Insiders say Alberta could retaliate in pipeline fight

CALGARY — After the B.C. government stepped up its fight against the Trans Mountain pipeline expansion, there were new calls for the federal and Alberta governments to consider retaliation over a divisive project that has cleared major regulatory hurdles.

While mechanisms are available to either override B.C. opposition or punish the province, several observers said Friday few options are palatable to federal or provincial governments.

United Conservative Party leadership candidates Jason Kenney, Doug Schweitzer and Jeff Callaway have publicly mused about potential retaliation against B.C., with Schweitzer proposing to “kick” the province “out of the New West Partnership.”

They’re not alone in thinking B.C.’s hard line should be met with a comparably firm response, if the province is successful in blocking or significantly delaying the project.

“Both the federal government and the provincial government should look hard at levers they have because this is a serious threat to the national economy,” said Howard Anglin, who served as deputy chief of staff and as a senior adviser to former prime minister Stephen Harper.

Last week, NDP cabinet ministers in B.C. revealed plans to appoint high-profile former judge Thomas Berger to review legal options for opposing Kinder Morgan’s $7.4-billion pipeline project. The province will also seek intervener status in a Federal Court challenge and ensure conditions are met for environmental approvals.

Schweitzer took to Twitter to condemn the move and seek support for his proposal to boot B.C. from the trade agreement involving the four western provinces.

“While what B.C. is doing is not really in clear violation of the letter of that agreement, it’s certainly in violation of the spirit,” said Trevor Tombe, an associate professor of economics at the University of Calgary.

Alberta Premier Rachel Notley’s communications director said Friday “we don’t believe we’re at that point,” of retaliating against B.C., given that the coastal province has softened its rhetoric from wanting to stop the pipeline to ensuring it meets high standards.

Ted Morton, a former energy and finance minister in Alberta, said no retaliation is necessary because he believes Kinder Morgan’s project will survive any legal challenges.

“Both the law and time are on the side of Kinder Morgan,” Morton said.