Economy 12 Years and $34 Billion Later, Canada's Trans Mountain Pipeline Expansion Is Set To Complete.

How about that! Looks like Ottawa just got a significant discount on their purchase!

Kinder Morgan subtracts capital gains tax to cut net price for Trans Mountain by at least $325 million
The Canadian Press · Jul 13, 2018

kinder-morgan-cn-pipeline.jpg

Steel pipes to be used in the construction of Kinder Morgan Canada's Trans Mountain pipeline expansion project sit on rail cars at a stockpile site in Kamloops, British Columbia, May 29, 2018​


Kinder Morgan Canada Ltd. says the actual price the federal government will pay for its Trans Mountain pipeline system and expansion project will be hundreds of millions of dollars less than the $4.5 billion it announced in May.

In a regulatory filing with the U.S. Securities and Exchange Commission, the company says it estimates it will have to pay at least $325 million in capital gains taxes to the Canadian government when the deal is concluded.

It says that reduces the "net price" to $4.175 billion.

The filing is designed to advise Kinder Morgan Canada shareholders in advance of their vote on the transaction in August. Houston-based parent company Kinder Morgan, Inc. owns about two-thirds of the shares.

The document also recounts the negotiations that led to the deal, including an initial offer by the company to give the government a five per cent equity stake in return for financial guarantees and Ottawa's counter suggestion it could buy 51 per cent of the pipeline assets.

The filing notes that once they decided on a 100 per cent sale, Kinder Morgan offered to sell for $6.5 billion and the government came back with a counter offer of $3.85 billion.

An attached report from adviser TD Securities concludes that the deal as negotiated is fair for shareholders.

https://www.cbc.ca/news/politics/kinder-morgan-trans-mountain-1.4745882
 
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At the Calgary Stampede Monday, Alberta Premier Rachel Notley told reporters there’s a good chance her government will buy a stake in the Trans Mountain pipeline.

 
CAPP president and CEO Tim McMillan chats with IHS Market vice-president Kevin Birn at the 2018 Global Petroleum Show in June on a ranging discussion of current issues impacting Canada's oil and natural gas industry, including Trans Mountain, U.S.-Canada relations and the state of competitiveness in Canada.

 
Ayin said:
Eventually someone was going to find a judge who would expand the scope of the “environmental impact” to the point it’s beyond the control of those in control of the pipeline to kill the project.
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can it still go to the SCOC from here?
 
flashNsmash said:
can it still go to the SCOC from here?
Click to expand...
I think the government now has to go back and have anew impact study done, and the process will basically begin all over.

Building this pipeline is 100% the logical choice, for environmental and humanitarian reasons, as well as economic, but when it didn’t initially happen it was (and still is) 100% NOT going to happen. There will be at least a decade of legal battles, and nothing will get finished until we have come to accept that people WILL die to stop this from happening, and if one side is willing to die and the other can’t deal with loss, it’s clear who the victors will be from the start.
 
Arkain2K said:
Wow!!! What a clusterfuck this is, just when we thought they might be able to work it out among themselves.

Kinder Morgan was right to sell this project in limbo to Ottawa. Now for every day of obstructions and delays, it will be millions of Canadian tax dollars being wasted.
Click to expand...

I know, at this rate there wont be any millions left to pay out to terrorists. smh
 
Ayin said:
I think the government now has to go back and have anew impact study done, and the process will basically begin all over.

Building this pipeline is 100% the logical choice, for environmental and humanitarian reasons, as well as economic, but when it didn’t initially happen it was (and still is) 100% NOT going to happen. There will be at least a decade of legal battles, and nothing will get finished until we have come to accept that people WILL die to stop this from happening, and if one side is willing to die and the other can’t deal with loss, it’s clear who the victors will be from the start.
Click to expand...

People have already died shipping the oil by rail, right? Wasn't there some nasty explosions up there?

The pipeline is so logical, and for numerous reasons. Canada, are you trying to get a little slice of Venezuela pie? Get your shit together.
 
Ayin said:
I think the government now has to go back and have anew impact study done, and the process will basically begin all over.

