By The Canadian Press

Supreme Court dismisses Burnaby’s case against Trans Mountain pipeline

Aug 23, 2018 | 10:37 AM

The leader of an Indigenous group that hopes to someday own a stake in the Trans Mountain pipeline welcomed news Thursday that the Supreme Court of Canada has dismissed an appeal by the City of Burnaby on construction of its expansion project.

The decision makes it more likely that the expansion will be built, said Cheam First Nation Chief Ernie Crey.

“I have the feeling, at the end of the day, it’s going to clear all the hurdles that remain of a legal nature and so I’m happy at this ruling,” he said in an interview.

When the federal government agreed in May to buy the pipeline from Alberta to the B.C. coast and related infrastructure for $4.5 billion from Kinder Morgan Canada Ltd., it signalled that it didn’t intend to own it for the long term and would sell it as soon as possible.

Although many B.C. First Nations oppose the pipeline — and several are parties to a Federal Court of Appeal challenge of Ottawa’s project approval in 2016 — 43 First Nations have signed benefit agreements, Crey pointed out.

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“There is growing interest on the part of Indigenous people to take out a stake in the pipeline,” he said.

“They (may) have the option of buying shares, of course, but my impression from the leadership I’ve talked to in Alberta, Saskatchewan and B.C., is they want a substantial interest in the pipeline.”

The Supreme Court’s rejection of the Burnaby appeal was welcomed by Alberta and federal governments and mourned by environmental groups on Thursday.

“We’re disappointed by today’s decision as what we are seeing is the federal government railroading over municipalities just trying to protect the health and safety of their citizens,” said Greenpeace campaigner Mike Hudema.

He said the project still faces significant delays and court challenges, as well as growing resistance on the ground.

A spokesman for Natural Resources Minister Jim Carr said the government stands by its decision to buy the pipeline, noting it is needed because it will provide access to new markets for Canadian crude and create new jobs.

“We have taken an approach to resource development that will grow our economy and protect the environment. These priorities go hand-in-hand,” said Emerson Vandenberg in an email.

The Alberta government is “batting a thousand” when it comes to fighting for the Trans Mountain pipeline expansion, Premier Rachel Notley said Thursday on social media, noting the courts have made 17 straight rulings in favour of Trans Mountain.

“When the City of Burnaby tried to block the Trans Mountain Pipeline in court, we intervened – and we won in court and we won again today,” she said.

Alberta has pledged to spend up to $2 billion, if needed, to keep the project going.

In a statement, Kinder Morgan said it was “pleased” with the Supreme Court decision.

The City of Burnaby did not immediately respond to a request for comment.

If the federal government succeeds in closing the deal to buy the pipeline, it faces at least $7.4 billion in expansion construction costs, although a recent report from Kinder Morgan suggested those costs could rise by as much as $1.9 billion under certain scenarios.

Burnaby had asked the country’s highest court last spring to consider overturning a lower court decision that denied the port city leave to appeal a ruling by the National Energy Board.

The NEB ruling allowed Kinder Morgan to bypass local bylaws regarding plan approvals and tree-cutting permits during construction in the Burnaby area for the expansion, which is to triple the amount of diluted bitumen and other oil products moving between the Edmonton area and the port.

Earlier this week, protesters outside a cabinet retreat in Nanaimo, B.C., accused Prime Minister Justin Trudeau of fiddling “while B.C. burns,” referring to the province’s raging wildfires that some have attributed to climate change.

The cabinet met with B.C.’s NDP premier, John Horgan, who reiterated his government’s staunch opposition to the pipeline expansion project, which he said would result in a seven-fold increase in tanker traffic off B.C.’s coast and, thus, increase the chances of a “catastrophic spill.”

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Dan Healing, The Canadian Press