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As politicians weigh in on KXL cancellation, Trudeau remains silent

“Where is the Prime Minister on this?” Scott Moe tweeted.

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Politicians from most federal and Alberta parties have thrown in their two-cents worth on the looming cancellation of the Keystone XL pipeline expansion – everyone that is, except Prime Minister Justin Trudeau.

Trudeau has made no comment since it was reported last night that US President-elect Joe Biden would cancel the US$8 billion pipeline project the first day he’s in office on January 20.

His office said Monday morning he has no public comments planned.

Alberta Premier Jason Kenney – whose UCP government invested $1.5 billion of taxpayers money in the Keystone XL pipeline expansion project – says he’s “concerned” about the reports. Along with the direct cash investment, Alberta gave TC Energy a $6 billion loan guarantee in 2021. Cancellation of the project could be potential ruinous not for both Alberta’s economy, and government finances.

And if Biden does cancel the project, Kenney said he will sue.

“The risk surrounding the Keystone XL pipeline has been very obvious for some time. Nevertheless, Jason Kenney jeopardized up to $7.5 billion of Alberta taxpayers’ money on this project and now we’re learning it may be stopped altogether,” said NDP leader Rachel Notley.

“While there’s no question that the successful completion of KXL can be beneficial to Alberta’s economy, the Premier has never come clean on the economic and risk analysis associated with his massive gamble.

“From the moment that Albertans’ dollars were put at risk, Jason Kenney has also continued to reject the importance of a strong environmental and climate policy that would help make the case for KXL.

Notley tweet

“With KXL facing critical moments in the coming days, Albertans deserve to know exactly how much of their money is at stake. Jason Kenney and the UCP need to stop hiding this deal from Albertans and finally release it in its entirety.”

Saskatchewan Premier Scott Moe expressed disappointment over the news.

“Construction of this project should be a top priority for Canadian-U.S. economic relations. It is critical to North American energy security, will have a tremendous employment impact north and south of the border and has garnered significant indigenous support,” said Moe.

Moe Tweet

“Environmentally, Keystone will reach net-zero emissions when it first turns on, and will be powered by 100 per cent renewable energy by 2030.

“While I am urging the Prime Minister to leverage his relationship with Mr. Biden, Saskatchewan will continue exercising our contacts in Washington D.C. to advocate for the continuation of this project that clearly benefits both of our nations.”

Maverick Party interim leader Jay Hill expressed his frustration at the reported cancellation.

“The devastating and ill-informed decision to kill Keystone XL reinforces the need for every province to have the constitutional right to bring its natural resources to market for the benefit of that province and its citizens,” said Hill in a statement.

“Alberta should have the constitutional right to take the lead in negotiating with the United States to secure market access, rather than an ineffective and weak federal Liberal government with a proven anti-oil agenda.

“This short-sighted and ill-advised decision does nothing to combat climate change, but merely attempts to appease environmental groups who support US energy projects at the expense of Western Canadian jobs.

“We strongly condemn this decision and the Trudeau government that has shown little opposition to this crushing blow to the West’s economy.”

NDP Leader Jagmeet Singh, on the other hand, warming greeted Biden’s decision.

“I agree with that decision. I do not support the project,” Singh told reporters.

“This is the direction that the future requires, we’ve got to fight the climate crisis.

“Global markets are clearer than ever that the jobs of the future are jobs that help us fight the climate crisis and that’s where we need to make investments. Justin Trudeau has failed on this.”

During the Democratic primaries and campaign, Biden vowed to kill the pipeline, large portions of which have already been built in Alberta. He made the vow before Alberta invested it’s $1.5 billion and made $6 billion in loan guarantees.

The Democratic candidate and the vice president-elect, Kamala Harris, have also said in the past they would put an end to fracking, a promise they did not repeat during the campaign.

The Keystone pipeline runs from Alberta to refineries in Illinois and Texas.

The new pipeline would run from Hardisty, Alberta to Steele City, Nebraska.

And Moe asked a final question Monday morning.

“Where is the Prime Minister on this?” Moe tweeted.

