Energy
Indigenous communities await Trans Mountain pipeline share
Tanker Dubai Angel at the Trans Mountain terminal, Burnaby
(Photo: Radio-Canada / Georgie Smyth / CBC)
From Resource Works
Ottawa’s Commitment to 30 percent Indigenous Stake in Trans Mountain Pipeline Still Awaiting Confirmation.
Indigenous leaders in Western Canada have been waiting for months for confirmation that the federal government will indeed enable Indigenous Peoples to get a 30 percent share in the Trans Mountain oil pipeline system.
That Ottawa has such a share in mind has been confirmed by Alberta Premier Danielle Smith. She says Ottawa is looking at possibly offering a loan guarantee to First Nations.
“They wanted to get the Indigenous partners to own 30 per cent. . . . It’s going to be a great source of income for the Indigenous partners.”
With the pipeline system’s capacity set to almost triple through the expansion project known as TMX, the federal government first announced in 2019, its intention to explore the possibility of the economic participation of 129 affected Indigenous Peoples.
Finance Minister Chrystia Freeland sent Indigenous leaders a letter last August outlining a plan to sell a stake in the pipeline system to eligible communities through a special-purpose vehicle. It said they would not have to risk any of their own money to participate.
But since then Indigenous groups have been awaiting further word from federal authorities on how and when the equity promise will be kept.
All Ottawa has said publicly is this on May 1: “The federal government will launch a divestment process in due course.”
Two key groups have aired proposals for acquiring equity in the oil pipeline:
- The Western Indigenous Pipeline Group was formed in 2018 “ to acquire a major stake in Trans Mountain for the benefit of Indigenous communities who live along the pipeline.” It’s been working behind the scenes, and, with Pembina Pipelines Corporation, developed in 2021 the Chinook Pathways operating partnership.
“Chinook Pathways is finance ready. There are no capital contributions required for Indigenous communities. We will structure the transaction so that participating communities will make zero financial contribution.”
- Project Reconciliation, also founded in 2018, proposed a ”framework” that would give ownership of the pipeline system to 129 Indigenous Peoples.
“We are poised to facilitate Indigenous ownership of up to 100 percent, fostering economic autonomy and environmental responsibility.”
And: “A portion of revenue generated (portion directed by each Indigenous community) will be used to establish the Indigenous Sovereign Wealth Fund, supporting investment in infrastructure, clean energy projects and renewable technologies.”
- A third group, the Alberta-based Iron Coalition, announced interest in TMX in 2019, but apparently dropped out in 2020.
In Alberta, the pipeline system spans the territories of Treaty 6, Treaty 8, and the Métis Nation of Alberta (Zone 4). In British Columbia, the system crosses numerous traditional territories and 15 First Nation reserves.
Commentator Joseph Quesnel writes: “According to Trans Mountain, there have been 73,000 points of contact with Indigenous communities throughout Alberta and British Columbia as the expansion was developed and constructed. . . .
“Beyond formal Indigenous engagement, the project proponent conducted numerous environmental and engineering field studies. These included studies drawing on deep Indigenous input, such as traditional ecological knowledge studies, traditional land use studies, and traditional marine land use studies.”
And Alberta’s Canadian Energy Centre reported: “In addition to $4.9 billion in contracts with Indigenous businesses during construction, the project leaves behind more than $650 million in benefit agreements and $1.2 billion in skills training with Indigenous communities.”
Not all First Nations have been happy with the expansion project.
In 2018, the federal appeal court ruled that Ottawa had failed to consider the concerns of several nations that challenged the project. In 2019, the project was re-approved by Ottawa, and again several nations (including the Squamish and Tsleil-Waututh) appealed. That appeal was dismissed in 2020. The nations then went to the Supreme Court of Canada, but it declined to hear the case.
Private company Kinder Morgan originally proposed the expansion project, but when it threatened to back out in 2018, the federal government stepped in and bought the existing pipeline, and the expansion project, for $4.5-billion. Ottawa said it was “a necessary and serious investment in the national interest.”
