Tag Archives: Nebraska

Alberta PIpelines

Notley NDP’s latter-day conversion to Keystone XL boosterism

Premier Rachel Notley Calgary Stampede Alberta

Rachel Notley

It has been fascinating to watch the Alberta New Democratic Party transition from being skeptical of oil pipelines as opposition to fairly effective advocates for pipelines as government.

While the approval of the Trans-Canada Keystone XL Pipeline from Hardisty to Texas Nebraska has nothing to do with the Alberta’s Climate Leadership Plan, the more diplomatic approach taken by Premier Rachel Notley’s government has translated into overall success in pipeline expansion approval.

Alberta’s action on climate change and drive for social license played a key role in the federal government approving the expansion of the Kinder Morgan Trans-Mountain pipeline from Alberta to British Columbia. The action on climate change was even lauded by former president Barack Obama during his visit to Parliament Hill last year.

Premier Alison Redford

Alison Redford

Notley was supportive of the Trans-Mountain pipeline and the TransCanada’s Energy East pipeline but not supportive of the Keystone XL pipeline when she led the NDP Opposition before the 2015 election. The NDP election platform even took the Progressive Conservatives to task for focusing so much energy on Keystone XL and exporting raw bitumen, and jobs, to Texas. The old PC government, especially under premier Alison Redford, was harshly criticized for spending so much time travelling to Washington D.C. and other big American cities, to lobby for pipelines.

Public opinion and pressure from corporate leaders would make it tough for any elected officials in Alberta to be unsupportive of oil pipelines these days. Support for pipelines in this province feels like it ranges somewhere close to 100 percent on some days.

Otto von Bismarck

Otto von Bismarck is said to have coined the phrase “Politics is the art of the possible, the attainable – the art of the next best,” as David Climenhaga of AlbertaPolitics.ca fame reminded me today. That seems true of the Alberta NDP and their pro-pipeline conversion.

Approaching two years in office, Notley’s NDP government has become more pragmatic and centrist than one might have predicted, on pipelines specifically and most government policy in general. This probably bodes well for the NDP in terms of appealing to broader public support but could cause trouble for Notley from the party’s more ideological supporters.

And, reminding Canadians of the deep split over pipelines between the Alberta NDP and national NDP, federal leader Thomas Mulcair called on Prime Minister Justin Trudeau to reject the Keystone XL pipeline, apparently to accomplish little more than to pick a fight with Trump.

At this moment, I can see little benefit from the Canadian government doing anything but keeping out of the new president’s line of fire (or line of Tweets).

Donald Trump

Donald Trump

According to executive orders signed by Trump today, the US Secretary of State Rex Tillerson will have 60 days to approve the Keystone XL pipeline once the TransCanada corporation has submitted its application and the Secretary of Commerce Wilbur Ross will have 180 days to create a plan to ensure all the steel used to construct the pipeline is manufactured in the United States.

As Postmedia columnist Paul Wells pointed out yesterday, it was probably good that Notley took a measured tone and did not do cartwheels during her press conference in response to the Keystone XL Pipeline approval. Trump has proven to be irrational and unpredictable and his government had indicated it may try to renegotiate the deal with the TransCanada corporation.

With that in mind, it might be smart for political leaders in Canada to remain cautious, even if they feel optimistic, about the TransCanada Keystone XL Pipeline approval.

A sunny day on the campus of University of California, Berkeley.

Keystone XL is dead. New government means climate change back on the agenda.

President Barack Obama

President Barack Obama

Having enjoyed the last week in the sunny Berkeley, California, it felt odd to turn on the car radio to hear the local disc jockeys discussing the tarsands and the merits of a pipeline that would pump unrefined bitumen from Canada to Texas. Being one of the most liberal areas in the U.S. – there were more than a few cars sporting “Bernie Sanders 2016″ bumper stickers – the discussion revolved around climate change and the environmental impact of the tarsands.

