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Enbridge Northern Gateway Project

Enbridge Northern Gateway Project

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Enbridge Northern Gateway Project

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  1. Enbridge Northern Gateway Project

    November 19, 2010
  2. Overview – Key Facts Pipeline & marine transportation technology and regulation (like other technologies) have improved significantly in past 20+ years The Project can be designed, built and operated safely The Project would provide significant benefits to: Canada, BC, Northwest BC Region Rigorous regulatory review process will assess: Will this Project cause any significant adverse effects on the environment? Is this Project in the overall public interest?
  3. Northern Gateway Pipeline (NGP)
  4. Northern Gateway Project Scope Pipelines Two large diameter pipes between Kitimat and Edmonton to be constructed over 5 seasons (minimum of 12 spreads) Pipeline to cross 773 watercourses (33 trenchless) Over 80 remotely operable strategic isolation valves for each pipeline Pipeline to cross 2 mountain ranges (Rocky and Coast Mountains) two 6.5 km long tunnels through the mountains providing safe direct route Tunnels will be approx. 5.5 m diameter providing access for inspection and maintenance vehicles Kitimat Terminal: Selected site has excellent location for development of the dual berths In excess of 2 km channel width Winds will be aligned with the channel and parallel to the berths
  5. Federal Regulatory Review Joint Review Panel (JRP) comprised of National Energy Board (NEB) and Canadian Environmental Assessment Agency (CEAA) Comprehensive multi-year process CEAA examines: Will this Project cause any significant adverse effects on the environment? NEB examines: Is this Project in the overall public interest? Proponents and opponents will have opportunity to be rigorously cross-examined at public hearings
  6. Rigorous, Public Regulatory Review Process Application filed May 27, 2010 Application and JRP process outlined at: JRP Public Sessions occurred in Whitecourt, Kitimat, and Prince George in August and September Focus of meetings: List of Issues; additional information for application; and, locations of public hearings
  7. First Nations and Métis Engagement Project would not cross First Nations Reserve land, without support Project crosses Crown land – which also comprises the traditional territories of many First Nations (constitutional rights apply) Gateway will take all reasonable and practical steps to avoid rights infringement Goal: ensure Gateway contributes positively to Aboriginal communities over the long term
  8. Safety

  9. Technological Advancement Technology is advancing Pipeline and marine transportation technology and regulation have evolved and improved over past 20+ years NEB Regulated Pipelines Past failures have been carefully studied Zero significant spills or ruptures (spills ~ 10 barrels), on any liquids pipelines constructed over past 35 years Marine Transport In 1970’s, 25 large spill spills year, worldwide Over past decade, reduced to 3 per year, worldwide Potential for Exxon Valdez size spill from Gateway is less than once in 15,000 years
  10. Implementing world-class safety standards Vetting of ships and crew Double hulled ships Tug escort operations (tethered towing) Compulsory pilotage using local BC pilots Pilot-carried electronic navigation systems Improved navigational aids, including new radar installations Weather monitoring criteria for ship transit limits Reduced vessel speeds in the marine channels Closed Loading and containment booms Emergency preparedness and responseplanning
  11. Project Benefits
  12. Significant & Lasting Economic Benefits For Canada overall: GDP increase of $270 billion over 30 years For BC overall: Largest privately funded project in BC history $1.2 billion in provincial tax revenues over 30 years $165 million in provincial tax revenue during construction Over 34,000 aggregate years of construction employment ~$2.5 billion in labour income Over 500 long-term jobs
  13. Significant Economic Benefits Canada is the only western industrialized country with the potential to significantly increase oil production Northern Gateway would provide access to Asia Pacific Markets for Canadian oil exports Current reliance on single, dominant US market for exports puts Canada at disadvantage The sustainability of Canadian living standards requires development and expansion of export opportunities
  14. Benefits – Construction Phase Construction – On-site employment only: 4,100 person-years of direct on-site employment in BC 1,400 person-years of direct on-site employment in AB Between 2000 and 3000 workers will be directly employed during the peak periods of project construction Construction – Total employment (On-site, Purchases, Indirect, Induced): 35,000 person-years of employment in BC 15,000 person-years of employment in AB 12,000 person-years of employment elsewhere in Canada Total of 62,000 person-years across Canada ($4.3 Billion in Labour Income)
  15. Employment: Northeast Region Construction Employment: 1,150 person years with 675 person years for regional residents Peak pipeline construction will require up to 818 people Peak pump station construction will require 56 people Operational Employment: 15 full-time jobs 5 Tumbler Ridge (Operational Centre) 10 jobs created from purchases of Goods and Services in region
  16. Construction Services: Northeast Region 116 kilometres of pipelines and one pump station located near Tumbler Ridge Two Construction spreads are currently anticipated $ 112 million in goods and services Equipment rentals - $ 26 million Camps / Accommodations / Catering - $ 30 million Clearing / logging / salvaging - $ 16 million Fuel - $ 12 million Stockpiling Pipe $ 5 million Trucking $ 5 million Equipment Parts $ 5 million Surveying $ 2 million Access Roads $ 4 million Other Items and Services $ 6 million
  17. Challenges Communities west of Prince George: have minimal knowledge of pipeline construction and operations Minimal knowledge of Enbridge or petroleum activities “Fear of the unknown” Are not sympathetic to Alberta and/or oil & gas industry Concerned that project risks outweigh benefits Many Aboriginal communities in BC are without treaty rights ENGOs opposing project are extremely well funded Are not necessarily located locally
  18. Recap Technology has advanced - the project can be designed, built and operated safely Local marine safety and first response capability would improve significantly Opportunity to create more stable and diverse regional economies(Norway, Scotland, Newfoundland, etc.) There is opposition - but also significant, conditional interest from local communities and First Nations The Project will provide significant and long-lasting benefits to the people of Northern BC
  19. How Your Support Could Get This Project Built Become an Alliance Member Network with other Alliance members Joint Review Panel will depend on public record to determine if Certificate of Public Convenience and Necessity is warranted File as Intervener in Regulatory Process File final argument either verbally or in writing Send the JRP a letter of support Supporting jobs and economic benefits derived from project
  20. Thank You