The Fraser Institute

The Fraser Institute

November 20, 2014 06:15 ET

The Fraser Institute: Quebec Remains Least Attractive Canadian Jurisdiction for Global Oil and Gas Investment

CALGARY, ALBERTA--(Marketwired - Nov. 20, 2014) - Quebec remains one of the least attractive places in the world for oil and gas investment, ranked below troubled countries such as Lebanon, Mexico and Ukraine, finds the Fraser Institute's annual Global Petroleum Survey.

Based on responses from petroleum executives and managers, this year's survey ranks 156 jurisdictions worldwide on their relative attractiveness for investment. Barriers to investment include high taxes, costly regulatory obligations and uncertainty over environmental regulations.

"Quebec continues to sour petroleum oil and gas investment to the detriment of many Quebecers who could be working in the resource industries and providing for their families," said Kenneth Green, senior director of the Fraser Institute's Centre for Natural Resources.

Based solely on survey responses, Quebec's overall rank improved slightly to 133rd (of 156) in 2014 from 141st (of 157 jurisdictions worldwide) in 2013, yet the province remains the lowest ranked Canadian jurisdiction by a wide margin. Saskatchewan, for example, ranks first in Canada (and third globally) followed by Manitoba (fifth globally) and Alberta (16th globally).

According to survey respondents, Quebec's foot-dragging during authorization and permit processes helps diminish its attractiveness to oil and gas investment.

"If Quebec wants to improve its standing in the eyes of oil and gas investors, it could address the delays endemic to the authorization process in the province," Green said.

Globally, based solely on survey responses, the least attractive jurisdictions for investment are Venezuela, Bolivia, Ecuador, Iran and Russia-Eastern Siberia.

The Global Petroleum Survey is administered each year to petroleum industry executives to help measure and rank the barriers to investment of oil- and gas-producing regions. A total of 710 respondents representing 563 companies completed the survey questionnaire this year, providing sufficient data to evaluate 156 jurisdictions.

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The Fraser Institute is an independent Canadian public policy research and educational organization with offices in Vancouver, Calgary, Toronto, and Montreal and ties to a global network of think-tanks in 87 countries. Its mission is to measure, study, and communicate the impact of competitive markets and government intervention on the welfare of individuals. To protect the Institute's independence, it does not accept grants from governments or contracts for research. Visit www.fraserinstitute.org

Contact Information

  • Media Contact:
    Dr. Kenneth P. Green
    Senior Director, Energy and Natural Resources
    Fraser Institute
    Office: (403) 216-7175 ext. 426 or Mobile: 403-620-0703
    ken.green@fraserinstitute.org or @KennethPGreen

    For more information, contact:
    Mark Hasiuk
    Media Relations Specialist, Fraser Institute
    (604) 688-0221 ext. 517
    mark.hasiuk@fraserinstitute.org
    @FraserInstitute