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Energy and Trade:
Understanding the impact 20 years
of NAFTA has had on North America’s
energy and environmental sectors
                            Los Tres Amigos/as
                            Are we there yet?
                            Where are we going?
Irasema Coronado, Ph.D.
CEC Executive Director
24 April 2013 – JPAC – Calgary
Expectations of NAFTA in the 1990s
• Increased trade – economic growth
• Promote direct foreign investment
  in Mexico
• Mexico would export goods not
  people (Carlos Salinas)
• Continental integration
• Propel economic growth in North
  America
• Lead to economic convergence
• Labor and environmental issues
  were a concern
NAFTA Controversy
•   Economic benefit          •   Democracy
•   Winners                   •   Jobs
•   Losers                    •   Rights of workers
•   Sovereignty               •   Alignment in foreign
•   Cultural                      policy
•   History                   •   Security
•   Bilateral relationships   •   Cooperation
•   Freer trade – freer       •   Migration
    politics                  •   ENVIRONMENT
Environmental Issues
• Led to the creation of the North American
  Agreement on Environmental Cooperation
• Border Environmental Cooperation
  Commission
• North American Development Bank
• Commission for Environmental Cooperation
20th Anniversary Reunion of Activists
• Yes, we support the environmental accords
  but wish they were stronger
• Institutions with flaws, no real teeth
• We see the limitations and the constraints
• NAAEC – way to pass NAFTA through the U.S.
  Congress
Observations
• Blecker and Esquivel: “…NAFTA failed to fulfill the
  promise of closing the development gap in
  Mexico”
• Huffbauer and Schott: Econometric projects -
  societal benefits of NAFTA
• Clarkson: “Does North America Exist?” NAFTA
  was reshaping internal working of the 3 parties
  and called for a modified, low-key North
  American Agenda
• Staudt and Coronado- North American Union
Nature of Relationship between
  Canada, Mexico and United States
• Interdependent
• Dependent
• Intermestic -
  International and
  Domestic
• Challenges for
  productive engagement
• Variables that lead to
  cooperation
Challenges
• Policy Processes
• Policy Content
• Optimal Outcomes - Best Practices - Models
• Low-Hanging Fruit – Lowest Common
  Denominator form of compromise
• Timing of elections and political appointments
North American Agenda
         • Who’s at the top?
         • Who’s at the
           bottom?
         • Who’s in the middle?
         • Unilateralism
         • Tactical balancing
         • Multilateral
           cooperation
North American Agenda
• How do the three countries see each other?
• How do they understand the world order?
• What importance to they attach to the
  “relationship?”
• What do they want from each other and why?
Future Deepening of NAFTA
• More Regional Integration
• Revisiting NAFTA to include:
  ENERGY
• Migration, infrastructure,
  supranational institutions,
  common currency, regional
  security, etc. (Castaneda and
  Camin)
Mumme and Sanchez
• Many Challenges
• Environmental Protection
• Natural Resource Management
• Climate Change
• Energy
• Positive Assessment of BECC, NADBANK and
  CEC
• CEC Biodiversity work and Big Bend/Río
  Bravo Project…..however,
Mumme and Sanchez
• More needs to be done
• Current institutions were not designed to
  address the multiscaled complexity and
  multidimensional problems of the 21st century
• Trilateral initiatives need to become better
  integrated and better supported by the
  governments
• Conservation and biodiversity
Mumme and Sanchez
• Address rivalry among
  local, state, provincial, federal institutions
• Parks Canada, Environment
  Canada, USEPA, Department of
  Interior, SEMARNAT and CONAFOR
• Revisit institutions CEC, BECC and NADBANK
Positive Outcomes
• “ The automobile industry is almost
  seamlessly integrated between the three
  countries….” ( Selee and Diaz-Cayeros)
Recommendations
Handshake – Embrace - Kiss
Greet the neighbor but we have not invited
them over for dinner
Historical Distrust
Promote the notion of Shared Responsibility
Deeper forms of regional integration (social)
Citizen-to-Citizen Diplomacy JPAC
Environmental Institutions
• The three countries should not rest on their
  laurels….
• Continue working on:
  – Energy
  – Water
  – Groundwater
  – Imaginative and realistic policy recommendations
CEC
• Work within the three priorities
• Clusters – cross-cutting
  priorities
• Working Groups
• Cooperation
• The art of the possible
• Hopefully laying the
  groundwork to tackle the more
  difficult challenges such as:
CEC
 • Energy
 • E-Waste
 • Environmental
   Degradation
 • Emissions
 • Environmental
   Protection
 • Environmental
   Health
For your consideration
•   Keystone Pipeline?
•   Pemex?
•   Fracking?
•   Meeting with trade representatives from the
    three countries?
