Disaster Alberta starts trade war with British Columbia - If you don't want our oil, We don't want your booze

The fight over Alberta oil coming to British Columbia has now escalated into a wine war.

Alberta Premier Rachel Notley announced Tuesday that the province is banning wine from B.C. wineries effective immediately.

"This is one good step to waking B.C. up to the fact that they can't attack our industry without a response from us," Notley said at a legislature news conference. "The Alberta Gaming and Liquor Control Board will put an immediate halt to the import of B.C. wine into Alberta."

She said in 2017, there were 17.2 million bottles imported — the equivalent of about 1.4 million cases — with an estimated value of $70 million per year for B.C. wineries.

"The wine industry is very important to B.C. Not nearly as important as the energy industry is to Alberta and Canada, but important nonetheless," said Notley.

"I'm also encouraging all Albertans: next time you're thinking about ordering a glass of wine, think of our energy workers. Think of your neighbours. Think of our community. Think about our province, and maybe choose some terrific Alberta craft beer instead."

Miles Prodan, president of the B.C. Wine Institute, said the estimated retail value of the wine going to Alberta is likely even higher than Notley's estimate, around $160 million.

Alberta is the most important market for B.C. wine outside of sales within our own the province, Prodan said, adding that about 11 per cent of B.C. wine sold across the country is sold in Alberta.

The group, which represents 276 wineries, is disappointed that wine has been dragged into a political tiff, Prodan said.

"We hope that cooler heads prevail, that they realize the B.C. wine industry has very little if anything to do with government policy regarding oil pipelines. To us to be used as a pawn is difficult," he said.

The $7.4-billion project, approved in November 2016 by the federal government, would triple capacity on the 1,150-km line, which runs from Edmonton to Burnaby.

It's the linchpin component of Alberta's fight to get a better overseas price for its oil, which is currently being sold at a discount on the North American market while the province racks up budget deficits over $10 billion.

Last week, B.C. Premier John Horgan's NDP government announced it is looking at rules to limit any increase in the import of diluted bitumen until an independent panel can better analyze whether the system is safe and if it can adequately deal with a spill disaster.

Horgan has said the issue is about the B.C. government's responsibility to keep the coastline and inland waterways safe.

Notley conceded the ban on B.C. wine may violate inter-provincial free trade rules, but said Alberta is moving ahead with it anyway.

"I honestly wish it did not have to be this way," she said. "We don't take this lightly. Albertans didn't want or invite this fight."

Horgan responded to the announcement by urging Alberta to "step back from this threatening position" and vowing to stand with B.C. wine producers.

"Our consultation on proposed new regulations hasn't even begun, but Alberta has seen fit to take measures to impact B.C. businesses," he said in a statement.

Horgan reiterated the provincial government's position that it has every right to consult with citizens.

"If Alberta disagrees they can make that argument in the proper venue, in our court system," he said.

The wine ban is the second trade retaliation Notley has announced. Last week, she suspended talks to buy electricity from B.C., a deal that would be worth $500 million a year to the westernmost province.

"We did play by the rules, and we secured the approval of a new pipeline to tidewater to export energy products that support tens of thousands of jobs across this country," Notley said.

"Alberta will not stand by and be the only province impacted by another province's refusal to play by the rules."

The Opposition B.C. Liberals have branded the pipeline feud a trade war and called on Horgan to "stop playing games."

"This trade spat is simply a lose-lose for everyone," agriculture critic Ian Paton said in a statement. "We have agricultural workers who are going to lose jobs and Albertans who are going to lose out on our premium wine. British Columbians shouldn't be in the crossfire of NDP governments fighting.”

The federal government has control over the cross-boundary pipelines, and Notley has called B.C.'s attempt to hinder the expansion an unconstitutional attempt to get around federal approval of the project.

Notley said the federal government has tools to resolve the impasse and that she will continue to push Prime Minister Justin Trudeau on it.

"We are actively preparing measures to get Ottawa to step up and B.C. to back down," she said.

What's funny about this is both priemiers are NDP. But B.C's Horgan has rabid environmentalists on the west coast to cater to, and he's already on thin ice for allowing a hydroelectric dam project (the Site C dam) in northern BC to continue after a review.

Both the pipeline and the dam were approved by the previous Liberal government (the closest thing BC has to a Conservative government - they have previously distanced themselves from the federal Liberals in previous elections before) and between that and Christy Clark's waning popularity was what lost the previous election.

If they can get that wimpy cuck of a PM to interject (the pipeline company has already used federal approval of the pipeline plan to slap the city of Burnaby upside the head in court) it's going to be interesting which side he takes.
 
