The Liberal majority win for Justin Trudeau on Monday likely spells the demise of Enbridge’s proposal to build the Northern Gateway oil pipeline through northern B.C.
Trudeau said during the election campaign that he opposed the project, telling The Vancouver Sun that “the Great Bear Rainforest is not a place for an oil pipeline.” He also promised a moratorium on oil tankers on the north coast, which would effectively kill the $7.9-billion Gateway project.
But don’t count out Kinder Morgan’s $5.4-billion Trans Mountain oil pipeline expansion in southern B.C., which would increase tanker traffic in Burrard Inlet.
That project could be delayed as the Liberals work out a promised reinvigoration of the environmental assessment system watered down by the Conservatives. But during the campaign, Trudeau told The Sun that Vancouver and its surrounding waters have a long industrial past and that it’s important for Canada to transport its resources to market.
B.C.’s liquefied natural gas export plans — which include proposed pipelines and terminals on the coast — don’t appear to face any obstacles from a Liberal government in Ottawa other than a promise to more vigorously engage First Nations. Trudeau has said he is open to LNG tankers on the north coast of B.C.
Liberal Jonathan Wilkinson, who won the North Vancouver riding over Conservative incumbent Andrew Saxton, said Tuesday that it is important that Canada find a way to develop the economy and its natural resources and protect the environment.
“We can’t say no to everything. We need to find a path to saying yes, but in a manner that people are comfortable that yes means that we have addressed the fundamental issues,” said Wilkinson, a former environmental technology company CEO whose riding touches the Burrard Inlet.
It’s critical because resource development helps fund areas like education and health care, he said.
Wilkinson minced no words on the prospects for Northern Gateway: “In my mind — and I think Mr. Trudeau has been pretty explicit on this — Northern Gateway is dead.”
And he said the Liberals must quickly develop an environmental assessment system in which the public has faith.
“Then Kinder Morgan will have to make sure it will meet the new requirements of the new process if in fact it’s going to proceed,” said Wilkinson.
Enbridge and Kinder Morgan had muted responses Tuesday to the Liberal majority win.
In a written statement, Enbridge spokesman Ivan Giesbrecht said the company looked forward to the opportunity to sit down with Trudeau and his government and provide an update on progress and partnerships with First Nations and Métis people.
The project already has conditional approval from the federal Conservative government, but has been stalled by First Nation opposition, including in a Federal Court challenge heard earlier this month.
In a written statement, Kinder Morgan Canada president Ian Anderson said he looked forward to briefing the new federal Liberal government on the project and working constructively with them.
Kinder Morgan’s federal review is expected to be complete in the spring.
University of Carleton energy economist Andre Plourde said if opponents expect all oil pipeline projects to be stopped under Liberal rule, they will be disappointed. Politically, Trudeau may trade off Northern Gateway for the go-ahead of other oil pipeline projects, he suggested.
The Liberal promises have created high expectations among opponents.
Living Oceans Society executive director Karen Wristen said they want the Liberals to carry through quickly on the tanker moratorium, new environmental assessment rules as promised and make Kinder Morgan reapply under the new rules.
The B.C. Liberal government does not appear concerned the change in federal government will harm the prospects of LNG projects.
“Any conversations I’ve had with anybody on the federal level, it’s always been that they understand how important this is to the GDP of the country, and whoever is in government would understand that,” said Natural Gas Development Minister Rich Coleman.
