Kinder Morgan Receives NEB Approval

The National Energy Board (NEB) has given Kinder Morgan’s Trans Mountain pipeline approval, subject to 157 conditions.
The proposed pipeline runs from Edmonton to Burnaby, and will significantly increase the amount of bitumen transported to the Lower Mainland. Approximately 60 oil tankers flow through the Burrard Inlet, but the project will see that number soar to over 400.
The announcement comes today (May 19), that expanding the pipeline is in the “Canadian public interest,” according to the NEB press release.
An accompanying report states the project would “provide jobs and economic opportunities.”  It estimated a growth of 443 jobs per year, with 300 of them in BC alone, including construction jobs, new business growth and government revenues.
The 553 page report prepared by the NEB details the 157 conditions in order for the project to go ahead, some of which are:

• safety and integrity of the pipeline;

• emergency preparedness and response;

• protection of the environment;

•  ongoing consultation with those affected, including aboriginal communities;

• socio-economic matters;

• affirmation of commercial support for the project prior to construction; and

• financial responsibility.

The federal energy regulator made recommendations that the $6.8 million project increase the capacity of the existing Trans Mountain Pipeline System from 300,000 barrels a day to 890,000.
Almost 90 percent of the pipeline parallels existing disturbance, which the NEB claims will reduce the need for new disturbance and minimize potential impacts of construction.
The hearing for the project began more than two years ago when the board determined the project application was complete, and the hearing record closed on February 17 of this year when the Trans Mountain filed its final written reply argument.

Securities Disclosure: I, Jocelyn Aspa, hold no direct investment interest in any company mentioned in this article.