Canada in Talks With Europe About East Coast Energy Exports

The Trudeau government has been pushing for LNG exports to the European Union, but Germany remains committed to a fast fossil fuel phase-out. Meanwhile, an increasing chorus of experts is questioning the practicality of LNG exports. A new poll shows that most Canadians favor factoring climate impacts into LNG plans. In short, it’s too early to say whether or not LNG exports from Canada will ever come to fruition.

Canada’s natural resources minister said the country is willing to speed up a project to supply Europe with LNG. If the project is approved, Canada could begin exporting the fuel as early as three years from now. The government has agreed to allow Repsol SA to convert a current LNG import facility in New Brunswick into a LNG export terminal within the next three to four years. While the project is still at an early stage, the government says it has a clear path to success.

Despite the growing concern over climate change, the government is still working toward a gas export terminal on the eastern Canadian coast. Germany is currently relying on Russian gas imports to supply its needs. Germany needs alternative sources of gas to deal with a rapidly growing economy. With the European Union looking to develop new sources of gas, Canada is working towards a deal that could help the country get out of its gas bind.

The EU and Canada have developed a long-standing partnership for tackling environmental and climate issues. The two countries work closely together in the United Nations Framework Convention on Climate Change, the OECD, and G7/G20, among others. Canada and the EU have a history of environmental cooperation, which was first formalized in 1975. Its two-year-old Strategic Partnership Agreement, for instance, outlines the priority areas for future cooperation and coordination.