In 2013, the National Energy Board (NEB) of Canada approved Kinder Morgan’s proposal to twin the existing Trans Mountain Pipeline. Since then, what has transpired is a fiasco that has led to delay after delay, time and time again.
Lots of uncertainty over government policies among other things at work led Kinder Morgan to sell the pipeline to the federal government for $4.5 billion in the spring of 2018 and withdraw its capital from Canada all together shortly after.
A few months later, a ruling from the Federal Court of Appeal in August of 2018 overturned the government’s approval of the Trans Mountain Pipeline expansion. Now, the project is on hold for an indeterminate amount of time.
More delays for a critical piece of energy infrastructure that will contribute to Canada’s economic wealth and prosperity for years to come...
As Canadians, we cannot stand by idly and let this happen! Every day we are giving our prosperity away as we sell 99 percent of our oil exports to the United States for a heavily discounted price because of a lack of access to international markets.
Losses to the Canadian economy from the oil discount have been projected at:
- $100 billion annually in real-cost (Tim McMillan, CAPP) (Nov, 2018)
- $80 million a day (Justin Trudeau, Government of Canada) (Nov, 2018)
- $40 million a day (Rachel Notley, Government of Alberta) (Sept, 2018)
See the full cost of a delayed Trans Mountain pipeline here. If you’re currently unfamiliar with the project, here’s what you should know:
Trans Mountain Pipeline Facts
- Was originally proposed in response to requests by oil companies to help them reach new markets as the Trans Mountain is the only pipeline in North America with access to the West Coast
- It took 29 months for the NEB to review and conclude that the project was in the public interest of Canadians
- Its approval by the federal government was accompanied by a whopping 157 conditions
- The original Trans Mountain Pipeline was built in 1953 with a capacity to ship 150,000 barrels per day and has operated without catastrophe or marine incident ever since
- Since it was built, its capacity has been increased multiple times to a total of 300,000 barrels per day
- The recent expansion planned to basically twin the existing 1,150 kilometre pipeline between Strathcona County (close to Edmonton), Alberta, and Burnaby, British Columbia and bring operating capacity up to 890,000 barrels a day
- Part of the expansion includes 193 kilometres of “reactivated” pipeline, 12 new pumping stations and 19 new tanks to hold product at storage terminals in Edmonton, Sumas and Burnaby
Benefits of the Trans Mountain Expansion
- Will create new long-term and short-term jobs, job-related training opportunities and increase tax revenues for municipal, provincial and federal governments
- A total of $46.7 billion into government coffers during construction and the first 20 years of operation – can be used for schools, infrastructure, education, healthcare, etc.
- British Columbia would get $5.7 billion, Alberta $19.4 billion, and the rest of Canada $21.6 billion
- Is expected to generate $23.2 million additional municipal property taxes in BC and $3.2 million in Alberta – about double the current amount
- Estimated to generate over 800,000 direct, indirect and induced person years of employment during development and operations and changes in netback
- Approximately $480 million will be spent by construction workers & companies in nearby communities during construction - $381.7 million in British Columbia and $97.9 million in Alberta
- Community Benefit Agreements totalling $8.6 million along 95 percent of the pipeline's route to help communities improve infrastructure, local emergency management, parks and local education / training programs
*Sourced from TransMountain, Calgary Herald, CBC
Canada Does it Best
Canadian oil is produced to the highest environmental standards on the planet. Did you know that of the world’s top 10 oil exporters, Canada is the only nation to have carbon pricing initiatives!?
More Canadian oil is not only a win for Canada, but the global environment. What are we waiting for?!
Canada Needs Access to International Markets
We need to rally support for the Trans Mountain Pipeline expansion. Expanding this pipeline will give Canadian oil producers much needed access to markets in Asia and other parts of the world.
It will also allow Canadian producers to sell their oil for a higher price.
Enough with losing millions of dollars every day, money that could be reinvested back into our economy and used by government to pay for things like schools, hospitals and the professionals that staff them like teachers and nurses.
Contact your MPs office today via phone or email and let them know what you think about yet another delay in getting this pipeline built! Also see:
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