Good for her. The premiers need to focus on the well-being of their citizens first and foremost. Ottawa filling its coffers whilst ignoring the provinces and territories needs to stop in order for the Canadian federation to be a healthy, functional nation.

It'd be nice if the productive provinces stood up to the federal government so that they could use their success on their own citizens rather than for the benefit of Quebec.
 
of course Andrew Weaver, exceptional individual that he is, doesn't give a flying fuck about the possibility of high gasoline prices (hell, envirotards like himself WELCOME such things - even though high fuel prices hurt their best constituents such as the Poor and the Elderly HARD) so he's like "BC will stand firm" while at the same time violating the Constitution, pissing on Federal Jurisdiction, and pissing off anyone with half a brain. With any luck this will SINK Horgan's chances in the next election, while pockets of exceptional individuals will still vote Green because they're stupid.
 
And people bitch about States' rights in the US.

I thought you Canadians were suppose to be a friendly sort.
Not when it's the NDP and the Greens vs other NDP and there's an ideological impasse because all that's keeping BC's NDP in power is 3 measly Green seats held in particularly exceptional individual riddled districts/ridings.
 
I sympathize with the anti-pipeline activist's desire to get off fossil fuels but it's just not that easy at the moment, economically, logistically etc. The pipelines are actually a safer mode of transport compared to rail which caused the terrible Lac-Mégantic rail disaster in Quebec. There is no form of renewable energy yet that is reliable and high capacity as we need it to be to replace fossil fuels. Hydro is one of the best renewables but environmentalists actually tend to be against it because it kills fishies or something.

The carbon tax thing was a bad idea from the start. For them to have any effect they would have to be really high. These taxes do nothing to discourage fossil fuels and make people's lives harder. I support the goals of environmentalism and want to see climate change mitigated or even ended but everything they're trying in the mainstream is a useless easy position to look like they're doing something. When Rona Ambrose was leader of the Tories she argued against the carbon tax and said we should just have incentives for green businesses. I think that is a reasonable position that I can get behind and I vote NDP.

I hate it when progressives do stupid useless shit like carbon taxes and troon issues when there are so many real issues they could be dealing with. This is the kind of shit that makes poor and working class people vote conservatively.
 
What's funny about this is both priemiers are NDP. But B.C's Horgan has rabid environmentalists on the west coast to cater to, and he's already on thin ice for allowing a hydroelectric dam project (the Site C dam) in northern BC to continue after a review.

Both the pipeline and the dam were approved by the previous Liberal government (the closest thing BC has to a Conservative government - they have previously distanced themselves from the federal Liberals in previous elections before) and between that and Christy Clark's waning popularity was what lost the previous election.

If they can get that wimpy cuck of a PM to interject (the pipeline company has already used federal approval of the pipeline plan to slap the city of Burnaby upside the head in court) it's going to be interesting which side he takes.

Dear Canukistani friends. If you ever hear any of your southern neighbors babbling about a thing called "The Commerce Clause", this sort of thing is it's actual purpose. The specifically prevent something like this. Internal Trade wars within the nation. If we didn't have it California would have likely starved to death years ago as the rest of the States stopped sending them food. suddenly I realize that this is not the winning argument to enact a "Commerce Clause" in Canada that I originally intended it to be...
 
Dear Canukistani friends. If you ever hear any of your southern neighbors babbling about a thing called "The Commerce Clause", this sort of thing is it's actual purpose. The specifically prevent something like this. Internal Trade wars within the nation. If we didn't have it California would have likely starved to death years ago as the rest of the States stopped sending them food. suddenly I realize that this is not the winning argument to enact a "Commerce Clause" in Canada that I originally intended it to be...
Canada has something similar called the Interprovincal Trade Act. Its why Saskatchewan dropped its license plate ban and Alberta dropped its wine ban the moment these bans were about to go to legal challenge: The premiers bloody well know those bans were illegal and they would get royally reamed once the ban is reviewed against the IPTA.
 
BC could at least stop dumping raw sewage into the ocean and mining 40%+ of Canada's coal before acting all high and mighty about the environment.
The thing is though, most of BC coal is metallurgical grade coal, not heating/energy coal. It's the stuff that gets turned into coke for the steel industry.
 
Alberta Premier Rachel Notley says a decision by the City of Burnaby to take its fight over the Trans Mountain pipeline expansion to the Supreme Court is showboating.

The city has said it will ask the country's highest court for leave to appeal a lower court ruling last week.

The Federal Court of Appeal dismissed a bid by Burnaby and the B.C. government to challenge a National Energy Board decision that cleared the way for Kinder Morgan to bypass local bylaws during pipeline construction.

