Kinder Morgan bailout?
Regarding the proposed government bailout of Kinder Morgan’s controversial pipeline project, I will share my reflections from my meeting with Hull-Aylmer MP Greg Fergus on the topic. Fergus’s rationale is demonstrative of the Liberal position, which is flawed.
1. The pipeline is needed to convince Alberta to price carbon.
Convincing Notley’s NDP government to price carbon gives no guarantee that a subsequent, likely Conservative, government expected in Alberta in Spring 2019, will maintain it. Rather, Notley pricing carbon now likely guarantees Conservative opposition to it. Also, the federal government has authority to overrule provinces and price carbon; they should not bend over backwards to appease outgoing Notley.
2. The pipeline is needed for national coherence.
Recall the Liberals won a majority on a platform promising to end fossil fuel subsidies, significantly reduce carbon emissions, and tighten the environmental assessment process before approving pipelines. And labour unions of oil sands workers oppose the raw-bitumen-exporting pipeline as it does not capitalize on refining opportunities.
3. Dividends from the pipeline are needed to fund the transition away from fossil fuels.
What the government is not accounting for is the volume of private money itching to get into viable renewable energy projects who see the end of oil is close. Extending cheap oil keeps more renewable energy projects in the red. Public money is not going to get us away from fossil fuels. Expensive oil is.
The Liberal’s rationale doesn’t compute. The $2+ billion could be invested in renewable energy for federal buildings, protecting taxpayers from rising energy costs.
Gatineau / Aylmer