Saskatoon 鈥� On Feb. 2, Premier Scott Moe appointed his new cabinet. Most of the cabinet was a continuation of the previous cabinet, or re-instatement of those who had resigned from cabinet to run for the leadership of the Saskatchewan Party. But there was one noticeable change.
The 鈥淓conomy鈥� name is gone now from the list of ministries, and the Ministry of Economy, which had been an amalgamation of several previous ministries, has now been split into the Ministry of Export and Trade Development, Ministry of Immigration and Career Training, and Ministry of Energy and Resources. Jeremy Harrison is responsible for the first two areas and Eyre is responsible for the third.
Pipeline Newscorresponded with Minister Eyre via email regarding her new role, one she takes after having previously been Minister of Education. She responded on Feb. 16.
Pipeline News: What are your marching orders from Premier Moe as the new Minister of Energy and Resources?
Bronwyn Eyre: One of the core principles of my role as minister is to collaborate with our oil and gas stakeholders to help create the very best possible environment in Saskatchewan for growth and prosperity. We will continue to engage with our stakeholders in the private sector to address barriers to investment and ensure responsible resource development and recovery. And in light of the recent challenges of pipeline development in Canada, I have been tasked to ensure we have the best opportunity to get our commodities to market. I will be a strong advocate for the oil and gas industry.
P.N.: Energy and Resources had been a stand-alone ministry for many years, but then was subsumed into Economy. Now it鈥檚 on its own again. Can you explain what this means, and what your ministry鈥檚 focus will be?
Eyre: The return of a separate and dedicated position in cabinet for Energy and Resources represents a renewal of our government鈥檚 understanding of this sector鈥檚 importance to the economic growth of Saskatchewan. The ministry will continue to develop a strong relationship between the private and public sectors where both parties can work together for the betterment of our province.
P.N.: We understand the regulatory and industry promotion roles, which had been merged under Economy, are now split. Is that the case, and if so, can you elaborate?
Eyre: The Ministry of Energy and Resources is responsible for the co-ordination, development, promotion, and implementation of policies and programs for the economic and orderly development of the province鈥檚 natural resources. The Ministry of Energy and Resources will work closely with the Ministry of Trade and Export Development to ensure that our natural resource development investment and export opportunities are well promoted around the country and world.
P.N.: Do you have any background in the oil and gas industry? What do you bring to the table as the new minister?
Eyre: I have a legal background (LLB, University of Saskatchewan, 1996), which I believe will serve me well, particularly when it comes to the regulatory aspect of this job. From 1999 to 2004, I was a senior editor/writer for Commercial Lawyer and European Lawyer magazines, both based in London, and covered, primarily, the corporate side of legal business鈥攊ncluding major mergers and acquisitions. In the London and European legal markets, I met key players, some of whom had direct dealings with the energy and resource sector in Canada, and, specifically, in Saskatchewan. It was good experience.
P.N.: Canada has been consumed by pipeline politics for nearly a decade now, and things are heating up between Alberta and British Columbia on the Kinder Morgan Trans Mountain Expansions Pipeline. Where do you see Saskatchewan鈥檚 role in this?
Eyre: Saskatchewan鈥檚 oil and gas sector accounts for 15% of provincial GDP, over 30,000 direct and indirect person years of employment, and accounts for between $3 billion-$5 billion annually of investment in the province. It is critical that Western Canada be able to diversify its crude oil export markets in order to get a better return on our products, as this will allow for greater job creation and revenues to government to provide public services and critical infrastructure, including the building of new schools and hospitals. In fact, the lack of pipeline connections to tidewater cost Saskatchewan approximately $56 million in royalties and Saskatchewan producers $800M in 2017. The Trans Mountain Expansion is critical and the project must go ahead now that it has been approved by the federal government.
P.N.: What about other pipelines, i.e. the now-dead Energy East and still-to-be-built Keystone XL?
Eyre: Saskatchewan is cautiously optimistic that Keystone XL and the Enbridge Line 3 Replacement Program will be fully completed in the near future. As several new large-scale oil sands projects come online in the coming years, these projects are more important than ever to ensure that Western Canadian oil can move to market via pipelines, which are safer and more economical compared to shipment by rail. With respect to Energy East, this project has been cancelled and Central and Eastern Canada continue to import over 600,000 barrels per day according to a recent report by the Canadian Energy Research Institute. This state of affairs is especially astonishing when one considers that Canada is the world鈥檚 fifth largest oil producer.
P.N.: Is there anything you would like to add?
Eyre: In the Fraser Institute鈥檚 Annual Global Petroleum Survey in 2017 regarding investment attractiveness, we ranked 7th in the world out of nearly 100 jurisdictions assessed and have consistently been among the top 10 jurisdictions over the past six iterations of that survey. There are global investment dollars out there right now in search of the best combination of resource potential with a reliable operating environment, and Saskatchewan is likely to be where many of those dollars are headed. We intend to keep building on that reputation.
