By Roger White

Locals have mixed feelings on federal pipeline purchase

May 30, 2018 | 12:00 PM

Yesterday’s announcement by Finance Minister Bill Morneau that the Liberal government intends to purchase the Trans Mountain pipeline project from Kinder Morgan for $4.5 billion is generating mixed reactions.

The controversial pipeline expansion has been under scrutiny by the B.C. government, environmentalists and Indigenous communities since it was announced, and is responsible for tensions between B.C., Alberta, Saskatchewan and the federal Liberal government. Battlefords Lloydminster M.P. Rosemarie Falk said the government has once again dropped the ball on this project. Falk said she has concerns that the price may be higher than what was announced.

“I certainly see this as a huge mistake by the Liberals, because it will be put on the backs of the taxpayers,” Falk said. “It’s $4.5 billion now, but we have asked the question in the House, ‘what will the total cost be?’ and we have yet to get a dollar figure.”

The original cost of the Kinder Morgan Trans Mountain pipeline was expected to reach $7.4 billion and create an estimated 15,000 jobs during construction. The Alberta government has said since it has a vested interest in the project being completed, it would provide an emergency fund to cover any cost overruns.  

“We have private investors who have money, who just want to see this pipeline built,” Falk added. “They just needed the federal government to force what was already decided and they failed.”

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Even though the Saskatchewan Chamber of Commerce supported the move, Battleford’s Chamber of Commerce President Terry Caldwell felt the Trudeau government should have enforced the law and got the project started rather than buying it.

“The government had every right to build that pipeline and should have enforced the laws,” Caldwell said. “The B.C. government is overstepping their bounds as this project falls under federal jurisdiction and the feds received all the approvals to proceed but they didn’t.”

Caldwell was also concerned with how this project will affect the taxpayers.

“I think the government should have used private money to build the pipeline the way that they originally intended to,” he said. “I know if I were an investor I would be a bit disappointed right now.”

Tuesday’s announcement came two days before Kinder Morgan’s deadline of May 31 to get a commitment that the pipeline would indeed be constructed. In April, the company suspended non-essential activities related to the pipeline citing concerns of putting shareholders at risk on the remainder of the project.

To have your say in our battlefordsNOW poll on the Trans Mountain Pipeline project, click here.

roger.white@jpbg.ca

On Twitter: @battlefordsNOW