Wha🍬t Is the Canadian Association of Petroleum Pro෴ducers (CAPP)?
The Canadian Association of Petroleum Producers (CAPP) is a trade organization that represents the interests of petroleum and natural gas companies in Canada.
CAPP lobbies the Canadian government on issues relating to the environment, regulations, and production and exploitation of oil and gas fields. CAPP members produce about three quarters of natural gas and oil in the country and provide approximately 450,000 jobs. The industry contributes over $71 billion to Canada’s GDP.
Key Takeaways
- The Canadian Association of Petroleum Producers represents Canada's oil and natural gas companies. Its members produce about three quarters of natural gas and oil in the country.
- CAPP employs economists, engineers, PR professionals, lawyers, and other staff whose jobs are to further the interests of the natural gas and oil industry.
- CAPP often finds itself in opposition to environmental groups who are concerned about the industry's harmful effects on the environment.
🤡History and Goals of the Canadian Association of Petroleum Producers (CAPP)
The Canadian Association of Petroleum Producers was formed in 1992 from the combination of the Independent Petroleum Association of Canada and the Canadian Petroleum Association, the latter of which can trace its origins to the Alberta Oil Operators' Association founded in 1927.
CAPP's goals are to foster the growth of Canada's upstream oil and natural gas industry. It is organized into several policy groups focused on regional interests, 澳洲幸运5官方开奖结果体彩网:oil sands, and offshore drilling, among other policy areas. CAPP employs economists, engineers, 澳洲幸运5官方开奖结果体彩网:public relations professionals, political scientists, lawyers, and administrative𒀰 personnel.
The group is directed by a Board of Directors that sets priorities for the organization.
Controversial Positions of the CAPP
CAPP has often found itself on opposing sides with environmental gro𓆉ups concerned about the harmful impacts of the oil and ♋gas industry.
The Keystone XL Pipeline
CAPP voiced support for the 澳洲幸运5官方开奖结果体彩网:Keystone XL Pipeline, calling the project a critical component in getting bottlenecked Canadian oil to market. CAPP argued the project was needed to create jobs for oil workers in Alberta and generate billions of dollars in revenue for the government. However, TC Energy Corporation was forced to suspend the project after former President Joe Biden issued an executive order revoking the pipeline's permit.
The Keystone project faced opposition from Native American groups whose ancestral lands were in the path of the pipeline. They said the project under President Donald Trump's first term had gone forward without required tribal consultation, environmental review, or consideration for treaty rights.
Fracking
CAPP also supports 澳洲幸运5官方开奖结果体彩网:hydraulic fracturing, which is the process of forcing pressurized chemicals and water into water tables and aquifers to access underground oil reserves. CAPP says this can be done while protecting surface and groundwater resources.
Opponents of fracking point to studies that find the chemicals and contaminated water run into the aquifers and water tables, making it dangerous for humans and animals to consume and for crops to be grown in these areas.
How Much Oil and Natural Gas Does Canada Produce?
The Canadian production of natural gas was 18.1 billion cubic feet per day in 2024. whereas the average Canadian oil production totaled 5.7 million barrels per day.
How Many Refineries Are There in Canada?
There are 14 refineries in Canada with a collective crude oil refining capacity of 1.9 million barrels per day.
Who Is the Chair of the CAPP?
Jon McKenzie, President and CEO of Cenovus Energy Inc. In November 2024, the CAPP appointed McKenzie as the new Chair after serving on the board as vice-chair since November 2023.
The Bottom Line
The Canadian Association of Petroleum Producers (CAPP) is a lobby group that represents the upstream Canadian oil and natural gas industry. Its members provide a wide range of services that support the industry. In total, the oil and natural gas industry is expected to generate $177 billion in 2025.
The Canadian o🌃il and natural gas industry employs a significant number of Canadian workers and represents an important source ꦛof government revenues.