Pipe Dreams vs Pipe Realities: A Conversation with François Poirier, President and CEO of TC Energy
Mar 18, 2025
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François Poirier, President and CEO of TC Energy, sheds light on pressing themes from the CERAWeek Conference. He discusses the challenges of building energy infrastructure in North America, including permitting and the potential revival of the Keystone XL and Energy East pipelines. Poirier also examines the strategic shift towards natural gas, driven by demand from AI data centers, and emphasizes the need for collaboration among Canada, the U.S., and Mexico to enhance energy reliability and affordability.
Collaboration among Canada, the U.S., and Mexico is crucial for optimizing energy distribution and enhancing North American energy trade.
The growing challenges of permitting regulations highlight the need for political support and sustainable changes to expedite energy infrastructure development.
Deep dives
Collaboration in North American Energy
A significant insight is the essential role of collaboration among Canada, the U.S., and Mexico in enhancing North American energy trade. By utilizing existing infrastructures and working together, these countries can optimize energy distribution, which would ensure efficient transport of energy resources without significant regulatory hindrances. The speaker emphasizes the urgency in developing energy infrastructure to reduce dependency on foreign energy sources, particularly from Russia. This collaboration could lead to increased exports of energy to support allied nations, showing that mutual cooperation will benefit all parties involved.
The Importance of Timely Permitting
The conversation highlights the escalating challenges related to energy infrastructure permitting, where regulations have become more burdensome compared to two decades ago. As timelines for obtaining permits have lengthened from an average of 12 to 18 months to over two years, there is a growing call for streamlined processes and clearer regulations. The speaker points out that political backing, including executive orders, may expedite projects but stresses the necessity of sustainable legislative changes to ensure long-term improvements. Ultimately, creating certainty in the permitting process is pivotal for attracting capital investment in energy infrastructure.
Natural Gas as a Reliable Energy Source
Natural gas is highlighted as a key energy source, particularly for data centers that require extreme reliability and low downtime. As developers recognize the limitations of relying solely on wind and solar, they are increasingly turning to natural gas, which balances affordability and sustainability requirements. The conversation illustrates that natural gas is now viewed as a critical component alongside nuclear energy for meeting the high reliability demands of data centers. As the trend of electrification continues, natural gas is expected to play a significant role in meeting future energy demands across various sectors.
Challenges in Canadian Energy Projects
The podcast delves into the complexities surrounding Canadian energy projects, particularly focusing on the regulatory risks involved. The speaker discusses past experiences with pipeline projects, noting that opposition and permitting delays can lead to significant cost overruns and deter future developments. There is an expressed need for political will and real leadership to streamline these processes and improve infrastructure deployment across the nation. The discussion also touches on the enduring question of energy sovereignty versus economic considerations, suggesting that Canadians might need to rethink their stance on energy projects in light of national security concerns.
This week, our guest is François Poirier, President and Chief Executive Officer of TC Energy. While he is based in Calgary, François joined us from Houston, where he attended the CERAWeek Conference. TC Energy has one of North America’s largest energy infrastructure portfolios, including natural gas pipelines and electricity generation assets in Canada, the United States, and Mexico.
Here are some of the questions Jackie and Peter asked François Poirier: What are some of the top themes at CERAWeek, including the discussion on the infrastructure panel you spoke at? Do you expect the US will build pipelines and other large energy projects faster with President Trump’s emergency orders and fast-tracking? What is your outlook for North American natural gas demand, considering the proliferation of plans to build new AI data centres? President Trump would like to revive the Keystone XL oil pipeline; what are your thoughts on that project? Is there an opportunity to move more natural gas between Western Canada and Eastern Canada over Canadian territory using the TC Mainline? Do you see the potential to revive the Energy East pipeline? What did you learn from completing the Coastal Gas Link pipeline which connects natural gas from Northeast British Columbia to Canada’s west coast at Kitimat, and how did it compare to your recent project of building a natural gas pipeline in Mexico? Could you envision TC Energy investing in another LNG feed gas pipeline in Canada, and what would need to change for you to make this investment? How urgent is it for Canada to start taking action to accelerate LNG projects, considering competition from Alaska, Mexico, and other foreign suppliers?