Keystone unfairly maligned
ECONOMY: Calgary mayor says pipeline bearing ‘sins’ of carbon economy
CALGARY — Climate change isn’t going to live or die on the approval of controversial pipeline projects like Keystone XL, Calgary’s mayor told a U. S. cable news network.
Appearing as a guest on American business news network CNBC Friday, Calgary Mayor Naheed Nenshi said environmental concerns surrounding Keystone XL are clouding important market access issues vital for moving Alberta’s economy forward.
“For some reason, that onemetre- wide pipe has been asked to bear all the sins of the carbon economy,” he told host Tyler Mathisen during a segment of CNBC’s Power Lunch program.
“Not having Keystone isn’t going to end the carbon necessity ... it’s not going to change climate change, but somehow that one pipeline is bearing all of this.”
Nenshi said the ability to market Alberta’s energy resources to a wide variety of customers is crucial to the province’s economy.
“Market access is critical. We’ve got to be able to diversify our markets for Alberta’s energy — it’s the third- larg- est oil reserve in the world, but only one customer: The U. S.,” he said.
“We need access to the Gulf Coast, the Pacific coast and the Atlantic coast, and there’s a number of different ways to get there.”
In New York City on a trade mission promoting Calgary to U. S. energy investors, Nenshi said the city’s emerging role as a major investment hub is drawing attention.
“We’re seeing a lot of tech, a lot of entrepreneurship, a lot of small business,” he said.
“And as the city grows, as any city does, a lot of services.”
Calgary’s contracting real estate prices are proving to be of interest to investors, he said.
“We have an enormous amount of deal flow through Calgary, much higher than the percentage of oil production in Canada,” Nenshi said.
“Because of that, 17 out of 20 global investment banks are there, it’s increasingly becoming a large financial centre.”
The future of the Keystone project has been in limbo since U. S. President Barack Obama vetoed a bill from the Republican- led Congress authorizing construction in late February.
An attempt in March by the Senate to override the veto failed to achieve the required two-thirds vote.
Much like the carbon emission argument, Nenshi said accessing the world’s oil markets will come whether or not Keystone XL ever becomes a reality.
“Keystone is critical, but not vital ... there are many other options,” he said.
“It might not be exactly what we think it’ll be, but I know that market access will come.”