Ottawa at that time estimated that the total cost of the expansion project would come in around $7.4 billion. But cost overruns have since driven the final price to some $34 billion.
On the other hand, Ernst & Young found that between 2024 and 2043, the expanded Trans Mountain system will pay $3.7 billion in wages, generate $9.2 billion in GDP, and pay $2.8 billion in government taxes.
The TMX expansion twinned the 1953 Trans Mountain pipeline from near Edmonton to Burnaby (1,150 km) and increased the system’s capacity to 890,000 barrels a day from 300,000 barrels a day.
The original pipeline will carry refined products, synthetic crude oils, and light crude oils with the capability for heavy crude oils. The new pipeline will primarily carry heavier oils but can also transport lighter oils.
And the Alberta Energy Regulator says it expects oilsands production to grow by more than 17 per cent by 2033 (increasing to four million barrels a day from 3.4 million in 2023). And it expects global oil prices will continue to rise.
The TMX expansion finally opened and began to fill on May 1 this year.
And, as our CEO Stewart Muir noted, there was a quick reduction of eight cents a litre in gasoline prices for Vancouver due to completion of the project.
From Trans Mountain’s Westridge Marine Terminal at Burnaby, around three million barrels of oil have been shipped to China or India since the TMX expansion opened.
But because the port of Vancouver can handle only smaller Aframax tankers, more than half the oil has first been shipped to California, where it is then transferred to much larger VLCC (Very Large Crude Carrier) tankers. That makes for a longer but potentially cheaper journey.
At Westridge, because of limited tanker size, cargoes are limited to about 600,000 barrels per Aframax vessel. The largest VLCCs can carry two million barrels of oil. Westridge now can handle 34 Aframax tankers per month.
Some 20 tankers loaded oil there in June, a couple fewer than TMX had hoped for.
“This first month is just shy of the 350,000-400,000 bpd (barrels a day) we expected ahead of the startup,” said shipping analyst Matt Smith. “We are still in the discovery phase, with kinks being ironed out . . . but in the grand scheme of things, this has been a solid start.”
The Dubai Angel became the first Aframax tanker to load at Westridge. It took on 550,000 barrels of Alberta crude in the last week of May, and headed for the port of Zhoushan, China.
Now the Dubai Angel is headed to Burnaby for another load, and is expected to arrive there on July 8.
Business
Canada’s climate agenda hit business hard but barely cut emissions
This article supplied by Troy Media.
By Gwyn Morgan
Canada is paying a steep economic price for climate policies that have delivered little real environmental progress
In 2015, the newly elected Trudeau government signed the Paris Agreement. The following year saw the imposition of the Pan-Canadian Framework on Clean Growth and Climate Change, which included more than 50 measures aimed at “reducing carbon emissions and fostering clean technology solutions.” Key among them was economy-wide carbon “pricing,” Liberal-speak for taxes.
Other measures followed, culminating last December in the 2030 Emissions Reduction Plan, targeting emissions of 40 per cent below 2005 levels by 2030 and net-zero emissions by 2050. It included $9.1 billion for retrofitting structures, subsidizing zero-emission vehicles, building charging stations and subsidizing solar panels and windmills. It also mandated the phaseout of coal-fired power generation and proposed stringent emission standards for vehicles and buildings.
Other “green initiatives” included the “on-farm climate action fund,” a nationwide reforestation initiative to plant two billion trees, the “Green and Inclusive Community Buildings Program” to promote net-zero standards in new construction, and a “Green Municipal Fund” to support municipal decarbonization. That’s a staggering list of nation-impoverishing subsidies, taxes and restrictions.
Those climate measures come at a real cost to the industry that drives the nation’s economy.
The Trudeau government cancelled the Northern Gateway oil pipeline to the northwest coast, which had been approved by the Harper government, costing sponsors hundreds of millions of dollars in preconstruction expenditures. The political and regulatory morass the Liberals created eventually led to the cancellation of all but one of the 12 LNG export proposals.
