United States | The National Energy Council represents opportunities for Canada

(Washington) As Donald Trump establishes his new energy-focused administration, experts say it could open opportunities for Canada to expand the long-standing partnership between the two countries, amid threats of generalized customs tariffs from the president-elect.

Mr. Trump announced Friday that he would create a National Energy Council to establish U.S. “energy dominance” in the world. North Dakota Gov. Doug Burgum will be at the helm of the council, while also leading the Interior Department.

“If I were a prime minister of Western Canada, I would probably be very happy … and I would anticipate great opportunities for trade and cooperation,” said Eric Miller, president of Rideau Potomac Strategy Group, a consulting firm cross-border focused on trade, supply chains and government affairs.

Mr. Burgum’s new role will oversee a panel that brings together all executive agencies involved in energy, including permitting, generation, regulation and transportation.

“This council will oversee the path to U.S. energy dominance by cutting red tape, increasing private sector investment in all sectors of the economy, and emphasizing innovation over regulation long-standing, but totally unnecessary,” Mr. Trump said in a statement.

The Republican president-elect said U.S. energy dominance will make the world safer by allowing the United States to sell to its European allies. Mr. Burgum will also serve on the National Security Council.

Alberta Premier Danielle Smith congratulated Burgum, saying it was a crucial moment for North America’s energy future.

“Together, we will strengthen energy security, fuel economic growth, and showcase the power of cross-border collaboration,” wrote Ms.^me Smith on social network X. Let’s get to work! »

Miller said a key question after Friday’s announcement will be how it will change Canada’s strategy for engaging with the United States.

On the one hand, Ottawa presented a draft regulation aimed at limiting greenhouse gas emissions from the oil and gas sector. But on the other hand, Miller said, energy could prove a powerful tool for building partnerships with the Trump administration.

“I think the United States is going to need more Canadian energy, no matter what they do themselves,” said Heather Exner-Pirot, special energy advisor to the Business Council of Canada.

Concern from environmental groups

Mr. Burgum, a 68-year-old former software executive, will bring deep knowledge of Canadian energy to the White House. He has been governor of North Dakota, where agriculture and oil are the main industries, since 2016.

His state shares a nearly 500-kilometer border with Canada, south of Manitoba and Saskatchewan, and Mr. Burgum has worked with both provinces to vaccinate truck drivers during the COVID-19 pandemic.

Although Mr. Burgum became governor during the turbulent protests against the Dakota Access pipeline, it has been reported that he also prioritized engagement with Indigenous nations during his term.

Mr. Burgum’s nomination on Friday, along with that of fossil fuels executive Chris Wright, as energy secretary, was welcomed by the industry but met resistance from environmental groups.

Mr. Wright is “an advocate for dirty fossil fuels,” said Jackie Wong, senior vice president for climate and energy at the Natural Resources Defense Council, an environmental group.

Mr. Wright has sharply criticized efforts to combat climate change.

Mr. Burgum was called a “longtime friend of fossil fuel interests” by David Seabrook, president of the Wilderness Society.

Anticipation before the CUSMA revision

However, Canadian observers say Mr. Burgum’s nomination shows at least a pragmatic hand among other Mr. Trump picks for key posts that prioritized loyalty to the president-elect over experience.

Mr. Trump’s appointees to deal with national security and borders, among other things, have criticized Prime Minister Justin Trudeau and Canadian policies.

His election has raised concerns north of the border as a review of the Canada-United States-Mexico Agreement, negotiated under the first Trump administration, approaches in 2026.

M^me Exner-Pirot said Mr. Burgum had made her less worried about Mr. Trump’s proposed tariffs for Canada’s energy sector.

She also noted that Mr. Burgum believes in climate change and is interested in carbon capture. He set a goal for North Dakota to be carbon neutral by 2030.

“It’s clear that someone like Burgum would understand the implications for energy markets,” she said.

But Carlo Dade, director of trade and business infrastructure at the Canada West Foundation, warned that Mr. Trump’s mantra ” Make America Great Again » (“Make America Great Again”) does not include Canada.

If the United States can quickly increase its energy production, it could lower the price of Canadian oil, he said, and the Biden administration’s reductions in investment in research and implementation of renewable energy would also harm Canadian industry.

However, Mr Dade also said the promised increase in production would likely come more slowly than expected.

“We need to break with our old habits of thinking about Americans,” he said in an email.

“In the past we would have seen opportunities in an announcement like this, but yesterday [n’est pas] today and we must stop living and thinking in the past. »

With information from the Associated Press