The expansion project would triple the amount of diluted bitumen from Alberta to Burnaby's port for shipment overseas.

Speaking in Calgary, Notley said seeking leave to appeal to the Supreme Court is throwing good money after bad.

She said the city doesn't have any hope of succeeding in the courts and she's confident the federal government will ensure the project goes ahead.

The BC government is getting quite butthurt that the courts are siding with Alberta one court case after another. A judge also issued an immediate injunction against pipeline protesters in Burnaby, so protesters are getting themselves arrested thinking they are martyrs for a cause. Elizabeth May of the federal green party and a NDP MP thought this was a good idea and got themselves arrested for violating the injunction as well.
 
The BC government is getting quite butthurt that the courts are siding with Alberta one court case after another. A judge also issued an immediate injunction against pipeline protesters in Burnaby, so protesters are getting themselves arrested thinking they are martyrs for a cause. Elizabeth May of the federal green party and a NDP MP thought this was a good idea and got themselves arrested for violating the injunction as well.
Yeah, Elizabeth May being Elizabeth May. Feels before Law or anything. Typical Green. Historically, protests which are also blockades often capture the attention of the exceptional individuals to the point where the NDP put vast swaths of wilderness under protection due to Old Growth (Carmanah being an example of this, AKA "the War in the Woods) back in the 1990s. The NDP also did dumbass shit like "putting old logging roads to bed" which was incredibly short-sighted and reduced access to many areas of recreation. When the NDP were finally thrown out in the early 2000s, the slogan was "NDP NFG" (No Fucking Good). So May and the federal NDP MP are just doing what they think will gain popular support. So many exceptional individuals on this stupid Island. There's also a ton of Exceptionally Exceptional individuals in Burnaby(not on the island), indicated by its habitual election of NDP members of parliament and legislature. Suffice it to say that legit, there are many people there that really aren't quite right in the head.
 
Yeah, Elizabeth May being Elizabeth May. Feels before Law or anything. Typical Green. Historically, protests which are also blockades often capture the attention of the exceptional individuals to the point where the NDP put vast swaths of wilderness under protection due to Old Growth (Carmanah being an example of this, AKA "the War in the Woods) back in the 1990s. The NDP also did dumbass shit like "putting old logging roads to bed" which was incredibly short-sighted and reduced access to many areas of recreation. When the NDP were finally thrown out in the early 2000s, the slogan was "NDP NFG" (No Fucking Good). So May and the federal NDP MP are just doing what they think will gain popular support. So many exceptional individuals on this stupid Island. There's also a ton of Exceptionally Exceptional individuals in Burnaby(not on the island), indicated by its habitual election of NDP members of parliament and legislature. Suffice it to say that legit, there are many people there that really aren't quite right in the head.

At least there's less traffic on the Island, and it doesn't stink 24/7 of cowshit like Abbotsford, Hope, Chilliwack etc
 
The federal Liberal government plans to spend $4.5 billion to buy the Trans Mountain pipeline and all of Kinder Morgan Canada's core assets.

Finance Minister Bill Morneau says that in return, Kinder Morgan will go ahead with its original plan to twin the pipeline this summer while the sale is finalized, which likely won't happen until August.

Morneau says once the sale is complete, Canada will continue the construction on its own, with a view to eventually selling the whole thing down the road, once market conditions would allow it to get the best price.

Morneau presented the options during an early-morning cabinet meeting today before ministers made a decision on how to proceed.

Export Development Canada will finance the purchase, which includes the pipeline, pumping stations and rights of way along the route between Edmonton and Vancouver, as well as the marine terminal in Burnaby, B.C., where oil is loaded onto tankers for export.

Morneau says the federal government does not plan to be a long-term owner and is in negotiations with interested investors, including Indigenous communities, pension funds and the Alberta government.

ORIGINAL 5:48 a.m.

Kinder Morgan is holding a Canada wide conference call at 6:10 a.m. Pacific Time.

The Federal government is meeting in Ottawa in a last-minute attempt to save the Trans Mountain pipeline which runs from Alberta to the coast through Burnaby B.C.

Finance Minister Bill Morneau is expected to announce as early as Tuesday morning where the government plans to go with Kinder Morgan to ensure the controversial Trans Mountain pipeline expansion will be built.

There are three options on the table, which include the government buying and building the expansion, then selling it once it's complete; and buying it on an interim basis, then selling it to investors and leaving them to handle the construction.

Morneau has already unveiled the third option: leaving original project architect Kinder Morgan to handle construction, but covering any cost overruns incurred as a result of political interference.

