Feds won’t get involved in Trans Mountain hearings: Carr
Natural Resources Minister Jim Carr reiterated Wednesday Ottawa’s support for the potentially delayed Trans Mountain expansion project, even after the federal government declined to participate in an upcoming hearing on the pipeline.
Ottawa approved the pipeline development in November 2016. Carr has been vocally supportive of the $7.4-billion expansion, but the federal government has taken a back seat on regulatory proceedings.
“The responsible thing for the government of Canada to do is let the process work its way out,” Carr told reporters. “We have approved this project, we want it to proceed ... We have not backed away from that judgment.”
The comments come as Kinder Morgan Canada Ltd. has warned in recent weeks that regulatory snags could set back its completion date by as much as nine months, and that the project could even be cancelled if delays persist.
Ottawa has declined to participate in hearings over the project scheduled for later this month, which could decide whether the project meets further delays or is cancelled altogether.
Failure to build the pipeline threatens to intensify pressure on the Liberals, who have publicly repeated their commitment to helping Canada’s oil and gas industry gain better access to international markets for its crude.
Analysts say if any of the three major export arteries currently proposed are cancelled — TransCanada’s Keystone XL, Trans Mountain, or Enbridge Inc.’s Line 3 replacement — Canada could face a severe pipeline crunch, forcing more barrels to move by rail.
The Trans Mountain expansion would nearly triple capacity of the existing pipeline. Industry proponents say the line would be a vital connection to global markets that would effectively allow producers to fetch a higher price for their crude.