…. more to come

Dave Naylor is the News Editor of the Western Standard
dnaylor@westernstandardonline.com
TWITTER: Twitter.com/nobby7694

Dave Naylor is the News Editor of the Western Standard and the Vice-President: News Editor of Western Standard New Media Corp. He has served as the City Editor of the Calgary Sun and has covered Alberta news for nearly 40 years. dnaylor@westernstandardonline.com

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6 Comments

6 Comments

  1. That's Dr. #SAND to you...

    January 20, 2021 at 5:24 pm

    Justy bought new pipeline socks!

    We’re saved, again!

  2. Charles Martell III

    January 19, 2021 at 4:48 pm

    Justin & Butts are jumping for joy . . . as Canada fades into the sunset . . .

    Anyone who thinks this country will run on Windmills & Solar Panels is smokin Crack, just like Hunter Biden . . . the family Bag Man !

  3. Mars Hill

    January 19, 2021 at 12:28 am

    Where is JT, anybody seen him lately?

  4. Guest

    January 18, 2021 at 7:15 pm

    The caption on this photo says “Can Biden pick up where Obama & Trudeau left off?”.

    I am thinking President Elect Biden & our Crime Minister Trudeau have a quip pro quo going.

    Well known that Trudeau has hostilely targeted & solely singled out Alberta with his hostility towards our oil and gas industry. Trudeau hasn’t applied the same regulations or bills equally across Canada concerning oil & gas. That, is a direct abuse of Prime Ministers Powers. Premier Kenney needs to step up or step away because Mr. Kenney you are a lame duck Premier.

    https://uploads.disquscdn.com/images/29ac590803a871e6d2057410e956130c737e91696f3c593e8c415fd729ba1914.jpg

  5. godot

    January 18, 2021 at 3:06 pm

    Why is anyone surprised? From the get-go, Trudeau told us that he intends to phase out the fossil fuel sector of the economy.

    • Charles Martell III

      January 19, 2021 at 4:48 pm

      Everything in Canada depends on Oil & Gas . . . there is no country on the planet that gets by without them . . . except may Zimbabwe & Venezuela where they can’t even load a tanker today!

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Energy

AER focusing on several energy companies for shoddy work

Last month, the AER shut down the operations of foreign-owned enterprise SanLing Energy after years of not paying landowners, municipal taxes or local vendors.

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Several Alberta-based energy companies continue to face scrutiny by the Alberta Energy Regulator (AER) over repeated failures to pay fees owed and clean up regional well sites.

Last month, the AER shut down the operations of foreign-owned enterprise SanLing Energy after years of not paying landowners, municipal taxes or local vendors.

SanLing Energy also owed $67 million in security payments to the AER related to well sites and infrastructure decommissioning.

Despite their repeated failure to comply with past maintenance and cleanup orders, SanLing harvested over 3,781 BOE (Barrels of Oil Equivalent) per day from Alberta’s oil mineral reserves for years.

“If SanLing, or any company, wants to do business in Alberta, they must follow our rules. We cannot allow a company that has ignored the rules to continue to operate — that’s not in Alberta’s interest,” said Blair Reilly, AER’s director of enforcement and emergency management.

“Repeated attempts by the AER to bring SanLing into compliance have failed. As a result, the AER has little confidence in SanLing’s ability to conduct its operations safely and is taking this measure to protect the public and environment and to minimize financial risk.”

Despite the outstanding issues, AER’s compliance dashboard flagged SanLing six times previously.

In September 2020, the company failed to pay a security deposit, was unable to abandon dozens of wells as required and improperly stored waste.

They also failed to decommission 2,266 wells, 227 facilities and 2,170 pipelines and did not adhere to regulator orders to complete a detailed operation plan for their suspension tenure.

Sustaining Alberta’s Energy Network’s President Kris Kinnear, an energy advocate and landowner, has growing concerns about how long the energy producer continued to operate in Alberta despite repeated failures to the province and its partners.

“They harvested our provincial resources for years, without paying landowners, municipal taxes, or the vendors that service their oilfields. This left the Government of Alberta to deal with these liabilities,” said Kinnear.

