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Mayor Jyoti Gondek has journeyed to Norway this week on international business and even has the chance to squeeze in a little overseas campaigning — if she wants.
Calgary’s mayor is attending the gathering of the World Energy Cities Partnership (WECP) and has put her name forward to become the organization’s vice-president.
Gondek travelled to the city of Stavanger, the energy capital of Norway, for the annual general meeting of the international organization, which connects 18 major energy centres from around the world. The group includes Houston; Aberdeen; Perth; Halifax; St. John’s; Cape Town; Dammam, Saudi Arabia; and Daqing, China.
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The gathering runs between Thursday and Sunday. A new vice-president is expected to be selected on Saturday.
“We were asked if we had an interest as a city and as the mayor, and I said absolutely we do. It would be a great way to ensure that we stay on the map from a global perspective,” Gondek said in an interview this week.
“It’s an excellent opportunity to be connected with a lot of energy transformation organizations (that) know what the power of this partnership is — and so we’ll see if I’m successful.”
But it won’t be a shoo-in for Calgary’s mayor.
Gondek is facing competition from North America for the post.
“Actually, it’s Canadian competition. So either way, I’m fine. Mayor Danny Breen from St. John’s has also put his name forward,” she said.
“It’s not so much campaigning while I’m on the ground here … We submitted our information packet indicating why Calgary and myself would be good representatives for the partnership.
“I highlighted the fact that not only is our city the leader in the nation, but also globally, on many fronts when it comes to energy sustainability and transformation.”
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The bid comes as governments at all levels seek to lower greenhouse gas emissions.
Canada is the first major petroleum exporting country planning to adopt an oil and gas emissions cap as it strives to reach net-zero status by 2050.
For an energy city, the debate takes on added significance, as the world’s appetite for oil and natural gas continues to climb, but so does pressure to curb emissions. The federal cap could limit future growth or restrict production in Canada, provincial and industry leaders maintain.
Global oil demand averaged more than 102 million barrels per day (bpd) last year and is at an all-time high.
Meanwhile, world oil supply topped 103 million bpd in July, with significant production gains from Canada and the United States.
However, the International Energy Agency forecasts oil and gas demand will peak later this decade — other groups disagree — and the push for electrification will increase as concerns over climate change mount.
Gondek will attend meetings with companies and other mayors. She expects much of the discussion to focus on energy transition efforts, noting there is common ground between the member cities and information to share.
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Calgary is also exploring a potential bid to host a future WECP event.
The mayor said that would be done in concert between Calgary Economic Development (CED) and Tourism Calgary. A decision by the international group will take place next March on where the 2025 meeting should be held.
“It provides a platform to tell our story and attract energy companies, top talent and investment to Calgary,” Megan Zimmerman of CED said in a statement.
Calgary previously hosted the meeting in 2009, at the height of the oilsands boom. At the gathering, the head of Nexen Energy boldly predicted Canada’s oilsands would triple its output to three million bpd in the future — at a time when the world was consuming about 83 million bpd.
Jump ahead 15 years.
Alberta oilsands output averaged 3.3 million bpd during the first four months of this year. And Nexen was acquired more than a decade ago by Chinese state-owned firm CNOOC Ltd., showing just how quickly the landscape can change in the industry.
Calgary bid to host the 2023 WECP event, which eventually went to Perth.
Even if the city’s potential pitch isn’t successful, there are advantages to making the effort, such as building coalitions to support future endeavours, says Richard Masson, chair of the World Petroleum Council Canada when it organized the massive World Petroleum Congress last September in Calgary.
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“There’s value to it. You’ve got to step back and talk about where Canada wants to go, in terms of climate change and our goal is net zero … That puts us at the forefront of countries trying to get there — and it’s hard,” said Masson.
“To be a serious player, you need to be part of that whole dialogue.”
Although much smaller than the World Petroleum Congress, events such as the WECP also provide a chance to network with other civic and corporate leaders to share ideas.
Promoting Calgary as the destination for future investment will ensure the city’s energy sector continues to develop technology that’s needed to lower emissions, said Kevin Krausert, CEO of Calgary-based Avatar Innovations, which operates a venture fund and an energy technology studio focused on decarbonization.
“There’s a burgeoning opportunity for Calgary to position ourselves as a global hub,” Krausert said.
“Building relationships with like-minded hubs is exactly what the city needs.”
While Canada supports decarbonization initiatives, it’s less clear how Ottawa feels about expanding oil and natural gas production, LNG terminals and other infrastructure.
“It’s been incredibly frustrating in dealing with the federal government when they’re setting some of their targets around clean electricity and clean energy,” said Calgary’s mayor.
“They’ve got to recognize the realities of an economy like ours … We need to transition, but we also need to be realistic about how we do it. We can’t just turn off oil and gas and expect that we’ve got a replacement overnight.”
Chris Varcoe is a Calgary Herald columnist.
cvarcoe@postmedia.com
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