Passing Bill C-69 signals a bleak future for new major pipeline projects
Bill C-69 creates too much uncertainty and risk to give project proponents and investors the confidence needed to propose and build new major pipeline projects
Calgary, June 21, 2019 (GLOBE NEWSWIRE) --
The potential for new major pipeline development in Canada is bleak with the Senate’s passing of Bill C-69. Since its introduction in February 2018, the Canadian Energy Pipeline Association (CEPA) and its members have been unequivocal in our position: Bill C-69 does not create the clarity and certainty necessary for proponents of major new pipeline projects to risk bringing them forward.
“A wide cross-section of other industries, Indigenous groups, elected officials and numerous other Canadians shared our concerns,” says Chris Bloomer, President and CEO of CEPA. “The Senate’s package of amendments would have improved the bill. The government’s amendments do not go far enough to make it workable.”
Canada’s oil and gas resources are developed and transported under the highest environmental, operational, regulatory and social standards. Canada has a resource base that is the envy of the globe. This resource base can be developed responsibly to meet global demand, positively impact Canadian and global emissions profiles and provide enormous benefits to the Canadian economy. These benefits would help enable Canada to fulfil its social and environmental goals long into the future. To achieve these outcomes, we will require additional new major pipeline projects to meet increased production and to access global markets. Unfortunately, the passage of Bill C-69 without the full package of amendments the Senate sent to the House of Commons makes these positive outcomes increasingly unlikely. C-69 is a serious impediment to the future of the industry.
“While this week’s approval of the Trans Mountain Expansion Project will allow more Canadian oil to reach tidewater, it is only part of the solution,” says Bloomer. “We desperately need more investment. We will need new projects. However, Canada is sending mixed messages that will send critical investment capital elsewhere.”
Many questions and concerns remain around the details associated with this legislation. CEPA will continue to work with the federal government on the development and implementation of regulations that will lay out how the new project review process will be put into practice.
Cyril Elbers
Canadian Energy Pipeline Association
587-293-2975
celbers@cepa.com
Source: GlobeNewswire
(June 21, 2019 - 10:53 AM EDT)