Have all those taxes and regulatory measures reduced Canada’s fossil-fuel consumption? No. As Bjorn Lomborg has reported, between the election of the Trudeau government in 2015 through 2023, fossil fuels’ share of Canada’s energy supply increased from 75 to 77 per cent.
That dismal result wasn’t for lack of trying. The Fraser Institute has found that Ottawa and the four biggest provinces have either spent or forgone a mind-numbing $158 billion to create just 68,000 “clean” jobs, increasing the “green economy” by a minuscule 0.3 percentage points to 3.6 per cent of GDP at an eye-watering cost of more than $2.3 million per job.
That’s Canada’s emissions reduction debacle. What’s the global picture? A decade after Paris, 80 per cent of the world’s energy still comes from fossil fuels. World energy demand is up 150 per cent. Canada, which produces roughly 1.5 per cent of global emissions, cannot influence that trajectory. And, as Lomborg writes: “achieving net zero emissions by 2050 would require the removal of the equivalent of the combined emissions of China and the United States in each of the next five years. This puts us in the realm of science fiction.”
Does this mean our planet will become unlivable? A U.S. Department of Energy report issued in July is grounds for optimism. It finds that “claims of increased frequency or intensity of hurricanes, tornadoes, floods and droughts are not supported by U.S. historical data.” And it goes on: “CO2-induced warming appears to be less damaging economically than commonly believed and aggressive mitigation policies could be more detrimental than beneficial.”
U.S. Secretary of Energy Chris Wright responded to the report by saying: “Climate change is real … but it is not the greatest threat facing humanity … (I)mproving the human condition depends on access to reliable, affordable energy.”
That leaves no doubt as to where our largest trading partner stands on carbon emissions. But don’t expect Prime Minister Mark Carney, who helped launch the Glasgow Financial Alliance for Net Zero (GFANZ) at COP 26 in that city in 2021 and co-chaired it until this January, to soften his stand on carbon taxes. His just-released budget imposes carbon tax increases of $80 to $170 per ton by 2030 on our already struggling industries.
Doing so increases Canadian businesses’ competitive disadvantage with our most important trading partner while doing essentially nothing to help the environment.
Gwyn Morgan is a retired business leader who has been a director of five global corporations.
Troy Media empowers Canadian community news outlets by providing independent, insightful analysis and commentary. Our mission is to support local media in helping Canadians stay informed and engaged by delivering reliable content that strengthens community connections and deepens understanding across the country.
Energy
Canada following Europe’s stumble by ignoring energy reality
Family in Spain eating by candlelight during a blackout, April 2025
From Resource Works
Canada’s own 2024 grid scare proves we’re on the same path unless we change course.
Europe’s green-energy unraveling is no longer a distant cautionary tale. It’s a mirror — and Canada is already seeing the first cracks.
A new Wall Street Journal investigation lays out the European story in stark detail: a continent that slashed emissions faster than anyone else, only to discover that doing so by tearing down firm power before its replacement existed comes with brutal consequences — collapsing industry, sky-high electricity prices, political fragmentation, and a public increasingly unwilling to subsidize wishful thinking.
The tragedy isn’t that Europe tried to decarbonize quickly.
The tragedy is how they did it: by insisting on an “or” transition — renewables or fossil fuels — instead of what every energy-literate nation outside Europe pursued: renewables and fossil fuels, working together while the system evolves.
And here’s the uncomfortable truth:
Canada has already had its first European-style crisis. It happened in January 2024.
Canada’s early warning: the January 2024 electricity crunch
Most people have already forgotten it, because our political class desperately wanted you to. But in January 2024, Western Canada came within a whisker of a full-blown energy security breakdown. Alberta, Saskatchewan, and B.C. were stretched to their limit. The grid was under cascading stress. Contingency plans were activated. Alberta came terrifyingly close to rolling blackouts.
It wasn’t caused by climate change. It wasn’t caused by a mysterious cyberattack.
