Political Advocacy and Accountability
Overview
We work to ensure that Enbridge speaks with one voice―lawfully and ethically―in the political arena.
We support democratic and regulatory processes in the jurisdictions in which we conduct business. We do so in accordance with the letter and spirit of all applicable laws of the countries in which we operate. As such, all of our activities pertaining to government relations and advocacy comply with the country, provincial and state laws governing these activities, as well as with our Statement on Business Conduct.
Management Approach
Governance
The CSR Committee of our Board of Directors provides oversight on our performance with respect to CSR and sustainability matters throughout the enterprise. Their oversight includes receiving quarterly updates from management on activities involving government relations, including lobbying. When appropriate, management also discusses lobbying activities with our Board as part of its oversight responsibilities. In addition, management provides regular updates on lobbying activities to the executive vice presidents of the applicable business segment or to our President & Chief Executive Officer. For more information, please see our 2018 Management Information Circular, which is available in the Reports & Filings section of enbridge.com.
Political Contributions Policy
Enbridge believes it is important that all stakeholders engage constructively in the political process. We participate at the federal, state, provincial and local levels to help inform the development of public policies that may affect our industry, our company, our employees and our stakeholders. Enbridge is committed to the highest standard of ethical conduct in our involvement in the political process, adhering to all applicable laws in Canada and the U.S. and our Statement on Business Conduct. In 2017, our Board of Directors approved the Enbridge Inc. Political Contributions Policy.
Priorities Regarding Energy Advocacy
Enbridge publicly advocates company positions on key issues and policies that are critical to our business. Ultimately, we strive to build awareness of the role that energy plays in people’s lives and how the energy Enbridge transports, distributes and generates contributes in a meaningful way to their standard of living, health and prosperity.
Public Policy Positions
Enbridge is committed to supporting the development of responsible public policy. We engage with governments at the state, provincial and federal levels in Canada and the U.S. to help inform the development of public policies or regulatory processes important to our specific projects and business objectives.
Our key public policy priorities include:
Trade and Investment – Enbridge supports an integrated North American energy market by building robust and interconnected infrastructure systems to connect supply and demand. Attracting capital investment remains increasingly critical to support connecting key supply basins with consuming markets. The ability to conduct energy trade seamlessly in North America also remains critical to preserving an integrated North American energy market and the supply chains that support it.
Regulatory Stability – A stable regulatory environment is critical to Enbridge’s ability to attract capital, maintain reliable operations and pursue targeted expansion opportunities. We are focused on advocating for regulatory frameworks that are clear, transparent, harmonized and predictable.
Fiscal and Tax Policies – Enbridge is focused on advancing stable fiscal and tax policies that promote investment in the development of North American energy infrastructure. This includes fiscal and tax regimes that allow us to continue to grow our business, create jobs and strengthen North American energy security.
Climate and Energy Solutions – Enbridge is committed to being part of the transition to a lower-carbon economy across all of our businesses. Natural gas has and will continue to play an important role greenhouse gas reduction in North America, and we continue to see significant future growth opportunities in renewables and power.
Community and Indigenous Engagement – Enbridge believes that positive relationships―based on common values of safety, integrity and respect and focused on achieving common goals―will create constructive outcomes both for all of the different local communities in which we operate. We pursue sustainable relationships with Indigenous communities in proximity to where Enbridge conducts business in a manner that adheres to a core set of principles outlined in the company’s Indigenous Peoples Policy.
2017 Performance
Political Contributions
Federal laws in both Canada and the U.S. generally place limits on a company's ability to participate in the political process. As such, Enbridge does not contribute corporate funds directly to federal political candidates, committees or parties in either jurisdiction. However, on a limited basis, we may use corporate funds in the U.S. to make contributions to 527 organizations (an organization with a 527 designation from the Internal Revenue Service confers eligibility for tax exemption).
States and provinces where Enbridge does business have different regulations governing political contributions in state, provincial and local elections. Enbridge participates in the political process in accordance with all state, provincial and local laws, and any and all corporate contributions comply with all applicable laws and regulations.
Our political contribution decisions are guided by what is in the best interest of the company, our employees and our shareholders. All proposed contributions that Enbridge makes must be reviewed and approved by the Business Unit executive responsible for public affairs and communications, business unit president, the Chief Executive Officer or the Board of Directors. Enbridge’s senior leader responsible for external affairs in Canada and/or the U.S. reviews all contributions and ensures accountability to the Enbridge Inc. Political Contributions Policy. A record of all approved contributions is maintained by Enbridge’s Public Affairs and Communications department. For more information, please see the Enbridge Inc. Political Contributions Policy.
In 2017, Enbridge’s total corporate political contributions in Canada were CAD$7,525 and in the U.S. were US$16,250. In the U.S., through the Enbridge (U.S.) Inc. Political Action Committee (Enbridge-DCP PAC), eligible employees contributed US$239,100 to candidates, campaigns and committees at the state and federal levels. All of our U.S. contributions are disclosed consistent with federal and state laws and regulations and are available on the website of the Federal Election Commission and the websites of election boards in certain states where the PAC makes contributions.