The federal cabinet has been summoned to meet Tuesday morning, two hours earlier than usual, after which Morneau will discuss which of the three options the government has decided on.

Kinder Morgan gave Ottawa until Thursday to convince it to proceed by settling down jittery investors who fear a court challenge from the B.C. government would make the project too great a liability.

Prime Minister Justin Trudeau has put a lot of political capital on the project, pledging over and over again that the pipeline expansion is in national interest and will be built one way or another.

Since the government has declared the project to be in the national interest, it has financial tools available to it to buy into the project, similar to when the former government bailed out General Motors and Chrysler during the financial crisis in 2008 and 2009.

Trudeau said Canada loses $15 billion a year because oil cannot be exported anywhere but the United States, adding that the pipeline expansion opens up the option of exporting to Asian markets.

Trudeau's government is buying up the pipeline so Kinder Morgan can work on it.

Alberta is (or was) sabre rattling with legislature enabling them to control where the oil goes, and Elizabeth May is getting a $1500 fine for getting arrested at the protest.

Horgan is ironically calling for a probe on the record high gas prices throughout BC (the lower mainland has seen prices over 1.60 a litre).
 
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At least there's less traffic on the Island, and it doesn't stink 24/7 of cowshit like Abbotsford, Hope, Chilliwack etc
Less traffic (except the Colwood Crawl on Highway 1 most weekday mornings and afternoons), but stupider drivers. Especially the exceptional Victoria drivers. There's a reason someone in Vancouver made the Karnak-esque joke "When their left turn signal burns out... *opens envelope* When is a person declared Legally Dead in Victoria?"
 
Some fallout from the pipeline purchase:

Environmentalists are REE'ing hard, promising huge protests:

Outrage over the federal government's announcement about buying the Trans Mountain pipeline to ensure it gets built could fuel unprecedented protests, says a prominent environmentalist who was at the forefront of British Columbia's so-called War in the Woods in the 1990s.

Tzeporah Berman said the fight against the pipeline expansion is even bigger than those over logging in Clayoquot Sound.

Canadians are angry the government is shelling out $4.5 billion to purchase the Trans Mountain pipeline rather than investing in clean energy after Prime Minister Justin Trudeau's climate-change promises during the 2015 election and his later commitment to the Paris climate accord, she said.

"My experience is that people are motivated by betrayal, they're motivated by a lack of fairness, they're motivated by a sense of shared common purpose and outrage. In this case we have all of that," said Berman, who was cleared of aiding and abetting protesters at the Clayoquot blockade and is now an adjunct professor of environmental studies at York University in Toronto.

Berman said the Liberal government "made a very big mistake" by backing Kinder Morgan's project and alienating voters to create "a perfect storm" that would prompt people to take action.

"I think a lot of us who knocked on doors for the Trudeau government really believed them when they said they were going to bring evidence-based analysis and science and democratic process back to pipeline reviews."

Berman is a director of Stand.earth, one of the groups that organized an anti-pipeline protest in Vancouver on Tuesday after Finance Minister Bill Morneau announced the government's plans for the pipeline between Edmonton and Burnaby. Another protest is planned in Victoria on Thursday.

"My expectation is that the outrage is going to grow and we're not just going it see it here in British Columbia, but we're going to see it nationally and internationally," she said, adding social media makes it possible for activists to connect in ways that didn't exist at the height of anti-logging protests in 1993.

"We didn't have email, we didn't have cellphones. It was a remote location that took most people five to seven hours to get through. This is a pipeline project that runs through urban centres," she said of Trans Mountain.

Khelsilem, a Squamish Nation council member who goes by his first name, said the federal government's decision to pursue completion of the pipeline expansion threatens Indigenous communities if there was a spill of bitumen from increased tanker traffic in B.C. waters.

"Trudeau had promised during the election that he would create a new environmental process that would protect Indigenous rights and that the Kinder Morgan project would be included and sent back to be done through the new process, and on both those counts he's failed completely," he said.

Along with multiple legal challenges involving the pipeline, the Squamish Nation and five other First Nations are involved in a Federal Court of Appeal case that targets Ottawa's approval of the project.

And pipeline companies are saying this whole shitstorm over an approved project means they will be hesitant to invest in future projects in Canada.

Welcome to Canada, a country boasting the world’s third-largest oil reserves, yet it can’t expand an existing pipeline without the federal government having to nationalize the entire project.

It’s a sad state of affairs, really, but no one should be surprised that Ottawa — with an assist from the Alberta government — had to step up Tuesday to buy the Trans Mountain pipeline to see its expansion move forward.

