Why did the NEB approve the Kinder Morgan pipeline if its economic impact is negative?

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This page builds on information from a Tsleil-Waututh Nation report that assesses the proposed Kinder Morgan pipeline and tanker project. You can read and download the full report here.

 

Contrary to the National Energy Board (NEB) report released in May, 2016, there is no economic need and for the proposed Kinder Morgan pipeline, and economic benefits do not outweigh economic risks.

The economic benefits of the proposed Kinder Morgan pipeline do not outweigh the risks.

  • Experts like economist Robyn Allan show that the NEB’s conclusions are faulty, as research was based on a flawed methodology and outdated information. (Allan, 2016, p. 1-2).
    • Economic and political circumstances, regarding supply projections and Canada’s relationship with climate change, have changed significantly since the NEB issued its May 2016 report. These changes must be considered by the NEB’s conclusions on the need for, commercial feasibility of, and financial impacts of the Project (Alla, 2016, p. 1).

 

  • The NEB did not implement its own definition of the public interest to assess the economic impacts of the Project.
    • It did not consider the economic interests of all Canadians and refused to assess the environmental and socio-economic effects associated with upstream activities, the development of oil sands, or the downstream use of the oil transported by the pipeline (Allan, 2016, p. 6).
    • Instead, the NEB limited its economic review to one of private financial interests of Trans Mountain and Western Canadian crude oil producers (Allan, 2016, p. 6).

The NEB’s research was based on flawed methodology and outdated information.

  • The NEB did not consider the potential negative economic impacts of the proposed pipeline for example to Canadian refineries, Canada’s rail and resource sectors, as well as the tourism and commercial fishing industries (Allan, 2016, p. 7).

We have the chance to focus on a sustainable economy by stopping the proposed Kinder Morgan pipeline. Click here to learn more.

 

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Will landowners along the pipeline route be affected? The Trans Mountain Pipeline project has the potential to affect thousands of landowners along the proposed route. The proposed route would run from the tar sands in northern Alberta through Jasper National Park. From there it would enter the Lower Mainland of British Columbia ...
Is there a market for the proposed Kinder Morgan pipeline’s products? There is no market for the products proposed to be shipped on it. We do not need to expand current pipeline infrastructure to meet the demand for Canadian diluted bitumen (dilbit). Neither the NEB nor Kinder Morgan tested market facts to determine whether markets exist, or whether there is potential to develop them.
What is Kinder Morgan’s record of spills? Since the 1960s, the longest period of time the Trans Mountain Pipeline has gone without a spill is approximately four years. Most of these spills have been of crude oil. Crude oil spills have dire and long-lasting impacts on the environment and are incredibly difficult to clean.

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