Trans Mountain pipeline back in action after oil spill north of Kamloops

Terry Joseph
June 1, 2018

Canada's government is intervening in the conflict over the construction of Kinder Morgan's Trans Mountain Expansion Project with an unusual decision.

They saw it as more of a royal "we" that referred to his government's efforts to help Kinder Morgan complete the expansion of the Trans Mountain pipeline on budget.

This, regardless of opposition from First Nations, who incidentally never ceded the rights to their lands to the Canadian government.

The ensuing uncertainty, paired with vociferous opposition from environmental groups and some Indigenous communities in B.C., prompted Kinder Morgan to halt investment until the federal government could inject some certainty into the project.

We are endeavouring to move positively into the next decades without further harming the Earth.

November 29, 2016: Prime Minister Justin Trudeau sanctions the Trans Mountain expansion, part of a sweeping announcement that also saw approval of Enbridge's Line 3 pipeline replacement but the end of its Northern Gateway project. In my opinion, it was also his final and fatal fall from grace.

"I'm hoping the federal government has had a change of heart (with regards to the need for oil pipelines in Canada)", he said. Scotiabank reaffirmed an "outperform" rating and issued a C$23.00 price target on shares of Kinder Morgan Canada in a report on Monday, April 16th.

Trudeau said Canada loses $15 billion a year because oil can not be exported anywhere but the United States, adding that the pipeline expansion opens up the option of exporting to Asian markets. We don't say this maliciously.

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Tuesday, Kinder Morgan Canada announced a deal in the works to sell its Trans Mountain pipeline and expansion project to the Government of Canada for $4.5 billion. The court challenge was filed about two weeks later.

Morneau said more spending would be needed to complete the expansion, but gave no precise financial details, and stressed he felt the project should be returned to the private sector.

Horgan contends Canada has jurisdiction to build the pipeline but that he can regulate what flows into his province within the pipeline.

It also stated increasing pressure on current pipeline infrastructure is pushing more companies to utilize trucks and rail for product transportation. Kinder Morgan past year said it was about $7.4 billion, plus about $1 billion already spent - an estimate that's now considered low. "I continue to have concerns about potential adverse consequences of a diluted bitumen spill on our marine environment, on our coast and the consequences to our economy", he said.

"My expectation is that the outrage is going to grow and we're not just going it see it here in British Columbia but we're going to see it nationally and internationally", she said, adding social media makes it possible for activists to connect in ways that didn't exist at the height of anti-logging protests in 1993.

Alberta Premier Rachel Notley cheered the news on Twitter. Any money put toward construction would be converted into an equity stake in the federal project, she said. The federal Liberal government and its new Crown corporation are on track to be taught the same lesson.

"This is an extremely sad day for Canadian taxpayers", Conservative Leader Andrew Scheer said during question period.

The Prime Minister had other options.

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