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Feds approve two of three pipeline projects

The federal government announced the green light to two pipeline projects on Tuesday, but they have also rejected another. Kinder Morgan’s Trans Mountain expansion project and Enbridge Pipeline’s Line 3 replacement project will go ahead.

The federal government announced the green light to two pipeline projects on Tuesday, but they have also rejected another.

Kinder Morgan’s Trans Mountain expansion project and Enbridge Pipeline’s Line 3 replacement project will go ahead. But Enbridge’s Northern Gateway proposal was denied, effectively ending the project. 

Trans Mountain was allowed to proceed, subject to 157 binding conditions that will address potential indigenous, socio-economic and environmental impacts, including project engineering, safety and emergency preparedness.

The $6.8-billion project will create 15,000 new jobs during construction by twinning the existing Trans Mountain pipeline system from Edmonton to Burnaby, B.C.

It will also provide access to global markets and generate significant direct economic benefits, including $4.5 billion in federal and provincial government revenues.

Approval for the Line 3 pipeline replacement project, meanwhile, is subject to 37 binding conditions that will address potential indigenous, socio-economic and environmental impacts. This will ensure that the pipeline and facilities are built and operated in a manner that is safe for Canadians and the environment.

The $4.8-billion project will replace 1,067 kilometres of existing pipeline from Hardisty, Alberta, to Gretna, Manitoba, to enhance safety and integrity. The project will generate significant economic benefits, including $514.7 million in federal and provincial government revenues and 7,000 new jobs during construction.

It also provides a vital link to the North American refinery market for Canadian oil.

The government did direct the National Energy Board (NEB) to dismiss Northern Gateway’s application. The government believes the project is not in the public interest, given that it would result in crude oil tankers transiting through the sensitive ecosystem of the Douglas Channel, which is part of the Great Bear Rainforest.

Also, the federal government has announced a moratorium on crude and persistent oil tankers along British Columbia's north coast. This area spans the Alaska–B.C. border down to the point on B.C.'s mainland adjacent to the northern tip of Vancouver Island, and includes Haida Gwaii.

"Our duty is to permit infrastructure so Canada's resources get to market in a more environmentally-responsible way, creating jobs and a thriving economy,” said Natural Resources Minister Jim Carr. “Today's announcements also demonstrate that when the government determines projects are not in the public interest, we will act accordingly and make the tough decisions." 

"Canadians expect the Government of Canada to help grow the economy while protecting the environment. This tanker moratorium is another example of how this can be achieved, and shows our commitment to establishing a world-leading marine safety system that meets the unique needs of Canada from coast-to-coast-to-coast,” added Transport Minister Marc Garneau.