Canada regulatory board greenlights Trans Mountain pipeline

May 19, 2016 | 1:14 PM

VANCOUVER — The National Energy Board has recommended that the federal government approve the contentious $6.8-billion Trans Mountain pipeline expansion with 157 conditions.

The federal regulator issued its long-awaited report Thursday on the project after a two-year debate that cost millions, galvanized aboriginal and environmental protests and prompted mass arrests.

A three-member review panel recommended Ottawa approve Kinder Morgan Canada’s proposal to triple the capacity of the pipeline, which carries crude from oilsands near Edmonton to Burnaby, B.C.

But Kinder Morgan will first have to address 157 engineering, safety, environmental and emergency preparedness conditions, including holding $1.1 billion in liability coverage and detailing its plans to reduce and offset emissions.

Kamloops expected to prosper from proposed pipeline

TransMountain pipeline as it currently lies cuts through Westsyde, the Kamloops North Shore, and Brocklehurst before tunnelling under the Thompson River.

That means any twinning construction will have a major impact on Kamloops residents and businesses.

North Shore Business Improvement Association Executive Director Steven Puhallo says it’s estimated that the construction would result in 42.4 million dollars in local economic impact.

And Puhallo adds that’s not the only benefit.

“This is something that we worked towards for the airport corridor upgrades, as the airport comes down through Tranquille Road into the rest of town. That was really dependent on the pipeline coming through. That makes it one step closer to becoming a reality,” said Puhallo.

The City of Kamloops, Thompson-Nicola Regional District, and several area First Nations have signed community benefit agreements with Kinder Morgan should the expansion be ultimately approved.
 

Final decision rests with the Liberal Government

The positive recommendation has cleared a major hurdle for the project, with Prime Minister Justin Trudeau’s cabinet set to make a final decision by the end of the year.

There was fierce opposition to the project and the process throughout the energy board’s hearing, with the British Columbia government and cities of Vancouver and Burnaby opposing the expansion.

The board said its decision was based on a thorough scientific and technical examination.

“Taking into account all the evidence, considering all relevant factors, and given that there are considerable benefits nationally, regionally and to some degree locally, the board found that the benefits of the project would outweigh the residual burdens,” the board said in a statement.

On Tuesday, the federal government announced details of an additional review on the pipeline. It appointed a three-member panel to conduct an environmental review of the project. 

It will provide a report in November to Natural Resources Minister Jim Carr, who said the panel cannot override the energy board’s decision but will consult, particularly with Aboriginal Peoples, “to see what the NEB might have missed.”

The company’s plan would add about 980 kilometres of new pipeline and reactivate about 190 kilometres of existing pipeline. The Westridge Marine Terminal beside Burrard Inlet off Burnaby would also be expanded.

Environmentalists demonstrated against the Trans Mountain project, including more than 100 people who were arrested and charged with civil contempt in the fall of 2014. Most of the charges were later dropped.

 

Quick Facts provided by the National Energy Board

  • The Trans Mountain Expansion Project proposes to expand the existing Trans Mountain pipeline system between Edmonton, AB and Burnaby, B.C., increasing the capacity of the existing Trans Mountain Pipeline System from 300,000 barrels per day (bpd) to 890,000 bpd.
  • Almost 90 per cent of the pipeline route for the Project parallels existing disturbance, which will reduce the need for new disturbance, and minimize the potential impacts of construction.
  • The Project includes approximately 987 km of new pipeline, new and modified facilities such as pump stations and tanks, and the reactivation of 193 km of existing pipeline. The Westridge Marine Terminal would also be expanded under the proposal.
  • The 157 conditions include regulatory and/or overarching requirements as well as requirements pertaining to project engineering and safety; emergency preparedness and response; environmental protection; people, communities and lands; economics and financial responsibility; and, project-related marine shipping.
  • The hearing began on April 2, 2014 when the Board determined the project application was complete and released its Hearing Order. There were two excluded periods in which the Board requested more information from Trans Mountain in order to proceed with the hearing. The hearing record closed on February 17, 2016 when Trans Mountain filed its final written reply argument.