This project is not yet fully funded, and is a no go for banks. It is closely tracked by BankTrack.
The Enbridge Pipeline involves two pipelines from Bruderheim, Alberta, to a new marine terminal in Kitimat, British Columbia. Source: http://www.northerngateway.ca/
description
The
Enbridge Pipelines involve two pipelines from Bruderheim Alberta
(near Edmonton), to a new marine terminal in Kitimat, British
Columbia. The East pipeline is to import natural gas
condensate while the West pipeline is to export crude oil. There is also a proposition to build a new
marine terminal in Kitimat.
The
proposing company is Enbridge Inc., a Canadian company that operates the world's
longest crude oil and liquids pipeline system.
The
project is planned to consist of two parallel pipelines between an inland
terminal at Bruderheim, Alberta
and a marine terminal near Kitimat,
British Columbia in length of
1,177 kilometers (731 mi) both. About 520 kilometers (320 mi) of
pipeline will run in Alberta and
657 kilometers (408 mi) in British
Columbia. The crude oil pipeline would have a diameter
of 36 inches (910 mm) and its capacity would be 525 thousand barrels per
day (~2.62×10^7 t/a).
The condensate pipeline would have diameter of 20 inches (510 mm) with
capacity of 193,000 barrels (30,700 m3) of condensate per day.
Enbridge expects these pipelines to be
completed by 2015. It is expected to cost at least CAN$4.5 billion.
brief history
The
project was proposed in mid-2000s and has been several times postponed. It was
announced in 2006. To ensure the full utlization of the pipeline in 2005,
Enbridge signed a cooperation agreement with PetroChina. PetroChina agreed to
buy around 200 thousand barrels per day (~1.0×10^7 t/a) transported through the
pipeline. However, in 2007 PetroChina withdrew from the projects because of
delays to get the project started.
what must happen
Private banks must not participate to the funding of this project,
whatever forms it takes, be it project finance, general corporate loans
or underwriting of shares or bonds on the
stock markets of the companies involved.
The social impacts of this project are vast and various. The concern
underlining each of these impacts is directly related to the affected
communities. The proposed pathway of the pipeline crosses the territories of
over 50 First Nations groups. So far the pipeline is opposed by nine different
Coastal First Nations and many more inland First Nations communities located along
the pipeline. The various communities have
been actively opposing the project and have voiced these concerns in regard to the
social impacts. Some of the concerns are:
Employment: The jobs created due to the project would mostly be in the construction phase.
These jobs are short-run and unsustainable. The communities are concerned
that these jobs won't actually benefit them.
"Regional
Multiplier Effects": The communities feel that the multiplier effects
which are claimed to benefit surrounding economies are unlikely to benefit
the First Nations' economies due to the structure of their economies.
Government
Revenue: It is thought that the government revenue from the project won't
actually benefit the First Nations communities.
Cultural Impact: Many First Nations people are concerned this pipeline and possible spills will have a devastating impact on cultural activities including: hunting, fishing, trapping, berry picking, spiritual
activities, traditional village sites, recreation
sites & travel routes. There is
also the concern that the pipeline route will fragment the land even further than before, by creating artificial boundaries, creating disturbances to the land, wildlife
& fish.
Treaty rights and land title: The pipeline will
decrease the amount of land available for land claim settlement due to fragmentation & privatization of the right of
way.
There are also many environmental concerns attached to this project. One of the biggest concerns is the threat of
an oil spill and the implications this will have on the environment. Enbridge
does not have a good record when it comes to oil spills. In fact, between 1999
and 2008, Enbridge lists 610 spills that released approximately 21 million
litres (132,000 barrels) of hydrocarbons. The threat of a spill is heightened due
to the fact that the proposed path of the Enbridge Northern Gateway pipeline
will cross around 1,000 streams and rivers, including sensitive salmon spawning
habitat in the upper Fraser, Skeena, and Kitimat watersheds. Five important
salmon rivers that would be impacted are the Stuart
River, Morice
River, Copper River, Kitimat River
and Salmon River. Other concerns addressed by
the First Nations communities include:
Habitat destruction:
The areas to be cleared by the pipeline construction, road building and
upgrading will experience continuous disturbances and the alterations. The
concern here is the effects this will have on the soil and the terrain
stability, impacts on flora and fauna, etc.
Vegetation: At the same time, due to the clearing of the
land for the construction, Trees, shrubs & ground cover will be
removed, including old growth forest which is now only 15-20% of the
territory.
Wildlife and wildlife habitat: The construction could also disturb
and contaminate wildlife habitat, travel and migration.
Air and Noise pollution: There are concerns from the local
communities of the high levels of emissions as well as the noise which
will disturb local way of life and wildlife.
Water quality: The pipeline will cross many rivers and streams as
well as wetlands, ponds and lakes. The pipeline could degrade the water quality
through erosion, sedimentation, and contamination.
Fish and habitat: Construction could affect fish during spawning
periods, loss of marine plants could affect food chain, water contamination
could impact fish and marine plants, etc.
Sinopec
Corp, China's
second largest oil producer and top refiner, is a member of a consortium of
producers and refiners that has provided about C$100 million to
fund the line's regulatory and development costs. In doing so they are guaranteed
space on the line and the right to take an equity stake. So far Sinopec is the
only member of the Northern Gateway group that has been identified.
Even with the above mentioned support, Enbridge
is beginning to see that the risks and oppositions are much greater
than they had anticipated. They have
seen legal opposition from First Nations' communities and as stated by Nikki
Skuce of Forestethics "If the project isn't stopped by a First Nations
legal case, it will be stopped by a federally legislated tanker ban. If
it's not stopped by the environmental review process, it will be
delayed by lack of shipper agreements. If all else fails, First
Nations and community resistance will rise up and take action," said
Nikki Skuce, in the report "Enbridge Northern Gateway Pipelines: community opposition and investment risk."
On
December 4, 2009, the National Energy Board (NEB) and the Canadian Environmental
Assessment Agency (CEAA) issued the Joint Review Panel Agreement and the Terms
of Reference for the environmental and regulatory review for the Northern Gateway
Pipelines. Enbridge
Northern Gateway submitted its project application to the NEB
on May 27, 2010. A Joint Review Panel, established by the Minister of the
Environment and the National Energy Board, will assess the eight volume
regulatory application.
Construction of the pipeline is supposed to commence in 2013.
Recently, Sinopec Corp., China's second-largest
energy company, struck a new partnership with Enbridge Inc. It is still unknown
whether the government-controlled company will invest directly in the project. So
far, Sinopec is involved in the pre-stage work and providing support.
The Carrier Sekani Tribal Council (CSTC) has advocated for meaningful involvement of the member First Nations in any decision making process on lands & resources within their territories, including the regulatory process for the Gateway pipeline. The AIUS is meant to establish the context for any decision making process on the Gateway pipeline, but it is preliminary in nature.
Office of the Wer'su'wet'en - Pipelines in Wet'suwet'en Traditional Territory
This section of our website provides members of the Wet'suwet'en Nation with up-to-date information on these projects. It also provides the BC and Canadian governments, as well as industry, information on the official position of the Wet'suwet'en Chiefs.
First Nations in BC declare opposition against Enbridge's Northern Gateway Pipeline
Feb 10, 2011 - On March 22, 2010, the Coastal First Nations gathered together at a press conference in Vancouver to take a public stance against the proposal of Enbridge's Northern Gateway project -- a 1,170 kilometre pipeline transporting dirty Tar Sands oil from Edmonton, Alberta to Kitimat, British Columbia.