By The Canadian Press

B.C. creates more uncertainty for Trans Mountain with bitumen restriction

Jan 30, 2018 | 3:54 PM

CALGARY – The B.C. government is creating more uncertainty around Kinder Morgan Inc.’s Trans Mountain expansion project with a proposal to restrict any increase in diluted bitumen shipments until it conducts more spill response studies.

Provincial Environment Minister George Heyman says there needs to be more confidence in how well oil transporters are prepared to respond and fully mitigate the effects of a potential spill.

The government says it will establish an independent scientific advisory panel to make recommendations to the minister on whether, and how, heavy oils can be safely transported and cleaned up if spilled.

B.C. says it will also seek input from First Nations, industry, local governments, and environmental groups, as well as the general public over the coming months.

The restriction creates more uncertainty for the already delayed Trans Mountain expansion project, which would nearly triple the capacity of the current pipeline system to 890,000 barrels a day.

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The West Coast Environmental Law association cheered the proposal as a welcome safety measure and an important warning for Kinder Morgan.

Premier Rachel Notley responded to the decision, releasing the following statement.

“Having run out of tools in the toolbox, the Government of British Columbia is now grasping at straws,” the statement reads.

“The B.C. government has every right to consult on whatever it pleases with its citizens. It does not have the right to rewrite our Constitution and assume powers for itself that it does not have. If it did, our Confederation would be meaningless.

“Therefore, the action announced today by the B.C. government can only be seen for what it is: political game-playing. But it’s a game that could have serious consequences for the jobs and livelihoods of millions of Canadians who count on their governments to behave rationally and within their scope of authority.

“Rash actions like these send a message to the world that in B.C. and in Canada the rules are not what they might seem, and therefore jeopardize investment decisions and hundreds of thousands of jobs across of range of important industries.

“When I talk about investor confidence, I’m not only speaking about oil and gas development. I’m also talking about all cases where investors engage with lawmakers.

“Job creators need to be able to trust lawmakers. Today’s announcement suggests that in B.C. they cannot.

“British Columbians – indeed all Canadians – deserve better.”

(The Canadian Press)