He said the best solutions to these issues often come from the industry itself because their success and their future relies on having a sustainable industry.

“I feel that we can be innovative and by utilizing industry experts and what Alberta has to offer, a system could be created to help the companies that have liability issues so that they can become good corporate citizens in Alberta,” he said.

“They can become part of the solution instead of being the problem.”

Two weeks ago, the AER also announced it would direct the Orphan Well Association (OWA) and working interest partners of another Calgary-based Energy company Mojek Resources Inc. to take over its wells and facilities after the company failed to clean up multiple spills and comply with multiple orders.

The regulator says the escalation of enforcement was deemed necessary when the Calgary-based company failed to comply by March 5 with an order issued January 4 requiring the suspension of its wells and facilities, discontinuation of its pipelines and demonstration of proper care of all of its assets.

The AER said the OWA and Mojek’s partners are to suspend all of its oil and gas assets and ensure they are left in a safe state while addressing non-compliances at Mojek sites and confirming a working emergency response number.

It said Mojek holds AER licences for 32 wells, 35 pipelines and one facility and owes $1.76 million in security to the AER for its end-of-life obligations, along with debts to the OWA and the AER.

“We work with licensees to ensure they understand Alberta’s rules, and the majority of companies follow those rules,” said Reilly.

“When they don’t, we take action to protect public safety and the environment.”

Dhaliwal is a Western Standard reporter based in Edmonton

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Energy

Energy advocate furious no oil and gas companies at Calgary climate change conference

There were no oil and gas contributors in the 3,000 participants in the two-day Calgary climate change conference.

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An oil industry advocate is furious the City of Calgary didn’t have any industry representatives at their annual climate change conference.

Deirdra Garyk has written a letter to Mayor Naheed Nenshi and other city council members demanding an answer as to why there were no oil and gas contributors in the 3,000 participants in the two-day conference March 25-26.

“I attended the City-sponsored annual Climate Symposium last week that discussed how climate change is impacting Calgary and what innovative solutions could be implemented. These issues are top-of-mind for many, and it’s not the overall topic that I’m concerned about; it’s some of the speakers,” wrote Garyk in her EnergyNow blog.

It was titled “Is the City of Calgary giving the “middle finger” to the the oil and gas industry?”

She said the keynote speaker was Bruce Lourie – the Toronto-based Ivey Foundation president, who helped form the Task Force for a Resilient Recovery and played a role in Ontario’s Green Energy Act.

Garyk noted other speakers included Ed Whittingham – the former Executive Director of the Pembina Institute “who became famous when he encountered backlash after being appointed to the Alberta Energy Regulator’s Board by the NDP.”

Staff from the Pembina Institute also presented, with Garyk describing them as an organization “that’s actively campaigned against the fossil fuel sector.”

“What was noticeably missing from the roster were members from Calgary’s oil and gas industry that are working on innovations while providing the city and the country with reliable, affordable energy,” Garyk wrote.

“In fairness, there were two staff from ATCO discussing the topic ‘Innovation and Decarbonization in Natural Gas Distribution’, which was a fascinating presentation on the technology their company is working on in the fields of hydrogen and renewable natural gas; it’s important research and something all Calgarians should be proud of.”

“However, that is not the only innovative work being done by Calgary-based energy companies. Why wasn’t there a presentation from such organizations such the Clean Resource Innovation Network (CRIN) or Canada’s Oil Sands Innovation Alliance (COSIA)? Were they given an opportunity to present but chose not to? If so, did they feel welcomed to the symposium?”

“The City needs to engage with the oil and gas sector to help with the economic recovery and the energy transition. Yes, the City has to be innovative, but not at the expense of the industry and the people that made Calgary what it is today. The climate strategy needs to include and work closely with the oil and gas sector.”

Garyk warned members of the oil and gas industry might take their frustrations out on council in voting against them in the upcoming October elections.

