Lethbridge Herald

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About 80,000 barrels a day of refined fuels go to British Columbia.

Much of B.C.’s energy from Alberta comes from shipments on the existing Trans Mountain line from Alberta to Burnaby, B.C. Reducing oil flows could lead to immediate gas price spikes at the pumps, along with other higher costs.

B.C. Premier John Horgan has been fighting the expansion, even though the federal government approved the $7.4-billion project in November 2016. Horgan has said there are still concerns relating to oil spills and protecting B.C.’s coastline.

The Kinder Morgan project would triple the amount of oil shipped on the current line, but has faced repeated court challenges and permit delays.

Kinder Morgan announced earlier this month that it is pulling back on spending for the project and has given Prime Minister Justin Trudeau’s government until May 31 to give a clear signal that the project will proceed.

Trudeau met with Notley and Horgan on Sunday and said Ottawa has joined negotiatio­ns with Alberta to buy a stake in Trans Mountain, if necessary, to see that it gets built.

Notley suggested May 31 will be key if the viability of the pipeline project is still in question.

“That might be the point at which we’re going to have to be a lot more strategic around what products get shipped to what markets by what means,” she said.

Alberta will work with resource companies as things develop, she said. “There will be no surprises.” Alberta is building on precedent.

In 1981, under then-premier Peter Lougheed, Alberta reduced oil shipments to Central Canada during a fight with the federal government over oil pricing and resource ownership.

The result was a new agreement with Prime Minister Pierre Trudeau that allowed Alberta to retain ownership of its resources along with a more amenable pricing schedule.

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