the planet or by using huge amounts of natural gas.

The impacts of extraction include extensive landscape scarring, the dumping every day of 1.8 billion litres (480 million gallons) of toxic tailings into artificial lakes now so large you can see them from space, air pollution creating acid rain across the prairies, and a huge global warming problem.

Producing a barrel of tar sands oil gives off three times the greenhouse gas emissions as producing a barrel of regular oil, making the tar sands the fastest growing source of new emissions in Canada and the main reason politicians in Ottawa are refusing to meet their international commitments on global warming.

The bottom line is that looking to the tar sands to guarantee U.S. energy security puts candidates on a collision course with their commitments to tackle global warming. And, as a blue-ribbon panel of retired U.S. military leaders has pointed out, global warming itself threatens to disrupt global stability, thereby undermining energy security. In this regard, the tar sands are a false promise.

Towards a less oily relationship

What's to be done? As with any trading relationship, Canadians and Americans both share some responsibility in this equation. There are huge gains to be made in U.S. vehicle efficiency that is both the cheapest plank in the energy security platform and a way to substantially reduce U.S. emissions. There is, in fact, an economic revolution waiting to happen to retool the U.S. economy and put it on a low carbon footing.

Canada meanwhile needs to figure out whether there is a responsible way to exploit the tar sands that does not jeopardize the world's climate nor leave behind a massive toxic mess for future generations to clean up after the party is over. Carbon capture and storage may be a part of this equation, but so far Canadian politicians are not talking about this at the scale and timeline necessary to be useful.

Politicians will come and go but the U.S. and Canada will continue to share the world's largest unguarded border and to trade peacefully. We have a common interest in ensuring this trade is environmentally sustainable, since this is the true foundation of security.

Related Tyee stories:

 [Tyee]

8  Comments:

Login or register to post comments

  • Grumpy

    3 years ago

    Oh God........

    ........Harpo & his gang of impotent ministers will sell us out to the US for 30 pieces of silver.

  • Jeffrey J.

    3 years ago

    Time to regain our democracy

    It is fast approaching the time that Canadians must retake control of our democracy. At a certain point, that time will pass. Then, freedom of speech and freedom of association will be virtually non existent. Time's a ticking.

  • James Burns

    3 years ago

    A few points. The US isn't

    A few points. The US isn't flirting with recession, it is in one. All the numbers point to that on a regular basis, and it's just getting worse. That's not something I'm happy about, but it's important to deal with facts. Sure psychology has a role to play in making things economically better or worse, but the fundamentals of the US economy are so poor right now that not admitting to a recession is mere pretense by the media, and it is only made possible by massaged econometrics that ignore large swaths of inflationary and unemployment data.

    As for how the presidential hopefuls can help to solve this problem. Well yes improving energy efficiency (not just vehicle efficiency) will help a great deal. Moreover if North America can develop new super fuel efficient, or even better electric vehicles like inexpensive versions of the Tesla Motors roadster, then that will spur a reinvestment in manufacturing. Even more important than that, however, would be a serious reinvestment in infrastructure across the continent. If the money spent on Iraq was spent on reviving and improving US infrastructure they would be in a drastically healthier economic position as American business would be able to utilize the benefits of those improvements to create jobs and do business.

  • funniously

    3 years ago

    Sell it to China

    The US is going eventually shift away from fossil fuels to renewables for its heating and transportation needs, by which time oil sands crude will produced for export to China instead via Prince Rupert.

  • morechatter

    3 years ago

    Low Carbon Footing?

    I would like to see government putting its full focus on the environment but its just appears to be a whole lot of talk. And now we have a president hopeful who is gong to ensure Canada plays a bigger part in harming the environment. I'm thinking Obama will be president and he is going to have a big job on his hands keeping up the spirits of the American people who will be revisiting the dirty thirties. The environment will become secondary as survival becomes ever present on the minds of Americans. Again I'm not to hopeful here because the best politicians have been able to come up with is TAX IT as in BC? "Money Talks and BC Walks", but unfortunately the people who are walking are the ones who can't afford the bus.

  • reality_check

    3 years ago

    What does a Canadian say when s/he gets kicked?

    NICE SHOES, you have!

    I heard this one on the radio and this excerpt made me think about it!

    "The trade deal effectively prohibits Canada from treating its oil as a national resource, instead letting the market dictate who gets to play and who gets the oil."

    Guess why I would never vote Conservatives and I hate Mulroney, who was a principal actor in this trade deal!

    Just a few things about the oil bit:

    It takes about $30 to produce oil from tar sands (granted it does have huge environmental consequence at this time, although using the steam from a muclear plant to get the oil out, might not be a bad solution Versus say dams). Of course, we could all go back to prehistoric condition, but is fire emission free? So, $150 the barrel is highly speculative. There are still lots of good oil in Saudi Arabia and elsewhere for a few years. Consumption is going down as people get rid of their Suvs and their mansions and buy hybrids and motorcycles. Solar will soon be a solution. Plug-in hybrids are soon here. Not perfect solutions, but read below why.

    $150 also gives the oil industries more incentives to pour more money into the tar sands, off-shore drilling, more refineries,... So, if we were to want to move to cleaner technologies, the price should go below tar sands profit levels to remove the incentive. At the end, speculators (no matter who they are) are making a killing, until the whole bubble bursts, that is! Of cours, if it is big money (oil, government, day traders, baby boomers investment/mutual funds, pension funds,...) then it might tougher to get to reasonable levels. US congress is trying to remove the specualtion though! Are they going to be successful? (http://www.closetheenronloophole.com/)

    Many green technologies (solar, hydrogen,...) have their drawbacks just like dams and nuclear. Nuclear is much safer than what it used to be. Of course there are the waste to dispose of. Solar need batteries. Hydrogen needs some energy to split and storage is not so easy, delivery is like gas station,... So, not so great either. Using food for hydrogen is stupid! I don't have much space to elaborate, but this has been debate ad nauseam. The internet has more info that I could ever provide! :)

    In any case, rises in price of commodities are clearly speculative (a la Enron). Google it. Even Ralph Nader and many others think so.

  • Peter Evanchuck

    3 years ago

    McCain's stuff

    USA gets most of it's oil from us don't they?
    'nuff said.......

  • Des Emery

    3 years ago

    McCain

    Harper did his best to divert media attention from McCain's Canadian visit by going Out West and acting juvenile in Saskatoon (Saskatoon!)

    It worked. His use of the word "screwed" dominated the headlines, while McCain was quietly applauded in his meeting with business (not political) leaders.

    Everything Harper does is predicated upon approval from the U.S. But what else would you expect from an acolyte servant of The American Dream? Something that benefits Canada? Dream on, you hewers of wood and drawers of water, and watch the oil slide down the continent to Texas.

    • The discussion for this story is closed. No more comments can be added.