The energy industry needs to do a better job engaging the public about the environmental effects of its oilsands developments, said the Canadian Association of Petroleum Producers. (CBC)

A group representing Canada's oil producers said better public relations is needed after a poll found almost half of respondents believe oilsands companies aren't doing enough to reduce the environmental impact of their industry.

"I think that the ground has been taken away from us in many respects by campaigns by environmental groups and others," Dave Collyer, president of the Canadian Association of Petroleum Producers (CAPP), said in Calgary on Thursday.

"We've made some assumptions, I believe, about how Canadians view the industry and the extent to which we need to engage proactively.... We need to do better. There's no question."

CAPP, which represents 130 oil and gas companies, commissioned the study as part of a public outreach campaign.

A total of 850 people in Edmonton and Toronto answered a 60-question phone survey in June. There is a sampling error of 4.8 per cent, said CAPP in revealing the results on Thursday.

The poll found 46 per cent of respondents think companies have not done a good job balancing the environment and the economy.

Water use and effects on wildlife and habitat in northern Alberta were the biggest environmental concerns cited by respondents.

"It gives us more clarity as to what the issues are that we need to engage Canadians and the fact that we need to get out there more effectively and proactively through a wide diversity of forums," said Collyer.

Majority believe environmental, economic balance possible

He pointed out energy companies spend millions of dollars every year on looking at ways to cut water use and carbon emissions.

But Mike Hudema with Greenpeace Canada said the industry would get more bang for its buck if it skipped the ad campaigns and spent the money to reduce the environmental footprint of the oilsands.

"Less talk, more action would be the message that we definitely have, both to CAPP and then to the Alberta and federal government as well," he said.

Forty-two per cent of respondents said they had a positive view of the oilsands compared to 30 per cent who said they felt negatively about them.

Trust in the industry also appeared low. Half of the people in the survey said they don't believe what oil and gas executives say in the media, while 44 per cent don't believe information provided by oil and gas companies.

But Collyer felt there was an upside to the survey in that 71 per cent of respondents felt a balance was possible in successfully developing the oilsands while also protecting the environment.