No way Canadian energy stocks outperform U.S.: Energy expert
All Canadians will feel the backlash from TransCanada’s cancellation of its Energy East pipeline proposal, according to one portfolio manager who called the decision “utterly stupid.”
In an interview with BNN Thursday, Eric Nuttall, partner and senior portfolio manager at Ninepoint Partners, echoed the sentiment shared by Saskatchewan Premier Brad Wall, who on Wednesday urged the federal government to rally behind Canada’s oil patch.
“To not access tidewater, to me, is utter stupidity,” Nuttall said.
“It does hurt all Canadians. It prevents a ramp in production growth… for it to not have the full and unwavering support of the federal government is mind blowing to me.”
Nuttall noted a variety of factors could have led TransCanada to pull the plug on the project, but more generally said Western Canada doesn’t have enough support from the federal government when it comes to the oil and gas industry.
Prime Minister Justin Trudeau spoke out over the weekend about the cancellation of Energy East, aiming to cool what he called a “heated debate.” He rejected the notion that the move was the result of federal regulations.
TransCanada announced last week it was cancelling its Energy East pipeline project, which would have helped ship Alberta oil sands production as far as Saint John, N.B.