U.S. Bias Against Oilsands Could Break WTO Rules: Expert

(Calgary Herald – Shaun Polczer)

Attempts by U.S. politicians to curb imports of oilsands and “dirty” energy from Canada could face a challenge under World Trade Organization rules, the author of a survey into U.S. protectionism said Monday. According to Helmut Mach, director of the Western Centre for Economic Research at the University of Alberta School of Business, American attempts to restrict imports of higher-carbon fuels such as oilsands could be illegal under international trade rules because it would discriminate against how a particular product – in this case oil – is manufactured.

In that sense, climate bills before the U.S. Senate and Congress could be construed as protectionist measures, Mach said in an interview. “Normally, under international trade rules, how a product is produced is irrelevant,” he said. “PPM’s (process and production methods) are not supposed to be a determining factor in purchasing decisions. It has the potential to become very controversial and complicated factor in the climate-change debate.” Read more here.