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Monday, April 16, 2018

KMI Trans Mountain Pipeline -- Previously Posted -- April 16, 2018

Previously posted:
Kinder Morgan (technically Kinder Morgan Canada Limited, I guess): Canadian pipeline, Trans Mountain pipeline -- I find this story most interesting on so many levels -- PM Justin Trudeau says the pipeline will be built.
Prime Minister Justin Trudeau is pledging financial backing and legislation to ensure that the Trans Mountain pipeline expansion is completed, after B.C. Premier John Horgan gave no ground at a hastily called meeting in Ottawa on Sunday.
Emerging from a two-hour session on Parliament Hill, Mr. Trudeau and Alberta Premier Rachel Notley made it clear that their respective governments are determined to see construction proceed this summer, despite legal and political challenges from B.C. and protests on the ground.
Read this closely:
On Sunday, Mr. Horgan continued to insist that he has an obligation to protect B.C. coasts from oil spills and said his government will pursue a reference in federal court to clarify his government’s authority to regulate transportation of oil-sands bitumen through the province.
“We continue to disagree on the question of moving diluted bitumen from Alberta to the port of Vancouver,” he said.
He added, however, that he will stand down if the court rules against his government. The B.C. Premier said the tone of the meeting was cordial, noting that Mr. Trudeau assured him Ottawa would not pursue measures to punish B.C. over its pipeline position.
Something tells me this story is not going to end well for Alberta.  As soon as I read that the BC Premiere John Horgan will take this to court tells me this is not going to end any time soon -- unless Canadian judicial system works a whole lot faster than the US court system.

Also, note, PM Trudeau says legislation will be passed -- think about this -- I can't believe the legislative process is going to happen overnight on this project, and then, according to the provincial premier, he will take that legislation to court. 

Remember: there are almost 1,200 BC provincial permits required -- almost 1,200 -- these are not simply one-postcard-size permit applications. These applications are probably an inch thick (or more) of supporting data. Six hundred have not even been submitted yet.
  • of the 587 permits the company has submitted:
    • 201 have been approved
    • 386 are under review
I've been told by a reader much smarter than I am regarding these judicial / political issues, that the pipeline will be built. "Arrangements" will be made to ensure the pipeline will be built.

Right now, this is where I see the process:
  • Kinder Morgan: no change; will not start work now that the BC premier says he wants the courts to rule on the legality of the federal government; Kinder Morgan will wait to see how the court rules, or if the BC premier "changes his mind"
  • British Columbia: it sounds like "they" have dug in their heels on this issue
  • if the Canadian Supreme Court rules in favor for Premier Trudeau, the next question will be whether those 1,187 permits all need to be approved
  • my understanding is that many (most?) of the provincial permits are "indigenous-native-based" issues and that the federal government would have supported these issues in the past
  • Horgan originally said he/his province was not against / not delaying the pipeline -- he/his province simply wanted to make sure the environment was protected, and that all i's and t's were dotted and crossed before the pipeline would move forward; but having said that, they are fully supportive of the pipeline and can't wait to see it finished 
And finally this: the Business Insider article says the meeting was cordial. Of course the meeting was cordial. This is Canada, not New York City.

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