CAPP: Canada’s oil and natural gas industry plays key role in Indigenous prosperity
The Canadian Association of Petroleum Producers (CAPP) has released a new report, Indigenous Engagement and ESG, its second in a series outlining environment, social and governance (ESG) performance in Canada’s upstream natural gas and oil industry.
The report highlights many examples of how Indigenous peoples and the upstream oil and natural gas sector are finding new ways to work together, growing resource development in a sustainable and mutually beneficial manner.
This is the most comprehensive review ever completed documenting the extent of engagement between Canada’s oil and natural gas producers and Indigenous communities including consultation, workforce, community programs and investment, and Indigenous investment and participation in resource projects.
Like Canadians in general, Indigenous peoples hold a range of different perspectives on resource development and many are seeking to build sustainable and prosperous community futures by participating in the opportunities that development creates.
The Indigenous Engagement and ESG Report documents how the upstream oil and gas industry sees an important future for itself, its Indigenous workers and business partners as they work together continue to innovate in the pursuit of responsible natural gas and oil development.
The report is published on CAPP’s website. Find the report here.
Highlights from the report include:
∙ Indigenous people make up 6.3 per cent of the upstream industry’s workforce. For comparison, Indigenous peoples make up about 3.3 per cent of Canada’s total workforce. ∙ According to a Macdonald-Laurier Institute report, the oil and gas and mining sectors represent eight of the top 10 highest-paying occupations for Indigenous peoples for Canada.
∙ Between 2009 and 2019, Indigenous share of industry jobs and share of senior management roles increased, while the wage gap decreased.
∙ In 2019, the natural gas and oil industry procured more than $2.6 billion of goods and services from 275 Indigenous suppliers, contractors and other businesses across Canada.
∙ From 2017 to 2019, the oil sands industry’s Indigenous community investment spending rose from $21 million to $32 million. Funding helped support such initiatives as community activities, in-kind investments and contributions to community infrastructure.
∙ For industry, it makes good business sense to work with neighbours, including local Indigenous employees and contractors with connections to the area. This is also integral to resource development contributing to local prosperity, supporting self-determination and long-term mutual benefit.
Various people for reached for comment on the findings. Tim McMillan – CAPP President & CEO, said: “In a world with a growing need for responsibly developed oil and natural gas, the deep relationships and partnerships with Indigenous-owned business and communities across Canada play an integral role in the success of our industry.
"In return, a strong natural gas and oil industry offers significant opportunities for employment and business development to Indigenous communities, providing pathways to greater prosperity while supporting Canada’s goals for reconciliation.”
Jordan Jolicoeur, President of the Canadian Council for Aboriginal Business (CCAB), added that: “Indigenous people have a much higher representation in the oil and natural gas industry workforce compared to the rest of Canadians which means much of our ability to prosper is closely connected to continued responsible resource development. About 80 percent of my employees are Indigenous.
"While the CAPP report shows the numbers, it’s the stories of partnership and shared success that are truly important. Good paying jobs to support families, the opportunity to get training, education and run a company and the ability to do this while staying close to the community you grew up in – this is what the industry brings to Indigenous people in Canada.”