N.L. premier pleased Ottawa buying Kinder Morgan pipeline

N.L. premier pleased Ottawa buying Kinder Morgan pipeline

A aerial view of Kinder Morgan's Trans Mountain marine terminal in Burnaby, B.C. The federal government is spending $4.5 billion to buy Trans Mountain and all of Kinder Morgan Canada's core assets.

While Ottawa has said it wants to put the pipeline back in private hands before the deal closes this summer by offering to indemnify any future owner against losses due to delays caused by other levels of government, Masson said he can't see any companies reaching for their chequebooks.

The price does not include any additional costs of expanding the pipeline.

The mercury, and tempers, were rising in the House of Commons Wednesday, as politicians sparred over the Liberal government's controversial nationalization of the Trans Mountain pipeline.

"While accretive options may be surfaced, we do not see a potential transaction as sufficient to offset the potential upside from the Trans Mountain expansion project", the report said. "For too long we have relied on one trading partner for our oil and gas exports", Carr said. But it will also miss out on the significant upside it could have gained if it were able to take the project to completion.

But even if the Keystone XL pipeline is built, Canada is still selling 99% of its oil to refineries in the USA and that narrow market means they now get far less per barrel than they would if they had access to an alternative market.

"This indemnification would allow Kinder Morgan to finish what they started - what they received federal and B.C. provincial approval to do".

But it wasn't just First Nations and environmentalists. The remaining 20 per cent of capacity was to be made available to spot shippers at a premium that could add another $200 million a year.

In recent months, thousands have protested against the project across Canada. "Really the only difference is Kinder Morgan's convinced Canada to pay for the project".

Kinder Morgan's Trans Mountain subsidiary inked a profit-sharing pact with the B.C. government on April 6, 2017, after then-premier Christy Clark agreed to support the expansion project.

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But the finance minister has been pressed on the possibility that future costs could well exceed that number, as the company has previously pegged the total expansion cost at $7.4 billion. BC's opposition had almost killed the project...and still might finish it off despite the gamble by the federal government to nationalize the pipeline system.

Morneau criticized the New Democratic Party (NDP) government in British Columbia for creating "political uncertainty" and making it hard for Kinder Morgan to proceed with the project. "I didn't think the government was actually this stupid to buy a pipeline that has 17 court cases against it".

The big environmental groups are already announcing that the new project is doomed.

The Trudeau government approved the project with 157 conditions on November 29, 2016.

Horgan continued to say that it doesn't matter who owns the pipeline, what matters is defending the province's coast, lands, rivers and streams from the impact of a dilbit spill.

"The politics are - the company is out of it, the government is in it".

Trudeau responded by invoking the name of the late former Alberta premier Peter Lougheed, who assisted oilsands development with public funding, several times.

Trudeau has been animated about the need to protect Canadian values, but there is no Canadian value more important than the rule of law, the foundation of all the other values in society.

Once upon a time, the idea of a dual-pronged policy of a pipeline and carbon pricing seemed like a clear political victor: polls showed a majority in every region of the country supported (or at least accepted) the development in tandem of a floor price on carbon and a new pipeline.

In British Columbia, Premier John Horgan said his government will keep fighting the project in the courts.

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