“If Council doesn’t support oil and gas workers, maybe oil and gas workers shouldn’t support Council, especially those members who are running for re-election in October.  Calgarians should be asking their current council member and anyone running in the October municipal election some hard questions about their support for the oil and gas sector, especially in light of the of invited speakers to this symposium and lack of representation from the oil and gas industry.”

Late Tuesday, the city replied to the Western Standard for comment.

“The City of Calgary hosted the annual Calgary Climate Symposium to increase awareness of local climate risks and causes as well as knowledge of practical climate mitigation and adaptation actions for citizens; increase opportunities for sharing of best practices and innovative solutions to climate resilience for the Calgary business community; and explore how Calgary can leverage economic recovery from the COVID-19 pandemic to unlock new business opportunities and strengthen climate change resilience,” said a statement

“The City sought out experts who could deliver content for the two-day virtual event based on the goals of this year’s Symposium, which focused on practical actions for citizens and solutions to climate resilience for the Calgary business community-at-large, to help reduce emissions and risk to climate impacts within Calgary. The City of Calgary collaborated with a broad spectrum of organizations with diverse perspectives to support and deliver this year’s Calgary Climate Symposium including the Alberta Council for Environmental Education, Alberta Ecotrust, ATCO, BILD Calgary, BOMA Calgary, Canadian Business for Social Responsibility, Calgary Airport Authority, ENMAX, the Pembina Institute, the University of Calgary and more.”

Dave Naylor is the News Editor of the Western Standard
dnaylor@westernstandardonline.com
Twitter.com/nobby7694

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Energy

UPDATED: Chevron stops funding Kitimat LNG project feasibility work

Calgary-Centre Conservative MP Greg McLean laid the blame for the funding halt squarely on the feet of the federal Liberal party.

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In another blow to Canada’s energy industry, Chevron says it will halt its feasibility funding on the massive, Kitimat LNG project on B.C.’s north coast.

Chevron, which is active in 180 countries, holds a 50 per cent stake in the project with Australia’s Woodside Petroleum Ltd.

Project operator Chevron put its interest up for sale in December 2019, but has failed to find a buyer.

The Canadian Press reported when the company put its stake up for sale, it said it would continue to work with Woodside on agreed project activities that brought value or were required for regulatory and operational compliance.

“But in a statement on its website this week, Chevron says that it now plans to stop Chevron-funded further feasibility work,” The Canadian Press reported.

“The project includes upstream resource assets in the Liard and Horn River Basins in northeast B.C., the proposed 471-km Pacific Trail Pipeline and plans for a natural gas liquefaction facility at Bish Cove near Kitimat, B.C. 

Calgary-Centre Conservative MP Greg McLean laid the blame for the funding halt squarely on the feet of the federal Liberal party.
 
“After 15 months of looking for an interested party, Chevron Canada has come to the conclusion that no one is prepared to buy their 50 per cent stake in the Kitimat LNG project, thanks to the Liberal policies and practices that continue to drive investments and jobs out of Canada,” said McLean, Conservative Shadow Minister for Natural Resources.
 
“Liquified natural gas (LNG) from this project would be some of the cleanest in the world, and would displace dirtier and more costly energy resources like coal, and LNG from the Gulf Coast.
 
“Losing this project would be a major blow for local First Nations that support the project and would see investments and good-paying jobs leave their communities. Failing to get this project built is not only a lost opportunity to reduce global emissions, it is also a lost economic opportunity for local First Nations communities and the rest of Canada.
 
“Canada has become an unreliable jurisdiction to invest in because the Liberal government makes up rules and regulations as they go. The uncertainty this creates is driving away investments, jobs, and opportunities.
 
“This project, representing a $24-billion investment and 4,500 construction jobs plus ongoing employment, reflects everything the Liberal government says it wants in an energy project, including rigorous indigenous consultation and environmental considerations. It is concerning that even a project like this has trouble being built in Canada.
 
“There is no time to waste as the world waits for the solutions that Canada is best positioned to provide. Conservatives will work to secure a future where responsible, world-class energy projects can get built. It’s time we did better.”

Dave Naylor is the News Editor of the Western Standard
dnaylor@westernstandardonline.com
TWITTER: Twitter.com/nobby7694

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