Demand the United States to Pay More for Canadian Oil


Demand the United States to Pay More for Canadian Oil
The Issue
I am a Canadian citizen tired of subsidizing the US economy with our oil.
According to the Fraser Institute, as of 2018, the price gap between Western Canadian Select (WCS) and West Texas Intermediate (WTI) created an estimated CA$20.6 billion loss in revenues for the Canadian energy sector, directly affecting Canadian workers, their families, and the economy at large.
The current price gap between WTI and WCS is $12. It's time to do away with this subsidy to the United States and negotiate a fair price for the Canadian people.
Reevaluating trade laws and regulations pertaining to oil trade to encourage the U.S. to pay more for Canadian oil would be beneficial on multiple levels. It would mean a boost for the Canadian economy, strengthening our energy sector, and fostering a more balanced economic relationship between the two nations.
According to the American Fuel and Petroleum Manufacturers, the US needs Canadian oil for efficiency and energy security. Their webiste says:
About 60% of the crude oil that runs through U.S. refineries is extracted right here at home. However, our refineries run on many different types of crude oil, some of which we don’t produce here or can’t economically transport. In those cases, we use imports. Nearly 70% of our crude oil imports come from Canada (60%) and Mexico (7%). Using the right types of crude oil keeps our refineries efficient, keeps costs down and maintains energy security.
The amount of crude oil U.S. refineries process greatly exceeds U.S. crude oil production. The United States is producing a record amount of crude oil (~13.4 million barrels per day), while U.S. refineries need about 16.5 million barrels per day to maintain current production levels (roughly 90% utilization).
Many refineries need heavier crude oil to maximize flexibility of gasoline, diesel and jet fuel production. Today, most crude oil produced in the United States is light, including much of what’s produced in the Permian and Bakken. Light crudes are not good replacements for the heavy crude oil we get from Canada and Mexico.
Re-tooling refineries to process solely U.S. crude oil (light crude) would cost billions — a risky investment that would take decades to permit, construct and eventually pay off. We lack the infrastructure (like pipelines) needed to cost effectively supply U.S crude oil and refined products to every region. Even if the economics of re-tooling our facilities worked, it can take close to a decade to permit and build pipelines in the United States.
The ability to import AND export crude oil and refined products is good for consumers AND safeguards U.S. energy security
So, the US needs to pay up.
I urge each one of you to stand with me in this demand for economic fairness and justice, which is not just my personal request but resonates with many others in our country. Let's raise our voices to encourage the United States to pay more for Canadian oil, not merely for the sake of Canada, but to uphold principles of equitable international trade. Please sign this petition.
1
The Issue
I am a Canadian citizen tired of subsidizing the US economy with our oil.
According to the Fraser Institute, as of 2018, the price gap between Western Canadian Select (WCS) and West Texas Intermediate (WTI) created an estimated CA$20.6 billion loss in revenues for the Canadian energy sector, directly affecting Canadian workers, their families, and the economy at large.
The current price gap between WTI and WCS is $12. It's time to do away with this subsidy to the United States and negotiate a fair price for the Canadian people.
Reevaluating trade laws and regulations pertaining to oil trade to encourage the U.S. to pay more for Canadian oil would be beneficial on multiple levels. It would mean a boost for the Canadian economy, strengthening our energy sector, and fostering a more balanced economic relationship between the two nations.
According to the American Fuel and Petroleum Manufacturers, the US needs Canadian oil for efficiency and energy security. Their webiste says:
About 60% of the crude oil that runs through U.S. refineries is extracted right here at home. However, our refineries run on many different types of crude oil, some of which we don’t produce here or can’t economically transport. In those cases, we use imports. Nearly 70% of our crude oil imports come from Canada (60%) and Mexico (7%). Using the right types of crude oil keeps our refineries efficient, keeps costs down and maintains energy security.
The amount of crude oil U.S. refineries process greatly exceeds U.S. crude oil production. The United States is producing a record amount of crude oil (~13.4 million barrels per day), while U.S. refineries need about 16.5 million barrels per day to maintain current production levels (roughly 90% utilization).
Many refineries need heavier crude oil to maximize flexibility of gasoline, diesel and jet fuel production. Today, most crude oil produced in the United States is light, including much of what’s produced in the Permian and Bakken. Light crudes are not good replacements for the heavy crude oil we get from Canada and Mexico.
Re-tooling refineries to process solely U.S. crude oil (light crude) would cost billions — a risky investment that would take decades to permit, construct and eventually pay off. We lack the infrastructure (like pipelines) needed to cost effectively supply U.S crude oil and refined products to every region. Even if the economics of re-tooling our facilities worked, it can take close to a decade to permit and build pipelines in the United States.
The ability to import AND export crude oil and refined products is good for consumers AND safeguards U.S. energy security
So, the US needs to pay up.
I urge each one of you to stand with me in this demand for economic fairness and justice, which is not just my personal request but resonates with many others in our country. Let's raise our voices to encourage the United States to pay more for Canadian oil, not merely for the sake of Canada, but to uphold principles of equitable international trade. Please sign this petition.
1
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Petition created on February 3, 2025