Minister of Finance Bill Morneau speaks at a Economic Club breakfast in Calgary, Monday, Feb. 10, 2020. THE CANADIAN PRESS/Todd Korol

VIDEO: Ottawa launches consultations on Indigenous ownership of Trans Mountain pipeline

Up to 129 communities will be consulted over the next weeks

The federal government is launching a new set of consultations with Indigenous groups that will determine if and how they might take part in ownership of the Trans Mountain pipeline and its expansion project, Finance Minister Bill Morneau announced Monday.

Up to 129 communities will be consulted over the next weeks to ensure they have a chance for “meaningful economic participation” in the Ottawa-owned pipeline, the minister said at an event in Calgary.

“This next step will be focused on different models of economic participation such as equity-based or revenue-sharing options and will seek to build momentum towards a widely acceptable option for the groups that we’re consulting with,” he said.

“We’ll also explore whether the participating communities are willing to work together, either through an existing entity or a new one.”

Several Indigenous groups have expressed interest in buying a stake in the pipeline but the government hasn’t said when it plans to sell it.

As long as Trans Mountain is operated as a commercial enterprise, the industry will be supportive of its sale, said Chris Bloomer, CEO of the Canadian Energy Pipeline Association, after listening to the speech.

“Anything that facilitates participation meaningfully with First Nations in these projects is a welcome thing. Having a deliberate approach to it, I think, is good,” he said.

In his speech, Morneau said he sympathizes with Albertans who have lost jobs because of an economy hit by a capital investment slide and discount prices for oil and gas as export capacity fails to keep up with gains in production.

The novel coronavirus is also having a negative impact on Canada’s economy, he said, pointing out oil prices are down by about 15 per cent because of the spread of the illness, a result that hits the West harder than the rest of the country.

A Federal Court of Appeal ruling last week that set aside a challenge of the Trans Mountain expansion project by four B.C. First Nations is important for the western Canadian economy, he said.

The court found that the government had met its duty to consult, thus clearing one of the last major hurdles for construction to continue on the conduit from the Alberta oilsands and refining hub in Edmonton to the B.C. coast.

READ MORE: ‘People are starting to wake up’: Pipeline protesters expect long-term change

The federal government will earn a return on its investment when it sells Trans Mountain, Morneau added, despite the release last week of a new construction cost estimate for its expansion of $12.6 billion, an increase of 70 per cent over the previous forecast of $7.4 billion.

“We believe this new estimate is realistic and we remain confident that when it’s the appropriate time to sell, we will see a profit on this investment,” Morneau said.

The government expects to earn $500 million a year in taxes from Trans Mountain after the expansion begins operating, he added.

READ MORE: Trans Mountain pipeline expansion cost jumps 70% to $12.6 billion

Dan Healing, The Canadian Press


Like us on Facebook and follow us on Twitter.

Trans Mountain pipeline

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Village of Port Alice presents financial plan for 2020-2024

In this plan, the village reduced their budgeted expenditures for 2020 by 24% from 2019.

Conservation: Two elk unlawfully shot in Northern Vancouver Island

‘The elk also did not have all of the edible portions of meat removed’

Nanaimo, Royal Jubilee to be Vancouver Island’s COVID-19 frontline hospitals

Other Island hospitals will be admitting COVID-19 patients and will be used in a support role

Port Hardy’s annual summer festival FILOMI Days cancelled due to COVID-19 pandemic

Port Hardy’s biggest community celebration happens every year from July 17 to 19.

Reflecting on life during a pandemic

‘This is really a once in a lifetime moment where everything has come to a grinding halt’

COVID-19: 4 new deaths, 25 new cases but only in Vancouver Coastal, Fraser Health

A total of 1,291 people have tested positive for the novel coronavirus

B.C. secures motel, hotel rooms for COVID-19 shelter space

Community centres, rooms reserved for pandemic self-isolation

Sanders drops 2020 bid, leaving Biden as likely nominee

Sanders plans to talk to his supporters later Wednesday

B.C. faith leaders, Horgan discuss need for virtual religious ceremonies

Leaders were open to providing other ways to celebrate during the pandemic

Emergency COVID-19 funding now available for children with special needs

Funding to be used to help support families through uncertain times of pandemic

Revenue dip needed to qualify for wage subsidy drops to 15% in March: Trudeau

Wage subsidy would over 75% of each employee’s salary for qualifying businesses

B.C. closes all provincial parks for COVID-19 protection

Easter weekend approaches, camping already closed

Air Canada says it will apply for wage subsidy to rehire workers after cutting 16,500 jobs

Air Canada said March revenues fell by more than 30 per cent year over year

Most Read