In memoriam: Energy East (2013-2017)

In memoriam: Energy East (2013-2017)

In memoriam: Energy East (2013-2017)

TransCanada Corp.'s cancellation of the Energy East pipeline leaves Canadian oil producers more dependent than ever on the Keystone XL and Trans Mountain proposals, two projects facing ardent opposition in their own right.

January 27, 2017: The new National Energy Board panel tasked with reviewing the Energy East pipeline decides to throw out all of the decisions made by the previous panel. Girling cites "changed circumstances" in his news release, while federal energy minister Jim Carr told reporters it was a business decision based on oil prices, having little to do with government regulation.

Energy East would have given oil producers in Alberta and Saskatchewan, who are heavily dependent on buyers in the USA, another market for their crude by carrying about 1.1 million barrels a day to refineries and a marine-shipping terminal in eastern Canada.

But the company in recent years has dealt with a fall in the price of crude oil, which is now hovering around $50 a barrel, down from almost $100 a barrel in mid-2014. The reason for Energy East's cancellation is simple: "New pipelines can't be justified during a time of declining investment in the tar sands, North American pipeline overcapacity, and an unstoppable transition to renewable energy".

Meanwhile, Montreal Mayor Denis Coderre celebrated the Energy East announcement on Thursday, suggesting in a series of tweets that citizen groups and local politicians from the Montreal-area played a key role in putting a stop to the project.

It also said it would probe the "upstream and downstream" greenhouse gas emissions and the possible impact of the emission reduction targets on the economic viability of the projects.

TransCanada said last month it could abandon the project, weeks after Canada's National Energy Board (NEB) announced a tougher review process that would take into account indirect greenhouse gas contributions among other factors.

New Brunswick Premier Brian Gallant, another longtime champion of the Energy East project, joined Notley in expressing disappointment with TransCanada's decision.

New polling released by Abacus Data in September indicates a majority of Canadians (59 per cent) are growing "more anxious about climate change and it is changing my view of how long we should use oil".

"It is a good thing that Mr. Coderre's hypocrisy needs no pipeline for conveyance, for it would need to be very large and could never get approved for construction", he said.

"Again it shows how local governments can make a difference", Coderre explained.

REGINA-The premiers of Alberta and Saskatchewan say Energy East would have been a nation-building project and that TransCanada's decision to cancel the pipeline is a bad day for the West. Due to its more energy-intensive extraction, transportation, and processing requirements, bitumen is known as one of the dirtiest fuels - and a lifecycle analysis would likely prove the project to not be in Canada's best interest. "We accepted the reversal of Enbridge's Line 9B (pipeline through Montreal), but we ensured there were measures in place to follow up and protect the community".

A judicial review into another project, Kinder Morgan Canada's C$7.4 billion Trans Mountain pipeline expansion, was launched on Monday, with lawyers and project opponents saying Canada failed in its duty to consult First Nations and other groups. "Governments need to step up with a plan to assist oil sands workers in transitioning into clean energy jobs".

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