Meeting with PM won't force BC off its pipeline stand: environment minister

Ann Santiago
April 13, 2018

Trudeau has called the meeting for Ottawa amid increasing public pressure to resolve the impasse over Kinder Morgan's pipeline from Edmonton to the port at Burnaby, B.C.

Following an emergency federal cabinet meeting Tuesday in Ottawa, Morneau wouldn't speculate on whether penalizing B.C. financially _ such as by withholding transfer payments _ remained an option.

Kinder Morgan Canada (OTCPK:KMLGF) said earlier this week it will scrap the C$7.4B expansion project from Alberta to the west coast unless all legal and jurisdictional challenges are resolved by May 31, but a government source tells Reuters that "there aren't an terrible lot of options for the prime minister".

Notley said the bill would deal with how the government issues licences and places conditions on export licences.

She said that includes limiting where the product goes and how it is transported.

"I'm not going to publicly negotiate with any one of the parties", he said.

The federal Liberal government, citing its jurisdiction over infrastructure projects that cross provincial boundaries, granted approval of the project in 2016. Substantial work has not yet begun, however, thanks to protests from environmental groups and court challenges that aim to prevent construction.

The B.C. government, meanwhile, indicated it is prepared to proceed with a reference to the federal court to determine whether it can restrict the flow of oil-sands bitumen through the province in order to protect its environment from oil spills and the dramatic increase of crude-oil tankers in Vancouver Harbour and coastal waters. A decision in that case is expected any day.

Laura Jones, the executive vice-president of the Canadian Federation of Independent Business, accused the B.C. government of "creating mayhem and mischief with respect to a project that has already been approved".

The Alberta government will introduce legislation on Monday created to put pressure on B.C., including the right to cut shipments of oil and gasoline, driving up pump prices. He said Wednesday that Trudeau's plan to leave the country in the midst of a red-hot pipeline dispute is "troubling".

At stake is Kinder Morgan's C$7.4 billion (US$5.9 billion) project that they say will be scrapped unless something gets done to stop the opposition.

Many called out Cavers for being disrespectful and not having British Columbians' best interest at heart, while others supported his move.

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