Alberta dismisses B.C. demand for more pipeline revenue
The Alberta government is dismissing British Columbia's demand for a greater share of the revenue from Enbridge's proposed Northern Gateway pipeline, saying it is not in the national interest.
The B.C. government says it wants a "fair share" of the revenue from the proposed crude oil pipeline before it approves the project, in order to compensate the province for taking on the majority of the environmental risk.
Under the current terms, B.C. Environment Minister Terry Lake said, British Columbia would get only a small share of the pipeline revenue while assuming 100 per cent of the marine risk for the port terminal and tanker traffic on the West Coast, and 58 per cent of the land-based risk for the pipeline.
But Premier Alison Redford said in a statement that B.C. is pitting one province against another, rather than doing what is best for Canada as a whole.
"Leadership is not about dividing Canadians and pitting one province against another. Leadership is about working together. That’s when our country benefits, that’s when Canada leads," said Redford.
The Alberta premier said the additional safety measures proposed by Enbridge last week should quell any concerns about the environmental risk.
"The fact that pipelines are still by far the safest means by which to transport oil, significantly mitigate the environmental risk and weaken the B.C. government’s argument for compensation based on potential risk."
'We need the market access'
Alberta Energy Minister Ken Hughes has also defended the Northern Gateway project, saying the pipeline review he ordered on Friday should take care of any safety concerns around the proposal.
Alberta Intergovernmental Affairs Minister Cal Dallas also dismissed the idea of paying for B.C.'s approval.
"We don't have any history of sharing in uranium in Saskatchewan or the vast mining resources that exist in Ontario and Quebec, and certainly with respect to forestry products and the like that move from west to east from British Columbia."
Dallas says Alberta was hoping to have full co-operation from B.C. in winning public support for the pipeline.
"Obviously we're going to pursue every available option that we have. We need the market access. We need to move product to market."
B.C. lays out 5 criteria
Financial compensation was just one of the five criteria laid out by B.C. on Monday for its approval of the pipeline.
The other criteria include a successful completion of the federal review, upgrading the marine and land oil spill response capabilities at the federal and provincial levels, and addressing the legal requirements regarding First Nations' aboriginal and treaty rights.
The new criteria are just the latest challenges for Enbridge's proposed $5.5-billion pipeline to link Alberta's oilsands with a West Coast tanker port, which is already facing stiff opposition from First Nations, environmentalists and B.C.'s opposition New Democrats.
Just last week, Enbridge announced plans to spend up to $500 million to improve Northern Gateway's safety features. But First Nations quickly dismissed the plan, saying they have no trust in Enbridge given the company's poor record when it comes to handling spills.