Post Event | Alberta Energy & Growth Forum

On February 12, the Calgary Chamber, in partnership with CPP Investments, presented the Alberta Energy and Growth Forum. CPP Investments’ President and CEO, John Graham, presented an update on the Canada Pension Plan Fund’s performance and discussed emerging global energy trends. Following this, Mr. Graham engaged in a fireside chat with Calgary Chamber President & CEO Deborah Yedlin.

Following the fireside chat, a panel discussion with ARC Energy Research Institute Executive Director Jackie Forrest, Wolf Midstream CEO Bob Lock and Teine Energy CEO Jason Denney, moderated by Spartan Controls Sustainability Leader Nannette Ho-Covernton, discussed how energy companies are navigating the ever-shifting geo-political landscape and how to focus the efficient use of capital on long term infrastructure projects that will support Canada’s success.

Mr. Graham began by announcing that CPP Investments has met a significant milestone; nearly $700 billion in managed assets, five years ahead of their chief actuaries’ projections. CPP has also achieved solid returns in this time, with a ten-year average annualized return of 9.2%, Mr. Graham attributed these successes to CPP Investments’ long-term strategy, which emphasizes stability, patience and long-term partnerships. Furthermore, Mr. Graham discussed the geo-political trends impacting investors around the world, a decline in multilateralism, distrust of world organizations, conflict and instability in Eastern Europe and the Middle East, and rising tensions between global superpowers.

The fireside chat with Calgary Chamber President & CEO, Deborah Yedlin, covered many aspects of the current global investment climate and strategy, CPP Investment’s commitment to the energy industry and forward-looking strategic points, including:

• Dropping valuations in the renewable energy sector, and potential for investment in global renewable markets. 
• Productivity, and the role of institutional investors in helping to solve the productivity crisis.   
• Opportunities in data centers, compute power, generative artificial intelligence, and the need for smart and ethical investments in emerging technologies.  
• The shift from multilateralism to bilateralism and transactional protectionism foreign policy.  

Mr. Graham closed by emphasizing CPP Investments’ strategy, prioritizing pragmatism over the fear of missing out on emerging markets and technologies, and diversifying markets in the face of instability.

The panel discussion with ARC Energy Research Institute Executive Director Jackie Forrest, Wolf Midstream CEO Bob Lock and Teine Energy CEO Jason Denney, moderated by Spartan Controls Sustainability Leader Nannette Ho-Covernton discussed some of the political instability that is currently disturbing capital markets and investment attraction efforts for large scale energy projects. Panelists discussed persistent challenges with the federal regulatory environment and the need for a simplified regime to develop the projects Canadian industry needs, especially in light of challenges with our largest trading partner, the United States.

The discussion also touched on some of the perceived and real retreat from renewables projects, carbon capture and sequestration and alternative energy generation and storage. Panelists noted that while perceptions may have shifted, there is still a significant need and appetite for long-term carbon capture projects such as Polaris, Quest and the Alberta Carbon Trunk Line. However, uncertainty regarding the future of the Canada Growth fund may be contributing to instability in attracting interest in future projects in this space.

Lastly panelists provided a discussion of some of the factors they are looking at to impact markets in the next twelve months. Tariffs and instability coming from the United States dominated the conversation, with panelists noting the interdependency between Canada and the United States supply chains, especially in regard to energy products. Global instability, such as in the Middle East and Eastern Europe was also raised as a significant factor impacting capital markets.

Panelists closed on a hopeful note, stating that when all the dust has settled from the tariff concerns we are likely to be closer to where we are now than further away – and that despite all the improvements that could be made in the Canadian investment climate, we are still a strong and prosperous market for investment. To highlight this, Ms. Forrest with the ARC Energy Research Institute noted that in the absence of any tariffs, they had modelled 2025 to be the 2nd highest year for oil and gas revenues in the history of the sector. While this could decline, it underlines the long-term value of the industry.

Special thanks to CPP Investments for partnering to make this event possible.