It turns out we have yet to reach peak oil, after all. And in this topsy-turvy world where the U.S. now produces more oil than it needs to import, it may be Prime Minister Stephen Harper’s power that has peaked instead. Why? Because in his quest to build an “energy superpower,” Harper tied his political fate to the price of Canadian crude.
Harper won his long-coveted majority in May 2011, with a simple promise to energy producers: he would do whatever necessary to get their wares to market. Higher export prices would unlock deeper, more marginal reserves. And for the Tories, the resulting spurt of growth could pay for tax cuts, helping to paper over voters’ concerns about environmental tradeoffs. But Harper’s plan, like a runaway oil train, is going off the rails.