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Developing LNG industry could create 100,000 jobs: report

July 28, 2020   Don Horne




A report funded by the Canadian liquefied natural gas industry estimates that creating a 56-million-tonnes-per-year LNG industry in B.C. would result in nearly 100,000 jobs.

The Conference Board of Canada report, funded by the Canadian LNG Alliance, examines a scenario where 56 million tonnes per year of LNG is produced by 2034, including an expansion of the $40-billion LNG Canada project now under construction in Kitimat, B.C.

According to Canadian Press, the LNG Canada website notes that the expansion would double production from 14 million to about 28 million tonnes of LNG per year and result in between 450 and 800 direct jobs at the plant.

The Conference Board says its job creation figure of 96,550 jobs – including 71,000 jobs in British Columbia alone – includes related employment in engineering and construction, retail and wholesale, technical services, mining, oil and gas and manufacturing.

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It says the LNG industry would increase the country’s gross domestic product by $11 billion per year and, between 2020 and 2064, more than $92 billion in revenue could be generated for provinces and territories in Canada.

Earlier this month, a report by environmental group Global Energy Monitor said LNG project viability is in question because of growing environmental opposition and global LNG market uncertainty, listing 13 LNG projects in Canada that have been cancelled or suspended in recent years.

“Canada’s LNG industry holds potential economic benefits for Canada,” Roger Francis, director of sustainability at the Conference Board told Canadian Press, adding, “Thousands of well-paying jobs could be created and billions of dollars in new revenue could be realized by governments across the country.”

The Conference Board report is similar to one it issued in 2016 that estimated developing an LNG industry producing 30 million tonnes per year in British Columbia would add $7.4 billion a year to the Canadian economy and 65,000 new jobs over three decades.

(Canadian Press)


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1 Comment » for Developing LNG industry could create 100,000 jobs: report
  1. Janice Nelson says:

    The Kitimat project is 100% foreign owned. LNG Canada is a consortium of Royal Dutch Shell, Mitsubishi, Petronas, Korea Gas, and Sinopec. The steel contract went to China, using Chinese steel to manufacture major plant components which will be assembled in Canada. The pipeline that will serve the LNG facility is financed 65% by Alberta public pension funds. How’s that for investment confidence?

    It’s unlikely that many Canadians were employed in the engineering design. And construction is short term jobs only. It also creates its own social problems which are dumped onto communities and police forces (i.e., taxpayers) near the work camps.

    The return to British Columbians on the extraction of this finite resource is unclear as the previous BC Liberal government had negotiated giveaway terms which would see no taxes or royalties levied by the province until the plant is “profitable”, which conveniently could be never. Gas will be fracked and BC has done no serious studies on the impact of fracking on water resources or local infrastructure.

    Finally, with more facilities coming online globally, the price of natural gas will remain flat, if not plummet, while markets also shrink due to global warming and reduced demand. So whoever is pushing LNG in Canada has ulterior motives – and these are decidedly not Canadian interests. So we should be looking at who really is pushing this.

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