Canada’s Very Expensive PM

Prime Minister Justin Trudeau speaks during a press conference to discuss his meeting with Alberta Premier Rachel Notley and B.C. Premier John Horgan on the deadlock over Kinder Morgan’s Trans Mountain pipeline expansion, in Ottawa on Sunday, April 15, 2018.
Prime Minister Justin Trudeau speaks during a press conference to discuss his meeting with Alberta Premier Rachel Notley and B.C. Premier John Horgan on the deadlock over Kinder Morgan’s Trans Mountain pipeline expansion, in Ottawa on Sunday, April 15, 2018.

Canada is endowed with the third-largest oil reserves in the world, but a lack of access to world markets means our oil is sold far below world prices. Each day, this “captive-market discount” hands a $40-million gift to Americans. Adding insult to injury, the discount also drives tens of billions of dollars in Canadian investments to American oilfields.

Now, after seven years and billions of dollars spent by proponents of three oil-export pipelines, hopes for revival of Canada’s oil industry has come down to one extremely troubled project: the Trans Mountain pipeline expansion. How could this possibly have happened?

The answer lies in politically motivated decisions that progressively narrowed those three proposals to what was always the most fraught project. Here is a precis of what I’ll call “the saga of the three pipelines.”

Enbridge filed regulatory applications for a Northern Gateway pipeline to ship Alberta oil to the North-Pacific port of Kitimat in 2010. The Harper government’s cabinet approved the project in 2014 after a thorough and intense review by the National Energy Board (NEB). However, in September 2016, Prime Minister Justin Trudeau cancelled the project. “The Great Bear Rainforest is no place for a pipeline,” said Trudeau. It mattered not that the so-called “Great Bear Rainforest” hadn’t even been given that name until after the regulatory review (in 2016, it was still called the Central and North Coast Forest).

Some First Nation bands were pleased, but not those most affected by the loss of employment and financial benefits. Just weeks ago, the Lax Kw’alaams, representing nine First Nations tribes, filed a lawsuit claiming that the Great Bear Rainforest prohibition against development on their traditional lands shouldn’t have been implemented without their consent. The tragic irony is that Northern Gateway could have been built by 2019. And it would have created jobs and economic benefits in a part of the province that desperately needs it, unlike Vancouver.

[Read It All]

See Also:

(1) Liberals must change course on sinking approach to shipbuilding

(2) Trudeau kicks pipeline can down the road

(3) Trudeau government increases spending on environment, immigration

(4) Trudeau draws cheers, jeers with talk of CETA at France’s National Assembly

(5) B.C. government denies Trudeau’s claim it has been silent on Trans Mountain environmental demands

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BTDT
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BTDT

The Canadian government (both Conservative & Liberal) orders desperately needed naval vessels and yet “Seven years later, not one ship has been delivered.” Aside from the fact that it only took about 20 yrs to build the Great Wall of China and about the same period of time to build each of the Great Pyramids for arguments sake let’s keep this nautical. Consider the following: The idea to construct Titanic and Olympic was conceived over dinner in 1907. Over flipping dinner! Without the modern convenience of high speed computers design plans were completed, presented and agreed to in principle in… Read more »

FredR
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FredR

Very bad news, if confirmed – for all of Canada:

https://twitter.com/ezralevant/status/986780186732519424

So Kinder Morgan is holding a conference call: it says the events of the last 10 days confirmed its view that the Trans Mountain investment may be untenable #cdnpoli

This debacle represents decades of lost opportunities for Canadians.