Ex-energy boss says regulatory fix needed

Delays caused by the replacement of a panel reviewing the Energy East Pipeline project show Canada’s regulatory system is flawed and must be fixed, says a former CEO of proponent TransCanada.

Hal Kvisle said Thursday the recusal of a National Energy Board panel in early September, just after hearings on the controversial project began, was a victory for activists whose only objective is to block the process.

“I think it’s another failure of (the) regulatory process in Canada that we can’t even commence a regulatory process without it coming off the rails,” he said. “It’s regrettable. I’ve been making the point to the government of Canada for about 12 or 13 years there needs to be significant improvements in the regulatory process and here we’re just had it thrown in the ditch again.”

The NEB’s review broke down after hearings in Montreal were disrupted by protesters. Critics charged the panel was biased after learning that two of three panellists met last year with former Quebec premier Jean Charest, then a consultant for TransCanada.

Kvisle, who spoke on the sidelines of the Global Business Forum, said the controversy was a “tempest in a teapot,” pointing out the panellists also met with other interested parties. He retired from the top job at TransCanada in 2010.

Natural Resources Minister Jim Carr has said new panellists will be appointed as soon as possible but the review period could be delayed, as could the NEB’s goal of having a decision on Energy East by March 18, 2018. The new panel will decide how the review proceeds and whether evidence must be reheard.

The 4,500-kilometre pipeline would cost $15.7 billion and carry 1.1 million barrels of oil a day from Alberta to New Brunswick. About two-thirds is already in place as a natural gas pipeline.