Energy East pipeline "good for the nation" says New Brunswick premier

Despite TransCanada's lengthy record of pipeline accidents, New Brunswick Premier Brian Gallant insists that its Energy East pipeline will be "safe" and "sustainable" throughout Canada if approved.

The premier added B.C. to the list of provinces where he is passionately promoting the controversial $12-billion, cross-country oil pipeline as “good for the nation” at a Vancouver Board of Trade meeting on Monday.

It would diversify Canadian markets, create thousands of jobs, and encourage investment in affected provinces, he argued.

“We should be very proud of the fact that this is a project that has a lot of benefits,” he told local business leaders in Vancouver’s Coast Coal Harbour Hotel. “And the risks — we know what they we are, we know how to mitigate and on top of that, we have a proven track record.”

He used the St. John Irving Oil Refinery’s “incredibly sound record” as an example of the New Brunswick's oil and gas expertise, without mentioning a 2012 explosion that hospitalized one of its workers.

Gallant also left out TransCanada’s own recent safety record, which includes multiple pipeline ruptures in Manitoba and corrosion with Keystone XL pipeline system, and details on how his province would mitigate the environmental risks of the potential 4,600-kilometre pipeline.

“There are risks to any development that we’re going to do, but clearly we’re doing quite well on this,” he offered, instead referring to the industry's success in Atlantic Canada.

Environmental concerns

If approved, the Energy East pipeline would pump 1.1 million barrels of crude oil from Alberta and Saskatchewan to refineries and terminals in Eastern Canada, creating roughly 14,000 full-time jobs and $36 billion for Canada by 2040.

Opponents argue that if constructed, it would pose a 15 per cent chance of rupturing annually — a disaster that could produce a catastrophic oil spill.

The project has received widespread opposition across Canada. In August, the Ontario Energy Board said the risks it poses to lakes, rivers, and drinking water supplies far outweigh the benefits, and suggested the pipeline be rerouted to avoid environmentally sensitive areas.

In April 2015, TransCanada also announced it would not build a terminal at Cacouna, Q.C. as a result of the province’s recognition of beluga whales as an endangered species.

Yet despite these concerns (and evidence that the project would drive up natural gas prices) Gallant has expressed unwavering support for the project in Ontario and Alberta. He also offered reassurance to the premier of Quebec, who expressed concern about its economic value.

It isn’t hard to understand his fervent promotion — the Energy East pipeline is promising roughly 2,000 jobs, $3 million in tax revenue and a GDP increase of $1.5 billion over seven years for New Brunswick alone, where it would ship its product from the Port of Saint John.

Hope following federal election

According to the premier, who was elected in October 2014, the TransCanada initiative has a better chance of coming to fruition under the new Liberal government than it ever did under the leadership of Prime Minister Harper.

A Liberal party member himself, he criticized the Tory government's record on climate change and sustainability:

“Under the Harper government there were no pipelines built for the oil industry in Canada,” he told National Observer in an exclusive interview. “I believe it’s because the Harper government did not have a very solid brand within our country and internationally when it came to protecting the environment.”

While Prime Minister-designate Justin Trudeau has expressed commitment to getting Canada’s resources to the international market and supported TransCanada’s Keystone XL pipeline, he has withheld judgement on its Energy East proposal specifically.

The project is still under review by the National Energy Board, which is collecting evidence from Indigenous communities as TransCanada completes the pipeline application.