Building this pipeline is 100% the logical choice, for environmental and humanitarian reasons, as well as economic, but when it didn’t initially happen it was (and still is) 100% NOT going to happen. There will be at least a decade of legal battles, and nothing will get finished until we have come to accept that people WILL die to stop this from happening, and if one side is willing to die and the other can’t deal with loss, it’s clear who the victors will be from the start.
Click to expand...

Do you think Alberta has the guts to shut off it's oil to B.C. like they threatened before?
 
While California votes to ban fossil fuels
 
So much for the Carbon Tax in exchange for Pipeline deal.

Alberta pulling out of federal climate change plan until pipeline construction resumes
Plan 'isn’t worth the paper it’s written on,' without her province, premier says
By John Paul Tasker, Kathleen Harris · CBC News · Aug 30, 2018

​


Alberta will pull out of Prime Minister Justin Trudeau's national climate change plan until construction of the Trans Mountain pipeline expansion gets back on track, Premier Rachel Notley said Thursday after the Federal Court of Appeal quashed approvals for the project.

"As important as climate action is to our province's future I have also always said that taking the next step, in signing on to the federal climate plan, can't happen without the Trans Mountain pipeline," Notley told reporters in a live address Thursday evening.

"So today I am announcing that with the Trans Mountain halted, and the work on it halted, until the federal government gets its act together; Alberta is pulling out of the federal climate plan," she added.

"And let's be clear, without Alberta that plan isn't worth the paper it's written on."

The premier said she was angered by the court decision that essentially suspends construction of the pipeline indefinitely, saying the ruling is bad for working families and the economic security of Canada.

"The current state of affairs in Canada is such that building a pipeline to tidewater is practically impossible," Notley said.

The ruling is a major victory for Indigenous groups and environmentalists opposed to the $7.4-billion project.

In its decision, written by Justice Eleanor Dawson, the court found the National Energy Board's assessment of the project was so flawed that it should not have been relied on by the federal cabinet when it gave final approval to proceed in November 2016.

The certificate approving construction and operation of the project has been nullified, leaving it in legal limbo until the energy regulator and the government reassess their approvals to satisfy the court's demands.

In effect, the court has halted construction of the 1,150-kilometre project indefinitely.

Amid uncertainty, Kinder Morgan agreed to sell the existing pipeline and the expansion project to the federal government this spring. The company's shareholders overwhelmingly approved the sale Thursday morning in Calgary in a previously scheduled vote held just after the court's decision was released.

Prime Minister Justin Trudeau said earlier on Twitter that he had spoken with Notley and assured her his government would continue to back the project.



Now, the Liberal government is the owner of a proposed pipeline project that could be subject to years of further review.

Finance Minister Bill Morneau said the federal government is carefully reviewing the decision but is determined to proceed with the project, that, he said, is in the best national interest and "critically important" for the economy.

"We are absolutely committed to moving ahead with this project," he said at a news conference in Toronto. "What the decision today asked us to do is to respond promptly; gave us some direction on how we can do that in a way that is going to be efficient from a time standpoint. So we will be considering our next steps in light of that."

Morneau said the Liberal government inherited a "flawed process" for reviewing the project.

He described the pipeline purchase as a good investment that will yield strong returns in years ahead, and that the deal to buy it will be finalized as early as Friday.

In its initial study of the project, the NEB found that the pipeline would not cause significant adverse environmental impacts.

But the court has determined that conclusion is flawed because it did not assess the impacts of marine shipping — increased tanker traffic that would result from the expanded pipeline — on the environment and southern resident killer whales in the waters around the line's shipping terminal.

More consultation required

The appellate court also found that the federal government did not adequately, or meaningfully, consult with Indigenous people and hear out their concerns after the NEB issued its report recommending that cabinet approve the project.

The court has ordered the federal government redo its Phase 3 consultation.

"Only after that consultation is completed and any accommodation made can the project be put before the Governor in Council (cabinet) for approval," the decision reads.

"The duty to consult was not adequately discharged in this case."

Thus, the court is ordering cabinet to direct the NEB to reconsider its approval of the project and remedy some of the concerns raised by the court before cabinet can give the final go-ahead for construction.

Khelsilem, councillor and spokesperson for Squamish Nation in B.C., said many are feeling "elation and happiness and joy" with today's ruling.

