Morneau says government willing to compensate Kinder Morgan against political delays
Canada is willing to write Kinder Morgan — or anyone else who steps up to the plate — a cheque to ensure the Trans Mountain pipeline expansion gets built despite British Columbia’s opposition, Finance Minister Bill Morneau said Wednesday.
Morneau said the federal government is willing to compensate the pipeline’s backers for any financial loss due to British Columbia’s attempts to obstruct the company’s Trans Mountain pipeline expansion.
“The indemnification would allow Kinder Morgan to finish what they started, what they received federal and B.C. approval to do,” he said Wednesday morning during a news conference that laid out in broad terms what his government is willing to do to move the project ahead.
Morneau’s statement came just hours before Kinder Morgan Canada’s stakeholders met in Calgary, and offers the company an incentive to proceed with the project just weeks ahead of its potential drop-dead date. Kinder Morgan has threatened to abandon the project if a clear path forward isn’t reached by May 31.
“As a government we need to ensure that the rule of law is respected and that investors have the certainty needed to complete the Trans Mountain expansion project, because it’s in the national interest to do so,” Morneau said.
Morneau said that if Kinder Morgan bails on the project, the government would reimburse any financial losses related to B.C.’s political opposition incurred by any other investor willing to take the project on — as long as reimbursement is “sound and fair and beneficial for Canadians.”
Morneau wouldn’t say if there’s a limit to how much the government is willing to spend to compensate the pipeline’s backer. (Source: CBC)