Demise of Energy East Pipeline Draws Cheers in Quebec

Jerome Frank
October 6, 2017

"After careful review of changed circumstances, we will be informing the National Energy Board that we will no longer be proceeding with our Energy East and Eastern Mainline applications", TransCanada CEO Russ Girling said in a statement Thursday.

The company has said repeatedly that eastern Canadian refiners rely on imports for 86 per cent of their daily needs. Many environmental groups opposed the pipeline as well.

With the cancellation of Energy East, Notley emphasized the importance of Kinder Morgan's Trans Mountain expansion pipeline, which has been approved by the federal government to ship oil from Alberta to the West Coast. The pipeline, which drew pointed opposition in Quebec, was undergoing an environmental review in that province.

Politicians and environmental campaigners in Quebec are shedding few tears over TransCanada Corp.'s decision to pull the plug on its Energy East pipeline project.

August 23, 2017: In a decision cheered by environmentalists but considered a setback by the oil industry, the National Energy Board says it will allow wider discussion of greenhouse gas emission issues in upcoming hearings for the Energy East Pipeline. This marked a first for the board, which had come under fire for not considering climate impacts in other pipeline hearings. The loss of this major project means the loss of thousands of jobs and billions of dollars for Canada, and will significantly impact our country's ability to access markets for our oil and gas.

"The pipeline changes the economics of the tar sands in a way that makes those [extraction] projects possible - and that's why they're responsible, ultimately, for such incredible increases in emissions", Scott said.

Energy East was up for its second NEB review, after the first stalled past year amid protests by environmentalists and after revelations that regulatory panel members met privately with a TransCanada consultant. That pipeline, however, is now locked up in lawsuits, and the B.C. government is intervening in challenges to its approval.

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"The economic benefits of the Energy East pipeline have never been added to our economic and fiscal projections", he said.

Premier Brian Gallant expressed disappointment at the company's decision because the project would have created jobs and boosted the economy in the port city of Saint John.

March 1, 2016: National cohesion on Energy East drifts further out of reach after the Quebec government announced plans to seek an injunction against TransCanada.

But environmental groups questioned the need for a pipeline they said was at odds with Canada's commitment to tackle climate change.

Montreal Mayor Denis Coderre said the TransCanada announcement was "a lovely victory" against a "botched" pipeline project.

January 27, 2017: The new National Energy Board panel tasked with reviewing the Energy East pipeline decides to throw out all of the decisions made by the previous panel.

"This was an investor decision that resulted from the low global price of oil".

Other reports by Guamnewswatch

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