Canada’s commitment to shift away from fossil fuels could see the country’s oil and gas sector lose up to 460,000 jobs.
A new report by the economists’ group TD Economics suggests almost three-quarters of oil and gas workers could be displaced during a 30-year period.
The analysis also predicts crude oil and natural gas consumption will fall by up to 50% through the clean energy transition.
To mitigate these negative impacts on the oil and gas sector, the authors of the report suggest Canadian policymakers should create a ‘transition framework’ to upskill and train workers, invest in clean technologies in affected communities and launch income support programmes, especially for older employees.
Beata Caranci, Senior Vice President and Chief Economist at TD Bank Group, said: “The reality is that any climate change policy must come to terms with Canada’s current dependence on carbon-intensive industries in the energy sector, specifically oil and gas.
“But if we act now, we can accelerate the transition of our economy, as well as our investments in clean technologies and the reskilling of the oil and gas sector’s workforce to create a vibrant future where the environment and the Canadian economy can thrive together.”