It was caused by the same structural brittleness now crippling Europe:
- Insufficient firm power, after years of political messaging that we could “electrify everything” without adding real generating capacity.
- Overreliance on intermittent sources not backed by storage or gas.
- A planning system that punted risk into the future, betting the grid could be stretched indefinitely.
The January 2024 event was not a blip. It was a preview.
Our European moment in miniature.
But instead of treating it as the national wake-up call it should have been, B.C. did something telling — and deeply damaging.
The B.C. government’s response: attack the messenger
Just a couple of years ago, an economist publicly warned about the economic price of emerging system vulnerabilities due to a groaning stack of “clean economy” policies.
The B.C. government didn’t respond with data, evidence, or even curiosity. Instead, a cabinet minister used the safety of legislative privilege — that gold-plated shield against accountability — to launch nasty personal attacks on the economist who raised the concerns, which themselves had originated in the government’s own analysis.
No engagement.
No counter-analysis.
No willingness to consider the system risks.
Just slurs — the very definition of anti-intellectual governance.
It was a moment that told the whole story:
Too many policymakers in this province believe that energy systems obey politics, not physics.
Physics always gets the last word.
Europe shows us what political denial turns into
The WSJ reporting couldn’t be clearer about the consequences of that denial:
- Germany: highest domestic electricity prices in the developed world.
- U.K.: highest industrial electricity rates among major economies.
- Industrial flight: chemical plants closing, data centres frozen, major players hinting at exiting Europe entirely.
- Grid instability: wind farms paid tens of millions not to generate because the grid can’t handle it.
- Public revolt: rising support for parties rejecting the entire green-transition agenda.
- Policy whiplash: governments rushing to build gas plants they swore they’d never need.
Europe is now an object lesson in how good intentions, executed poorly, can produce the exact opposite of what was promised: higher prices, higher volatility, declining competitiveness, and a public ready to abandon climate policy altogether.
This is precisely what January 2024 warned us about — but on a continental scale.
The system cost we keep pretending doesn’t exist
Every serious energy expert knows the truth Europe is now living: intermittent renewables require massive amounts of redundant capacity, storage, and backup generation. That’s why the U.K. now needs 120 gigawatts of capacity to serve a demand previously met with 60–70 gigawatts, even though electricity use hasn’t meaningfully grown.
This is the math policymakers prefer not to show the public.
And it’s why B.C.’s refusal to have an honest conversation about firm power is so dangerous.
If we electrify everything without ensuring affordable and abundant natural gas generation, we’re not building a green future.
We’re building Europe, 10 years early.
The lesson for Canada — especially for B.C.
Here is what Europe and January 2024 together say, in one clear voice:
1. There is no energy transition without firm power.
Renewables are part of the system, but they don’t run the system. Natural gas does. Hydro does. Nuclear does. Pretending otherwise is how you end up with rolling blackouts.
2. Political denial makes crises worse.
When ministers attack economists instead of answering them, it signals that ideology is running the show. Europe learned the cost of that. We will too, unless we change course.
3. Affordability is the foundation of public consent.
Europe lost the room. Once people see their bills double while factories close, the climate agenda becomes politically radioactive.
4. B.C. has an advantage Europe would kill for.
Europe dreams of having an abundant, local, low-carbon firm-power fuel like northeastern B.C.’s natural gas. We treat it like a political liability. That’s not strategy. It’s negligence.
5. The transition will fail if we don’t treat electricity like the national security asset it is.
Without energy, there is no industry.
Without industry, there is no prosperity.
Without prosperity, there is no climate policy that survives the next election cycle.
What we need now
Canada must embrace an “and” strategy:
Renewables and natural gas. Electrification and realism. Climate ambition and economic competitiveness.
January 2024 showed us the future in a flash. Europe shows us the end state if we keep ignoring the warning.
We can still choose something better. But only if we stop pretending that energy systems bend to political narratives — and start treating them with the seriousness they demand.
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