Trans Mountain Expansion
Trans Mountain Expansion
Kinder Morgan aims to build a pipeline that will enable Canada to market her oil in Asia and other markets by avoiding the costlier rail transport. The multi-billion dollar project has received backing from proponents in the energy sector, but they face resistance from the indigenous groups and climate campaigners due to the environmental impact of the pipeline (Fekete). The government of British Columbia is categorical on the fact that economic development cannot occur at the expense of the environment. It is crucial for them to regulate the projects to ensure it does not affect the livelihood of Canadians negatively in the long run. The national government did the approval, and the B.C. government’s role was to champion for the best interests of its people.
The government saw that the project was in the national interest and granted their approval albeit with some regulatory measures. Just like any other major project, it has its advantages and disadvantages and hence the need for strict regulations. It will create direct and indirect jobs and contribute a lot to federal and provincial tax coffers. There are major financial gains associated with approving the pipeline project, but the right measures have to be employed to ensure all stakeholders benefit. On the other hand, the dangers to the environment through oil spills and the increase of carbon emissions will make Canada lag behind in their climate-change commitments (Fekete). The entry conditions are meant to address the fears raised by environmental groups and Aboriginals during consultations that were held for this project.
One of the main conditions required Kinder Morgan to ensure that the province of B.C. received a fair share of the economic and fiscal benefits from the heavy oil project. The compensation will reflect the nature and degree of risk borne by the taxpayers, the province, and environment. The company agreed to pay British Columbia $25-$50 million dollars each year for 20 years, and the money would go to fund environmental protection in the province (CBC News,). The money will help environmentalists to conduct research and other priority activities aimed at conservation.
Another condition required Kinder Morgan to employ world-leading tactics in terrestrial oil spill prevention and response systems to mitigate and manage the risks associated with large oil pipelines. This regulatory measure will ensure that they make the necessary investments in coping with oil spills which are very harmful to the environment. Apart from terrestrial oil spills, they were also required to use the same measures to mitigate against marine oil spills which could end up killing marine life and polluting the coastal waters of British Columbia. These conditions imply that the environmental could be protected while enjoying the benefits that come with increased importation of oil.
The company is expected to hold inclusive consultations with the affected communities like Aboriginals and other parties like environmentalists. The essence of these discussions is to hear the issues raised by those who oppose the project and come up with appropriate countermeasures to limit or avoid the adverse effects of the project. The threat of the pipeline to vegetation, wildlife as well as increasing the greenhouse gas emissions ought to be discussed in detail to avoid destroying the natural eco-system in the pursuit of economic gains (Cryderman).
The project’s media team said that the Canadian government had provided 157 regulations that were strict but achievable (Williams). The national government approved the project based on the benefits it would bring in the way of increased imports, jobs and increased tax revenue. If the regulations and conditions are observed, the environment will be conserved, and the pipeline will provide its economic benefit.
WORKS CITED
CBC News. “B.C. Strikes ‘Unprecedented’ Deal With Kinder Morgan To Green-Light Trans Mountain Pipeline Expansion”. CBC News, 2017, http://www.cbc.ca/news/canada/british-columbia/trans-mountain-environmental-certificate-1.3931489.
Cryderman, Kelly. “Price Tag for Trans Mountain Expansion Rises to $7.4-Billion”. The Globe and Mail, 2017, http://www.theglobeandmail.com/report-on-business/industry-news/energy-and-resources/price-tag-for-trans-mountain-expansion-rises-to-74-billion/article34247660/.
Fekete, Jason. “Economic Boon or Environmental Disaster? How to Navigate Canada’S Murky Pipeline Debate”. National Post, 2016, http://www.nationalpost.com/m/wp/news/blog.html?b=news.nationalpost.com/news/economic-boon-or-environmental-disaster-how-to-navigate-canadas-murky-pipeline-debate&pubdate=2016-12-01.
neb-one.gc.ca,. “Summary of Recommendation – Trans Mountain Expansion Project.” Www.Neb-One.Gc.Ca, 2017, https://www.neb-one.gc.ca/pplctnflng/mjrpp/trnsmntnxpnsn/smmrrcmmndtn-eng.html.
Williams, Nia. “Opponents of Canada’s Trans Mountain Pipeline Ready to Take on Kinder Morgan, Ottawa.” Financial Post, 2016, http://business.financialpost.com/news/energy/opponents-of-canadas-trans-mountain-pipeline-ready-to-take-on-kinder-morgan-ottawa.
