NewsAlert: TransCanada cancels Energy East pipeline project

TransCanada

NewsAlert: TransCanada cancels Energy East pipeline project

In a press release issued Thursday morning, Transcanada has indicated that they have chose to bury the project of $ 15.7 billion "as a result of an in-depth analysis of the new requirements".

"Irving Oil Limited, TransCanada's partner on the Energy East pipeline project, said Canada has missed out on a once-in-a-lifetime opportunity" with TransCanada's decision not to proceed with the application to build the Energy East pipeline. In keeping with our long and proud history of pipeline construction, our various Locals across Canada invested significantly to upgrade and enhance capacity in our training facilities to ensure the next generation of skilled tradespeople were available and ready to work on Energy East.

The company has said repeatedly that eastern Canadian refiners rely on imports for 86 per cent of their daily needs.

Through a Memorandum of Understanding (MOU) signed between TransCanada and the Pipe Line Contractors Association of Canada, the IUOE would have participated in building the Energy East Pipeline.

The Calgary-based company (TSX:TRP) had announced last month that it was suspending its efforts to get regulatory approvals for the mega projects.

On the other side of the pipeline debate, a statement from Greenpeace celebrated: "An incredible victory for all the people, environmentalists, municipalities, landowners, unions, First Nations, and everyone who opposed this project". A report released by the Conservation Council of New Brunswick said noise from tanker traffic causes heightened levels of stress for the North Atlantic right whale, the most endangered large whale in the world. "Energy East was a disaster waiting to happen".

December 17, 2015: TransCanada files an amended application and cost estimate of $15.7 billion for Energy East. In a statement, the company said the decision would result in roughly $1 billion in losses and cited "changed circumstances" as its rationale.

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"Justin Trudeau and (Natural Resources Minister) Jim Carr stood behind a climate review for Energy East, and that's admirable, but it also makes me wonder why they don't have the same concerns about Kinder Morgan, a pipeline they approved without considering the climate impact", read her emailed comments.

Environment Minister David Heurtel says he wanted the $15.7-billion project to be subject to the province's environmental regulations.

March 7, 2016: Protesters in Quebec disrupt hearings into the Energy East project seconds after they officially started. This project would have offered significant social and economic benefits to Canadians across all provinces and territories.

The decision comes after Canada's national energy regulator expanded its review of the projects in August. TransCanada cancelled that project on Thursday amid regulatory hurdles and weaker oil prices.

January 27, 2017: The new National Energy Board panel tasked with reviewing the Energy East pipeline decides to throw out all of the decisions made by the previous panel.

"That said, we do have a position in all other pipeline projects, and no single pipeline will impact our ability to grow", Seetal said.

It was not immediately clear whether the project's opponents would be able to hold up Energy East as an example to the court.

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