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CALGARY — The Montreal Economic Institute is adding its voice to the growing chorus of institutions and individuals demanding action on petroleum pipelines in Canada, saying new export capacity could help stabilize global energy markets.
In a statement Tuesday, the think tank said Canada’s ability to supply oil and natural gas to international markets is constrained by a lack of pipeline infrastructure, despite holding some of the largest energy reserves in the world.
MEI founding president Michel Kelly-Gagnon said Canada has the resources and expertise to increase exports during a period of global uncertainty, but lacks the infrastructure to deliver energy to overseas markets.
“Canada has the resources and the know-how to bring more energy to markets amidst global turmoil,” Kelly-Gagnon said. “The only thing we’re missing is the infrastructure to get it to market.”
Canada has an estimated 163 billion barrels of proven oil reserves, ranking fourth globally, along with significant natural gas reserves estimated at 44 trillion cubic metres.
The institute points to recent geopolitical tensions, including disruptions linked to conflict in the Middle East, as evidence of fragile global supply.
Data cited in the report shows oil exports from Gulf states dropped by 15.4 million barrels per day in mid-March compared with February levels, while the International Energy Agency has warned that a disruption in the Strait of Hormuz could affect roughly 20 per cent of global liquefied natural gas supply.
The MEI argues Canada is well positioned to help offset such disruptions, particularly through North America’s integrated energy system, which could support European and Asian allies.
However, it says existing infrastructure limits that potential. The Trans Mountain pipeline, Canada’s most recent major oil export project, was operating at more than 90 per cent capacity in late 2025.
Kelly-Gagnon said while new pipelines would not address immediate supply pressures, they could help mitigate longer-term risks tied to geopolitical instability.
He also suggested Canada should be open to foreign investment in energy infrastructure from allied countries such as Japan and South Korea.
The Montreal Economic Institute is an independent public policy think tank with offices in Montreal, Ottawa and Calgary.
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