So, to the shock of no one who was paying attention, American President Barack Obama rejected the TransCanada corporation’s application for the cross-border permit needed to link the Keystone XL pipeline across the Canada-United States border.

It had become clear over the past few years that the project was unlikely to be approved by the American President. While counter-messages from the oil industry and environmental groups set the tone internationally, opposition to the pipeline by a handful of rural landowners in Nebraska is what ended up tying the pipeline project in the courts.

Justin Trudeau

Justin Trudeau

While the rejection of Keystone XL represents a victory for the projects opponents, it also represents a failure of Canadian foreign policy. For the past decade, the federal and provincial governments have been subsidizing TransCanada by spending significant amount of time and resources providing public funding for the pipeline through lobbying activities.

Elected officials like former Premier Alison Redford and her cabinet ministers were essentially publicly-funded lobbyists as they travelled to the U.S. dozens of times to advocate for Keystone XL and other oil industry projects. The decision by Jim Prentice to appoint well-connected Member of Parliament Rob Merrifield to the post of Alberta’s representative in Washington D.C. was supposed to give a boost to the government’s pipeline lobbying goals (he was later dismissed by Premier Rachel Notley). And the government led by Saskatchewan Premier Brad Wall was reported to have paid at least $3 million to lobbyists in Washington D.C.

Stephen Harper Calgary Stampede

Stephen Harper

The Conservative government of Stephen Harper, which was rejected by Canadians on Oct. 19, had arguably been the most pro-oil industry administration we have seen in decades. But instead of trying to build a national consensus in favour of projects like Keystone XL, the Conservative government demonized opposition to the pipelines in Canada. Opponents of Bill C-51 claimed that new spy laws passed by the former Conservative government with support from the Liberals could target Canadian citizens who oppose the expansion of oil pipelines.

Prime Minister Justin Trudeau declared his support for TransCanada’s Keystone XL pipeline in a speech to the Calgary Petroleum Club in October 2013 while also criticizing the Conservative government’s approach to lobbying for the pipeline in Washington D.C. “They have poked and prodded, annoyed and irritated the Obama administration at every turn. Largely, I suspect, because they don’t know how to work with people who don’t share their ideology,” Mr. Trudeau told Calgary’s oil elite.

Premier Rachel Notley Calgary Stampede Alberta

Rachel Notley

While Mr. Trudeau has not publicly supported TransCanada’s other major pipeline project, the Energy East pipeline, new Natural Resources Minister Jim Carr faces a challenging task of managing the interprovincial politics of pipelines. An Energy East pipeline that would would pump oil from Alberta to port terminals in New Brunswick or Quebec, keeping jobs in Canada, was endorsed by Ms. Notley and New Brunswick Premier Brian Gallant last month.

The appointment of Ottawa MP Catherine McKenna as Minister of Environment and Climate Change, and former environment minister Stephane Dion as Minister of Foreign Affairs signals that the new federal government may not be as singularly focused on pipelines as the previous government. Mr. Dion is well versed in environmental policy after serving as environment minister from 2004 to 2006 and spearheading the Green Shift policy while leading the Liberal opposition in the 2008 election.

Catherine McKenna

Catherine McKenna

One of the new federal government’s first major tasks will be to bring its ideas to address climate change to COP21, the 2015 United Nations Climate Change Conference, being held Nov. 30 to Dec. 11 in Paris, France. Ms. McKenna will be advised by a strong Alberta voice in these matters, with former Pembina Institute executive director Marlo Reynolds, a Canmore, Alberta resident, as her chief of staff.

Ms. Notley and Alberta Environment Minister Shannon Phillips will also be attending the conference in Paris.

The Pembina Institute may have spotted one of the biggest changes that the rejection of TransCanada’s Keystone XL signifies for Canada’s new foreign relations and energy strategies. In a statement released yesterday, Alberta director Simon Dyer said the “decision by President Obama reiterates that climate change is a key consideration for all energy infrastructure projects going forward.”