PROCESSWEST Magazine Online

Report shows how oil and gas sector benefits Indigenous peoples

Don Horne   


In a new report by the Canadian Association of Petroleum Producers (CAPP), the Indigenous Engagement and ESG shows how Canada’s oil and natural gas producers and Indigenous peoples are working together in many different ways to share the benefits of resource development such as jobs, training, better housing and much more.

As a major source of economic and other opportunities for Indigenous communities, policies that are harmful to the upstream industry can also have negative impacts on Indigenous peoples and communities.

“Resource development is the foundation for economic reconciliation for many Indigenous communities,” says JP Gladu, Chair, Mikisew Group of Companies. “The CAPP report shows even through difficult years for the oil and gas industry, procurement from Indigenous-owned businesses has grown significantly. This demonstrates the resiliency of our Indigenous entrepreneurs and the value they bring to the industry. We must protect these development opportunities to ensure the opportunity remains for future generations.”

Some of the highlights from the report include:

  • Indigenous people make up 6.3 per cent of the upstream industry’s workforce. For comparison, Indigenous peoples make up about 3.3 per cent of Canada’s total workforce.
  • According to a Macdonald-Laurier Institute report, the oil and gas and mining sectors represent eight of the top 10 highest-paying occupations for Indigenous peoples for Canada.
  • In 2019, the natural gas and oil industry procured more than $2.6 billion of goods and services from 275 Indigenous suppliers, contractors and other businesses across Canada.
  • From 2017 to 2019, the oil sands industry’s Indigenous community investment spending rose from $21 million to $32 million. Funding helped support such initiatives as community activities, in-kind investments and contributions to community infrastructure.

“In a world with a growing need for responsibly developed oil and natural gas, the deep relationships and partnerships with Indigenous-owned business and communities across Canada play an integral role in the success of our industry,” says Tim MacMillan, CAPP’s president and CEO. “A strong natural gas and oil industry offers significant opportunities for employment and business development to Indigenous communities, providing pathways to greater prosperity while supporting the Canadian government’s goals for reconciliation.”

To read the entire report, go to the CAPP main page


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