PSAC urging federal government to uphold Canadian law in its handling of Kinder Morgan situation

PSAC President Mark Salkeld speaking at a conference in 2015. Photo by Gavin Young/The Calgary Herald

CALGARY, A.B. – The Petroleum Services Association of Canada is calling on the federal government to “uphold Canadian rule of law and our constitution after the B.C. Government announced it is proposing a ban on increased diluted bitumen shipments to the West Coast while a study is done on cleaning up the substance.

In a release, PSAC said that research and studies were conducted by the National Energy Board, the Canadian Energy Assessment Agency and the BC Environmental Assessment Office over a period of two years looking at the expansion of Kinder Morgan’s Trans Mountain pipeline expansion. The federal cabinet approved the project in 2016.

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The organization said that it views more proposed studies and regulations by the BC government as yet another tactic to cause delays in Kinder Morgan getting the Trans Mountain expansion built. In January, the company announced that the project was already one year behind schedule, and that further delays could cause the company to scrap it altogether. The release also pointed out the supposed double standard of Premier John Horgan supporting the development of an LNG export industry while opposing Trans Mountain.

“This is not the time for inter-provincial trade wars as we pursue free trade agreements with the US and Asian countries,” said PSAC President & CEO Mark Salkeld. “Investment capital is already fleeing Canada due to competitive concerns. Lack of certainty for major project development and infrastructure will not help but only serve to drive away even more potential investment and with it Canadian jobs and economic prosperity.”

PSAC also claims that the oil and natural gas industry is the leading contributor of private capital investment in Canada, and supports over 640,000 jobs across the country and over 700 businesses in B.C. The organization also said that Canadian producers are currently losing billions of dollars a year since they are only able to ship their product to the United States.

“Pipelines are the safest way to transport our energy which supplies us with the fuel we need for our vehicles, planes and transport for our food and other products; the fuel that provides us with our quality of life that so many take for granted and that those in developing countries who live in energy poverty can only dream of,” said PSAC Chair and Environmental Refuelling Systems Inc. CEO Scott Van Vliet. “We may want to move to renewable energy but it will take years and right now we need all forms of energy. Canada has one of the most robust regulatory regimes in the world with leading environmental standards. Canadians should be proud to supply the world with our responsibly developed oil and natural gas for a better quality of life.”

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