"This government played politics with our livelihood," he said. "They did not behave honourably and the courts agreed every step of the way."

Khelsilem said the consultation with First Nations was more like note-taking than meaningful consideration.

Other First Nations, however, expressed hope that the project would proceed, including the Whispering Pines First Nation near Kamloops, B.C., part of a contingent that supports the pipeline going ahead under Indigenous control and is trying to buy it.

Conservative Leader Andrew Scheer called today's ruling "devastating" news for Canadian workers and taxpayers and a "complete indictment" of the Trudeau government's efforts to get the project off the ground.

"Today's development is further eroding the confidence in this Liberal government's ability to get big projects built," he said. "They either kill or cancel the projects based on ideology, or they mismanage and bungle them to the point where they're in a very precarious position."

NDP Leader Jagmeet Singh said the ruling shows the Liberals have failed to live up to their obligation to respectfully consult with Indigenous people. He said the government should stop construction and explore legal options to stop the sale of the project.

B.C. Premier John Horgan said on Twitter that the ruling was a victory for First Nations rights and his province's economy and environment.

"Many British Columbians have been saying that the Trans Mountain project would create serious risks to our coast. Today the Federal Court of Appeal has validated those concerns," Horgan said.



Just three days ago, the Trans Mountain Twitter account posted pictures of workers beginning construction of the pipeline expansion.

"Pipeline construction for the #TransMountain Expansion Project has officially begun! We celebrated the big milestone over the weekend, as crews kicked off construction in Central #Alberta," the tweet read.

In a statement, Kinder Morgan confirmed construction will now stop.

"Trans Mountain is currently taking measures to suspend construction related activities on the Project in a safe and orderly manner," the statement reads.
Click to expand...


https://www.cbc.ca/news/politics/trans-mountain-federal-court-appeals-1.4804495
Click to expand...
 
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Arkain2K said:
So much for the Carbon Tax in exchange for Pipeline deal.

Alberta pulling out of federal climate change plan until pipeline construction resumes
Plan 'isn’t worth the paper it’s written on,' without her province, premier says
John Paul Tasker, Kathleen Harris · CBC News · Aug 30, 2018

gfx-map-trans-mountain-expansion-project.jpg

Alberta will pull out of Prime Minister Justin Trudeau's national climate change plan until construction of the Trans Mountain pipeline expansion gets back on track, Premier Rachel Notley said Thursday after the Federal Court of Appeal quashed approvals for the project.

"As important as climate action is to our province's future I have also always said that taking the next step, in signing on to the federal climate plan, can't happen without the Trans Mountain pipeline," Notley told reporters in a live address Thursday evening.

"So today I am announcing that with the Trans Mountain halted, and the work on it halted, until the federal government gets its act together; Alberta is pulling out of the federal climate plan," she added.

"And let's be clear, without Alberta that plan isn't worth the paper it's written on."

The premier said she was angered by the court decision that essentially suspends construction of the pipeline indefinitely, saying the ruling is bad for working families and the economic security of Canada.

"The current state of affairs in Canada is such that building a pipeline to tidewater is practically impossible," Notley said.

The ruling is a major victory for Indigenous groups and environmentalists opposed to the $7.4-billion project.

In its decision, written by Justice Eleanor Dawson, the court found the National Energy Board's assessment of the project was so flawed that it should not have been relied on by the federal cabinet when it gave final approval to proceed in November 2016.

The certificate approving construction and operation of the project has been nullified, leaving it in legal limbo until the energy regulator and the government reassess their approvals to satisfy the court's demands.

In effect, the court has halted construction of the 1,150-kilometre project indefinitely.

Amid uncertainty, Kinder Morgan agreed to sell the existing pipeline and the expansion project to the federal government this spring. The company's shareholders overwhelmingly approved the sale Thursday morning in Calgary in a previously scheduled vote held just after the court's decision was released.

Prime Minister Justin Trudeau said earlier on Twitter that he had spoken with Notley and assured her his government would continue to back the project.



Now, the Liberal government is the owner of a proposed pipeline project that could be subject to years of further review.