Yes, federal Finance Minister Bill Morneau insisted the deal makes economic sense and will restore investor confidence after Ottawa acquired Kinder Morgan’s pipeline project for the “fair” price of $4.5 billion.


Yes, it should ensure the energy infrastructure is completed, tripling the amount of oil from Alberta that will reach the Pacific coast, reducing the discount on western Canadian heavy crude.

Yes, it was the right decision in a tricky no-win situation.

But, honestly, what does it say to investors, industry and the rest of the world when Ottawa has to buy a viable commercial development to make sure it can be finished?

It says the entire situation is a sorry mess.

“It’s a disturbing outcome, in the sense that we shouldn’t have gotten here in the first place,” said Chris Bloomer, CEO of the Canadian Energy Pipeline Association.

“Every major pipeline infrastructure project has been a debacle . . . We’ve got to figure this out and do better.”

Tuesday’s energy deal comes after the Trans Mountain expansion went through a gruelling 29-month regulatory review.

The project was deemed to be in the national interest in 2016, approved with 157 conditions. It won federal cabinet approval and has withstood 16 separate legal reviews and challenges.

Yet, construction is a year behind schedule and the private-sector proponent just pulled the rip cord to escape.


What does it say about the chances of any future oil pipeline being proposed — much less built — after Kinder Morgan went through the process and spent more than $1.1 billion, yet walked away because it didn’t have certainty to get the project done?

“I don’t see how any private-sector pipeline company would be dumb enough to embark on a major pipeline project in Canada today,” said Hal Kvisle, former CEO of TransCanada Corp.

“The government would hope this shows Canadians that things can get done in this country, when it actually shows the private sector that even the best-laid plans are going to end up in the ditch.”

The political fracas over the pipeline came to a head last month when Houston-based Kinder Morgan suspended all discretionary spending on the Trans Mountain expansion.

The energy company said it needed firm assurances by May 31 it could get the development built through British Columbia, where the government of John Horgan has pledged to derail it.

The federal solution was to snap up the entire Trans Mountain pipeline system and related terminal assets for $4.5 billion, guaranteeing construction starts immediately.

Energy analysts said the price seems high; one report by RBC pegged the pipeline’s value around $2.3 billion, while noting another $1 billion has been spent on the expansion.

“It all comes down to what can you sell it for later,” said Richard Masson, former CEO of the Alberta Petroleum Marketing Commission.

Ottawa will seek a private sector buyer for the project, and is willing to extend federal indemnity to buffer the new owner from additional costs tied to politically motivated delays.

“We will look for prospective buyers, but . . . there will be construction throughout the summer and I think that may be the most important signal of all,” Natural Resources Minister Jim Carr said in an interview.

In Alberta, the Notley government will provide up to $2 billion in the form of a backstop for the project that would only come into play due to unforeseen circumstances.

No one would spell out precisely what that means, but it raises the possibility of Alberta picking up the tab on potential future cost overruns.

Premier Rachel Notley said Alberta could convert its investment into equity, and insisted no financial assistance would be paid out until the project is finished.

”Sometimes, on big national projects, the government has to step in and play a role,” the premier added.

After the failures of Energy East and Northern Gateway, the federal government and industry couldn’t afford to see Trans Mountain blocked.

But no one in Ottawa or Edmonton should mistake Tuesday’s acquisition as a major victory. A willing investor has just taken their money and gone home.

More legal challenges remain.

Across the energy sector Tuesday, there was general support for the government extending a lifeline to Trans Mountain.

Yet, reservations rang out from all corners.

“It’s a positive for the pipeline but what’s really frustrating to me, though, is this is actually discouraging corporate investment in energy transportation,” said Kevin Neveu, CEO of Precision Drilling, the country’s largest driller.

“As a corporation that is investing, do I need to wait for the government to get involved in every investment before I’m confident it’s going to go forward?”

The Canadian Association of Petroleum Producers said the decision shows a commitment by governments to support the industry. But the investment was done under “extraordinary circumstances and we should work very hard to never find ourselves in this position again,” said CAPP chief executive Tim McMillan.

The governments made a big gamble Tuesday, following a familiar path that saw Ottawa and Alberta invest in decades past in projects such as Syncrude and the bi-provincial upgrader.

Some have paid off, others have lost a bundle.

However, the latest deal sends a message that investing in Canada is a tough, unpredictable slog.

Ottawa better hope Canadians grow to like the deal: after all, the entire country just bought itself a new pipeline
 
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Fuck Elizabeth May. Shes a drunkard who I have had to chase down 3 times because she didnt feel it necessary to pay her wine tab. I find it hard to believe that she should be in office if she plead guilty to a crime.
 
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