Canadians are buying dividend stocks inside their TFSA accounts to help build savings for their golden years.

Let’s take a look at Enbridge Inc. (TSX:ENB)(NYSE:ENB) to see why it might be an interesting pick today.

Tollbooth revenue

Enbridge is a big name in the energy industry, but most of the company’s revenue isn’t directly impacted by changes in commodity prices.

Why?

Enbridge doesn’t produce oil, natural gas, or gas liquids; it simply transports the product from the point of production to the end user and takes a fee for providing the service.

Contracts for the use of the company’s pipelines tend to be long term, and its core customers are well-funded energy giants.

The oil rout has caused concern about the health of the oil and gas industry. Smaller firms with high debt loads are certainly feeling the pinch, and some are being carved up or even sold to larger competitors.

When that happens, the new owners generally have stronger balance sheets and continue to produce from the same asset base. As long as its pipelines are being used, Enbridge isn’t overly concerned about who produces the commodity. In fact, consolidation is probably viewed as a positive because companies with greater financial flexibility tend to spend more on development.

Enbridge said shipments along its mainline infrastructure hit record levels in Q1 2016, so oil sands production remains steady despite lower prices. The Q2 numbers were hit by the Albertan wildfires, but investors should see a return to normal conditions when the third-quarter report comes out.

Growth outlook

Enbridge grows revenue by building new pipelines.

Lower capital spending in the oil patch is going to have a short-term impact on infrastructure demand, but Enbridge has enough development on the go to keep it busy while the industry works its way through the downturn.

The company has $16 billion in near-term commercially secured projects under way and is picking up an additional $10 billion through its acquisition of Spectra Energy. When the Spectra deal closes, Enbridge will also have $48 billion in longer-term projects in the portfolio.

This means investors should feel comfortable with the company’s ability to grow over the long term.

Dividends

Enbridge has a long track record of providing solid dividend growth, and that trend is set to continue.

As new assets are completed and go into service, Enbridge expects cash flow to increase enough to support dividend hikes of at least 10% per year through 2024.

Should you buy?

Enbridge is already a large company, but the addition of Spectra will create North America’s largest energy infrastructure business. When looking for long-term investments, you want to go with industry leaders, and Enbridge certainly fits the bill.

The stock isn’t as cheap as it was in January, but you still get a safe 3.7% yield plus strong dividend growth over the next eight years.

Stock buy alert hits astounding 96% success rate!

The hand-picked investing team inside Stock Advisor Canada recently issued a buy alert for one special type of "bread-and-butter" stock where The Motley Fool U.S. has banked profits on 23 out of 24 recommendations. Frankly, with an astounding 96% success rate that has delivered average returns of 260%, chances are this new pick could deliver life-changing returns as well. Because the team at Stock Advisor Canada fully embraces the same time-tested investing philosophies that have led to countless Motley Fool winners globally. So simply click here to unlock the full details behind this new recommendation and join Stock Advisor Canada.

*96% accuracy includes restaurant stock recommendations from Motley Fool U.S. services Stock Advisor, Rule Breakers, Hidden Gems, Income Investor and Inside Value since each services inception. Returns as of 5/27/16.

NEW! This Stock Could Be Like Buying Amazon In 1997

For only the 5th time in over 14 years, Motley Fool co-founder David Gardner just issued a Buy Recommendation on this recent Canadian IPO.

Stock Advisor Canada’s Chief Investment Adviser, Iain Butler, also recommended this company back in March – and it’s already up a whopping 57%!

Enter your email address below to claim your copy of this brand new report, “Breakthrough IPO Receives Rare Endorsement.”

Fool contributor Andrew Walker has no position in any stocks mentioned. The Motley Fool owns shares of Spectra Energy. Spectra Energy is a recommendation of Stock Advisor Canada.