Advocacy
We participate with governments in the political process to help inform the development of public policies or regulatory processes that are important to our specific projects and business objectives. For example, in 2017, the Government of Canada announced a series of reviews of federal policy and regulations involved in the approval of major energy projects. We provided input both as an individual company and as a member of the Canadian Energy Pipeline Association.
As required by law, we file lobbying reports on a regular basis with the Canadian government, the U.S. Congress, and state, provincial and municipal agencies, disclosing information about lobbying activities, including the issues lobbied and agencies contacted.
Trade Associations
Our primary purpose in joining trade and industry associations is to help share our experience and expertise to inform the development of public policy and regulatory processes. We benefit from, and contribute to, the general business, technical and industry standard-setting expertise that these associations provide. Safety and operational reliability, together, remain our number one priority, and therefore we invest significant time and efforts around safety- and reliability-related issues. We are also committed to supporting the development of responsible public policy in the pipeline industry, and we work with the various trade and industry associations to which we belong on a variety of public policy issues that may impact our business. In doing so, we express our own corporate objectives when policy priorities are established, and we do not always agree with all positions taken by these associations. Each year, we consider our membership in these associations as part of our annual strategic planning and budgeting process.
In 2017, we contributed $50,000 or more in membership dues to the following organizations in Canada. Please note that we have only listed our executive level involvement in these organizations, we are also have active participation in various committees associated with these trade associations.
Organization | Purpose | Our Involvement (Examples) |
---|---|---|
Canada West Foundation | An independent, non-partisan public policy think tank that focuses on the policies that shape the West, and by extension, Canada. | An Enbridge representative is a member of an Advisory Council. |
Canadian Chamber of Commerce | Connects businesses of all sizes from all sectors and regions of the country to advocate for public policies that will foster a strong, competitive economic environment that benefits businesses, communities and families across Canada. | Vice President, Public Affairs & Communications serves on the Board. |
Canadian Association of Petroleum Producers | Represents Canada’s upstream oil and natural gas industry. | President & CEO serves on a task force. |
Canadian Gas Association (CGA) | Represents Canada’s natural gas distribution industry. Members include distribution companies, transmission companies, equipment manufacturers and other service providers. | Enbridge Gas Distribution’s President; and Union Gas Ltd.’s President serve on the Board. |
Canadian Energy Pipeline Association (CEPA) | Represents Canada’s transmission pipeline companies that operate pipelines in Canada and the U.S. | Senior Vice President, Operations serves on the Board. Two Vice Presidents serve on the Board of the CEPA Foundation. |
Ontario Energy Association (OEA) | Represents Ontario’s energy sector, serving as a bridge between business, government and other groups to foster common understanding of each other's positions and interests. | Enbridge Executive Vice President, Utilities and Power Operations; and Union Gas Ltd. President serve on the Board. |
In 2017, we also contributed US$50,000 or more in membership dues to the following organizations in the U.S.:
Organization | Purpose | Our Involvement (Examples) |
---|---|---|
American Gas Association (AGA) | Represents more than 200 local energy companies that deliver clean-burning natural gas throughout the U.S. | Committee participation. |
American Petroleum Institute (API) | The largest U.S. trade association for the oil and natural gas industry, representing about 400 corporations involved in production, refinement, distribution and many other aspects of the petroleum industry. | President & CEO serves on the Executive Committee, Finance Committee and Board. |
Association of Oil Pipe Lines | Represents the interests of owners and operators of liquid pipelines in the U.S. | Executive Vice President & President, Liquids Pipelines serves as the Chair of the Board. |
GPA Midstream Association | Represents U.S.-based companies that are engaged in gathering and processing natural gas. | DCP Midstream’s President & CEO is Chair of the Board. |
Interstate Natural Gas Association (INGAA) | Advocates regulatory and legislative positions of importance to the natural gas pipeline industry in North America, and initiates industry-wide safety and asset-integrity-improvement efforts. | Executive Vice President & President, Gas Transmission & Midstream serves on the Board. |
Master Limited Partnership Association (MLPA) | A trade association representing the publicly traded limited partnerships that are commonly known as master limited partnerships (MLPs), and those who work with them. | Senior Vice President, Finance, Business Partners serves on the Board. |
Pipeline Research Council International (PRCI) | Represents the world’s leading pipeline companies, and the vendors, service providers, equipment manufacturers and other organizations supporting our industry. | Vice President, Pipeline Integrity serves on the Board |
Texas Pipeline Association | Provides effective advocacy on issues related to pipeline safety, environmental regulations, taxation and legislation and is the primary resource for information regarding the Texas pipeline industry. | Director, Commercial Services serves on the Board |