Be realistic, demand the impossible!
• Questions
• Comments
• Thank you, Merci Beaucoup, Muchas gracias

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Irasema Coronado: Energy and Trade: Understanding the impact 20 years of NAFTA has had on North America’s energy and environmental sectors

  • 1. Energy and Trade: Understanding the impact 20 years of NAFTA has had on North America’s energy and environmental sectors Los Tres Amigos/as Are we there yet? Where are we going? Irasema Coronado, Ph.D. CEC Executive Director 24 April 2013 – JPAC – Calgary
  • 2. Expectations of NAFTA in the 1990s • Increased trade – economic growth • Promote direct foreign investment in Mexico • Mexico would export goods not people (Carlos Salinas) • Continental integration • Propel economic growth in North America • Lead to economic convergence • Labor and environmental issues were a concern
  • 3. NAFTA Controversy • Economic benefit • Democracy • Winners • Jobs • Losers • Rights of workers • Sovereignty • Alignment in foreign • Cultural policy • History • Security • Bilateral relationships • Cooperation • Freer trade – freer • Migration politics • ENVIRONMENT
  • 4. Environmental Issues • Led to the creation of the North American Agreement on Environmental Cooperation • Border Environmental Cooperation Commission • North American Development Bank • Commission for Environmental Cooperation
  • 5. 20th Anniversary Reunion of Activists • Yes, we support the environmental accords but wish they were stronger • Institutions with flaws, no real teeth • We see the limitations and the constraints • NAAEC – way to pass NAFTA through the U.S. Congress
  • 6. Observations • Blecker and Esquivel: “…NAFTA failed to fulfill the promise of closing the development gap in Mexico” • Huffbauer and Schott: Econometric projects - societal benefits of NAFTA • Clarkson: “Does North America Exist?” NAFTA was reshaping internal working of the 3 parties and called for a modified, low-key North American Agenda • Staudt and Coronado- North American Union
  • 7. Nature of Relationship between Canada, Mexico and United States • Interdependent • Dependent • Intermestic - International and Domestic • Challenges for productive engagement • Variables that lead to cooperation
  • 8. Challenges • Policy Processes • Policy Content • Optimal Outcomes - Best Practices - Models • Low-Hanging Fruit – Lowest Common Denominator form of compromise • Timing of elections and political appointments
  • 9. North American Agenda • Who’s at the top? • Who’s at the bottom? • Who’s in the middle? • Unilateralism • Tactical balancing • Multilateral cooperation
  • 10. North American Agenda • How do the three countries see each other? • How do they understand the world order? • What importance to they attach to the “relationship?” • What do they want from each other and why?
  • 11. Future Deepening of NAFTA • More Regional Integration • Revisiting NAFTA to include: ENERGY • Migration, infrastructure, supranational institutions, common currency, regional security, etc. (Castaneda and Camin)
  • 12. Mumme and Sanchez • Many Challenges • Environmental Protection • Natural Resource Management • Climate Change • Energy • Positive Assessment of BECC, NADBANK and CEC • CEC Biodiversity work and Big Bend/Río Bravo Project…..however,
  • 13. Mumme and Sanchez • More needs to be done • Current institutions were not designed to address the multiscaled complexity and multidimensional problems of the 21st century • Trilateral initiatives need to become better integrated and better supported by the governments • Conservation and biodiversity
  • 14. Mumme and Sanchez • Address rivalry among local, state, provincial, federal institutions • Parks Canada, Environment Canada, USEPA, Department of Interior, SEMARNAT and CONAFOR • Revisit institutions CEC, BECC and NADBANK
  • 15. Positive Outcomes • “ The automobile industry is almost seamlessly integrated between the three countries….” ( Selee and Diaz-Cayeros)
  • 16. Recommendations Handshake – Embrace - Kiss Greet the neighbor but we have not invited them over for dinner Historical Distrust Promote the notion of Shared Responsibility Deeper forms of regional integration (social) Citizen-to-Citizen Diplomacy JPAC
  • 17. Environmental Institutions • The three countries should not rest on their laurels…. • Continue working on: – Energy – Water – Groundwater – Imaginative and realistic policy recommendations
  • 18. CEC • Work within the three priorities • Clusters – cross-cutting priorities • Working Groups • Cooperation • The art of the possible • Hopefully laying the groundwork to tackle the more difficult challenges such as:
  • 19. CEC • Energy • E-Waste • Environmental Degradation • Emissions • Environmental Protection • Environmental Health
  • 20. For your consideration • Keystone Pipeline? • Pemex? • Fracking? • Meeting with trade representatives from the three countries?
  • 21. Be realistic, demand the impossible! • Questions • Comments • Thank you, Merci Beaucoup, Muchas gracias