Finance Minister Bill Morneau said the federal government is carefully reviewing the decision but is determined to proceed with the project, that, he said, is in the best national interest and "critically important" for the economy.

"We are absolutely committed to moving ahead with this project," he said at a news conference in Toronto. "What the decision today asked us to do is to respond promptly; gave us some direction on how we can do that in a way that is going to be efficient from a time standpoint. So we will be considering our next steps in light of that."

Morneau said the Liberal government inherited a "flawed process" for reviewing the project.

He described the pipeline purchase as a good investment that will yield strong returns in years ahead, and that the deal to buy it will be finalized as early as Friday.

In its initial study of the project, the NEB found that the pipeline would not cause significant adverse environmental impacts.

But the court has determined that conclusion is flawed because it did not assess the impacts of marine shipping — increased tanker traffic that would result from the expanded pipeline — on the environment and southern resident killer whales in the waters around the line's shipping terminal.

More consultation required

The appellate court also found that the federal government did not adequately, or meaningfully, consult with Indigenous people and hear out their concerns after the NEB issued its report recommending that cabinet approve the project.

The court has ordered the federal government redo its Phase 3 consultation.

"Only after that consultation is completed and any accommodation made can the project be put before the Governor in Council (cabinet) for approval," the decision reads.

"The duty to consult was not adequately discharged in this case."

Thus, the court is ordering cabinet to direct the NEB to reconsider its approval of the project and remedy some of the concerns raised by the court before cabinet can give the final go-ahead for construction.

Khelsilem, councillor and spokesperson for Squamish Nation in B.C., said many are feeling "elation and happiness and joy" with today's ruling.

"This government played politics with our livelihood," he said. "They did not behave honourably and the courts agreed every step of the way."

Khelsilem said the consultation with First Nations was more like note-taking than meaningful consideration.

Other First Nations, however, expressed hope that the project would proceed, including the Whispering Pines First Nation near Kamloops, B.C., part of a contingent that supports the pipeline going ahead under Indigenous control and is trying to buy it.

Conservative Leader Andrew Scheer called today's ruling "devastating" news for Canadian workers and taxpayers and a "complete indictment" of the Trudeau government's efforts to get the project off the ground.

"Today's development is further eroding the confidence in this Liberal government's ability to get big projects built," he said. "They either kill or cancel the projects based on ideology, or they mismanage and bungle them to the point where they're in a very precarious position."

NDP Leader Jagmeet Singh said the ruling shows the Liberals have failed to live up to their obligation to respectfully consult with Indigenous people. He said the government should stop construction and explore legal options to stop the sale of the project.

B.C. Premier John Horgan said on Twitter that the ruling was a victory for First Nations rights and his province's economy and environment.

"Many British Columbians have been saying that the Trans Mountain project would create serious risks to our coast. Today the Federal Court of Appeal has validated those concerns," Horgan said.



Just three days ago, the Trans Mountain Twitter account posted pictures of workers beginning construction of the pipeline expansion.

"Pipeline construction for the #TransMountain Expansion Project has officially begun! We celebrated the big milestone over the weekend, as crews kicked off construction in Central #Alberta," the tweet read.

In a statement, Kinder Morgan confirmed construction will now stop.

"Trans Mountain is currently taking measures to suspend construction related activities on the Project in a safe and orderly manner," the statement reads.

https://www.cbc.ca/news/politics/trans-mountain-federal-court-appeals-1.4804495
Click to expand...



lmao, making Maduro proud.
 
HuffPost Canada:

Scheer, Singh Hammer Trudeau Over Trans Mountain Pipeline Ruling

Scheer called the decision "devastating news" for energy workers and "another gut punch" for Canadian taxpayers.

The ruling showed the Trudeau government could not hit "the standards that it imposed on itself," the Tory leader said.

"This was a $4.9 billion acquisition with no plan for completion. And today we find out that the goalposts have been missed again by this Trudeau government," he said.
Click to expand...

Singh, meanwhile, told reporters in Ottawa that the Trudeau government did not consider what the project would mean to coastal communities and marine life in B.C., including a sevenfold increase in tanker traffic. He also cited past Trans Mountain spills.

"Climate leaders don't buy or expand pipelines," he said.
Click to expand...
 
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