Whichever one of you is entrusted with the opportunity to lead Alberta into the future after the provincial election, here is what you need to know to navigate the most challenging issue in your province’s history — the era of stranded assets in the oilsands.
The main argument against expanding fossil fuel use is catastrophic global warming. If you accept that, then economic and employment counterarguments had better be solid.
As an Alberta-born-and-raised earth scientist who has made a career studying fossil fuels and energy issues, I am dismayed at the bombardment of ads from the Alberta government on the Trans Mountain pipeline expansion.
Trans Mountain is on track to deliver Canadian oil producers a $2-billion taxpayer-funded toll subsidy for capacity on its existing pipeline and has asked the federal pipeline regulator, the National Energy Board (NEB) for permission.
If the NEB approves the toll application Trans Mountain has filed with it, it will shift the burden for the roughly $3 billion Ottawa paid to buy the regulated assets onto Canadians, rather than into tolls charged to shippers where the recovery of these costs belongs.
Morneau may not have been fleeced, but certainly paid at the high end of the valuation scale, apparently assuming that everything would proceed smoothly
January 31, 2019
The sticker price Kinder Morgan put on the Trans Mountain pipeline when it entered negotiations with the federal government last year was $6.5 billion. Hence, finance minister Bill Morneau and his team thought they’d scored a bargain when they sealed the deal at $4.4 billion.
But it looks increasingly like he may bought a cat in a sack.
