The last thing that the NB economy needs is another short-lived industry that rips out our natural resources, adds no value and sends profits elsewhere for stockholders, while the province is left with cleaning up a devastated landscape.
Shale gas drillers have produced a lot of product, but they’ve never made a profit. Shale gas is expensive to produce, but prices are low. Over time expenses increase, as the easy-to-get gas is extracted first. Shale gas extraction will become a dead-end industry. We are nearing the end of the age of fossil fuels; investment in them is decreasing around the world. The threat of climate change means that the industry will continue to shrink, and long-term investments – like starting a new shale gas project – run a huge risk of ending up worthless.
In contrast, renewable energy becomes ever cheaper as the technology improves. Smart provinces will support businesses of the future.
- Fracking in 2018: Another Year of Pretending to Make Money (Dec 18, 2018 Desmog)
- Nine-year losing streak continues for US fracking sector: Oil and gas output is rising but cash losses keep flowing (5 Dec 2018, Sightline Institute)
- Financial Red Flags for Fracking (17 Oct 2018, Sightline Institute)
- How Western Canada subsidizes fracking, (The Tyee, Feb 2014)