“It’s devastating, and in the big picture, it’s very alarming for the future of energy development in Canada.”
Shadow Minister for Canada’s Natural Resources and Lakeland MP Shannon Stubbs described the court’s decision to put a stop to the Trans Mountain Pipeline expansion as a “colossal failure.”
On Thursday, Aug. 30, the Federal Court of Appeal ruled the Canadian government failed to do their due diligence when it came to consulting with Indigenous communities regarding the Trans Mountain expansion.
“It’s stunning incompetence and failure, but it’s also devastating news for the hundreds of thousands of Canadians whose livelihoods depend on the energy sector,” Stubbs expressed. “It’s a disastrous signal for private sector investors in energy in Canada.”
Executive director for the Bonnyville and District Chamber of Commerce Serina Parsons agreed with Stubbs that the decision will influence the Lakeland greatly.
“The halting of the Trans Mountain Pipeline is going to have very negative impacts on our area. A lot of areas in Alberta have seen some economic recovery, but as we know, here in the Lakeland, we haven’t seen that same recovery,” Parsons added. “We had a lot of hopes that this pipeline would allow our economy to increase and our businesses to not only exist, but thrive once again. Now, this is a really big blow to our area.”
In the spring, the federal government announced the purchase of Kinder Morgan’s Trans Mountain Pipeline, a move Stubbs believes was unnecessary and very costly to Canadians.
She said instead of exerting the rule of law and federal jurisdiction, and taking action against the B.C. government’s backlash for the project, the Government of Canada said “spending billions of tax dollars would be the solution that (the expansion) would go ahead.”
“The finance minister has come in and said their priority is to de-risk the project through this purchase. The court has just said they can’t go ahead with building it. They’ve spent billions to buy a pipeline and today it looks like they can’t build the expansion.”
What Canadians need to see, Stubbs noted, is a solution.
“It’s incumbent on the government to urgently show Canadians exactly what they’re going to do as next steps and how they’re going to ensure the Trans Mountain expansion proceeds, because they bought the pipeline.”
Stubbs wondered why the federal government didn’t use the quashing of the Northern Gateway Pipeline as an example.
The project was shutdown in 2016 for the same reason the Federal Court has vetoed the Trans Mountain expansion.
“The court had made a decision about the Northern Gateway Pipeline that there had to be additional consultation with Indigenous communities, and the prime minister had a choice at that time where he could have instructed additional timelines for consultation with Indigenous communities on the Northern Gateway. Instead, he outright vetoed that opportunity for exporting Canadian oil to the Asia-Pacific, which is the fastest growing market for oil demand,” Stubbs said. “Obviously, they took no lessons or learnings from the ruling on Northern Gateway, and failed to front-end it and the approval process of the Trans Mountain expansion.”
Stubbs noted, the government denied Northern Gateway additional time for consultation the same day they approved the Trans Mountain expansion.
“The Liberals are creating a scenario with which when they came to office, there were four viable pipeline proposals on the table. Trans Mountain is the last one hanging by a thread,” she stressed.
In response to the issues surrounding the Trans Mountain expansion, Premier Rachel Notley has announced Alberta will be pulling out of the federal climate plan.
“With the Trans Mountain halted, until the federal government gets its act together, Alberta is pulling out of the federal climate plan,” she said in a release.
Although the province will no longer participate in the Canadian climate change plan, the province’s will remain strongly intact.
“I don’t take this decision lightly. Every Canadian has a stake in climate action - no more than my kids, your kids, and the generations who will follow us,” Notley continued. “But Alberta, and indeed Canada, can’t transition to a lower carbon economy, we can’t build a more just, equal and prosperous society - we can’t do these things if we can’t provide the jobs and prosperity that comes from getting fair value for our resources.”
Bonnyville-Cold Lake MLA Scott Cyr wishes the province would have taken a more proactive approach.
“This is largely a symbolic move by our premier. In the end, we’re not actually doing anything. All that’s happening here is we’re more or less continuing to take on this hardship for families in our areas.”
He added, he would prefer to see the provincial government “send a stronger statement to Ottawa,” by removing the Alberta carbon tax altogether.
“We really do need strong messages, not just ‘we’re going to remove ourselves from the federal climate change plan.’ It needs to be an actual action, something that will need decisions in Ottawa.”
Parsons said although the news that the Trans Mountain expansion is unlikely to move forward is disheartening, it’s important that the federal government be held accountable when it comes to Indigenous consultation.
“The talks with Indigenous communities are very important, and that’s why this is not going forward right now, “ expressed Parsons. “We need to remember why this decision has happened and note that it’s important that our Indigenous communities be consulted.”
Now, Stubbs and other MPs will be working diligently to find out the federal government’s plan moving forward.
“The federal government needs to get on top of this right away. They need to appeal this in the Supreme Court, and send a message that Alberta and Canada is affected when we can’t get these large projects done,” Cyr stated.
For the local MP, the expansion not only means further development in Canada, it also ensures the livelihood of her constituents.
“Oil and gas developers and pipeline workers throughout the Lakeland are looking at this and know this is a major risk to the future of their families, their livelihoods, their jobs, and to development here,” said Stubbs. “That’s why the federal government providing a clear path forward for pipeline construction in Canada is a top priority for residents in Canada and those in the communities of the Lakeland.”
