Canadian retirees are trying to find methods to generate revenue from their financial savings to enhance the Canada Pension Plan (CPP), Previous Age Safety (OAS), and work pensions.

One well-liked technique to earn regular passive revenue entails proudly owning high-yield dividend shares inside a self-directed Tax-Free Financial savings Account (TFSA) portfolio. Within the present market situations the place the TSX trades close to its report excessive and tariffs threaten to set off an financial downturn, it is smart to search for business leaders with lengthy monitor data of delivering dependable dividend development.

Enbridge

Enbridge (TSX:ENB) trades close to $65.50 per share on the time of writing. That’s down about $5 from the 2025 excessive, giving traders an opportunity to purchase ENB on a little bit of a dip after its huge rally over the previous two years.

Enbridge is finest recognized for its in depth oil and pure gasoline transmission networks that transfer roughly 30% of the oil produced in Canada and america and 20% of the pure gasoline utilized by American houses and companies. In recent times, nevertheless, administration shifted development spending to different alternatives. The corporate bought an oil export terminal in Texas and is a companion on the Woodfibre liquified pure gasoline (LNG) export facility being constructed on the coast of British Columbia. International demand for Canadian and U.S. oil and pure gasoline is predicted to rise within the coming years as international locations search for dependable power provides from steady international locations to gasoline electrical energy manufacturing.

Enbridge has additionally expanded its pure gasoline utilities footprint. The corporate spent US$14 billion in 2024 to purchase three pure gasoline utilities in america. The deal made Enbridge the most important pure gasoline utility operator in North America, simply as home demand for pure gasoline is predicted to surge. Fuel-fired energy era amenities are being constructed to offer energy for brand new AI information centres.

Enbridge has bulked up its photo voltaic and wind division, as properly. Renewable power stays an necessary a part of the enlargement of the general electrical energy provide wanted to satisfy rising energy demand.

On the event facet, Enbridge is working by means of a $32 billion capital program. As the brand new property are accomplished and go into service, the added income is predicted to spice up money circulate by about 5% per yr over the medium time period past 2026. This could assist ongoing dividend development. Enbridge has elevated the dividend yearly for the previous 30 years. Traders who purchase the inventory on the present degree can get a dividend yield of 5.75%.

Enbridge pivoted away from main pipeline initiatives in Canada on account of regulatory hurdles. These challenges stay in place, however Canada’s new objective of lowering reliance on america for power gross sales may result in a extra beneficial atmosphere to get new pipelines constructed. Canadian oil and pure gasoline producers want infrastructure that may join them with export amenities on the coast. If the federal government decides to make it attainable to construct the pipelines, Enbridge could be a robust candidate to take part within the course of.

Dangers

Enbridge’s share value fell from $59 in the midst of 2022 to $44 within the fall of 2023. This occurred consistent with rising rates of interest in Canada and america because the central banks battled to get inflation below management. Price cuts in 2024 and 2025 helped drive the restoration within the share costs of pipeline and utility corporations that use debt to fund their giant capital applications. Trying forward, tariffs may push inflation to the upside in 2026. This may make it tougher for the central banks to proceed slicing charges. Actually, new fee hikes are attainable if inflation surges. In that state of affairs, Enbridge’s share value would probably come below stress.

The underside line

Close to-term volatility is predicted, however Enbridge pays a sexy dividend that ought to proceed to develop. When you have some money to place to work in a TFSA focusing on passive revenue, this inventory deserves to be in your radar.