CERI study confirms B.C. benefits from pipeline

Author: Northern Gateway
Dated: 10 August 2012

According to a new study released this week by the Canadian Energy Research Institute (CERI), British Columbia will benefit most from the construction and operation of the Northern Gateway project and is expected to collect more than half of the $8.9 billion the project is expected to add to the Canadian economy over the next 25 years.

This is in stark contrast to claims made recently about B.C. being short-changed on pipeline benefits.

CERI focused their analysis on the construction and operation of the pipeline. This is an important distinction as the debate around the Northern Gateway project has become blurred by wider issues related to oilsands development.

CERI’s analysis found:

  • Construction and operation of the Northern Gateway pipeline will bring more than $8.9 billion in total additional GDP to the Canadian economy over the next 25 years; $4.7 billion of that amount will go to BC, $2.9 billion to Alberta, and $608 million to Ontario.
  • Of all regions in BC, Nechako, closely followed by North Coast, will see the most direct GDP benefit from Northern Gateway construction and operation – Nechako earning $655 million over the next 25 years; North Coast – $575 million.
  • Of all Alberta regions, Upper Peace will see the most direct GDP benefit from Northern Gateway construction and operation – $502 million over the next 25 years.
  • Employment in Canada (direct, indirect and induced) is expected to ramp up to 30,000 jobs at the peak of construction and settle down to 2,500 jobs during the operation phase.
  • Northern Gateway will generate over $2.3 billion in tax revenues over the 25-year period, with $1.45 billion going to the Government of Canada, $545 million to provincial and regional governments in BC, $162 million to provincial and municipal governments in Alberta, and $83 million to provincial and municipal governments in Ontario.

An earlier CERI analysis combined the construction and operation benefits with the economic impacts of oilsands development.

Both CERI studies highlight the vital importance of opening new diversified markets through British Columbia for Canadian energy products.

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  • Northern Gateway, May 27th, 2013 (1 year ago)

    Hi Travis, thanks for your question.

    Efforts have been made all along the Northern Gateway route to take advantage of existing disturbed land, like other pipeline right-of-ways, roads, forest services access routes and cut blocks etc., to minimize the environmental footprint of the project. In some places, our route will be different than existing disturbances because of our efforts to avoid geotechnical hazards and other identified environmental issues.

  • Travis, May 23rd, 2013 (1 year ago)

    Why would the northern gateway pipeline not parallel the existing natural gas pipelines going to Kitimat?

  • Northern Gateway, Nov 26th, 2012 (2 years ago)

    Hi Dan, thanks for your comment and questions.

    After the earthquake occurred west of Haida Gwaii last month we published this post on our blog discussing how the Northern Gateway pipeline is being designed to seismic standards: http://www.northerngateway.ca/news-and-media/northern-gateway-blogs/pipeline-safety/earthquake-on-the-queen-charlotte-fault/

    This video discusses how the pipeline route was selected and refined to address geotechnical hazards: http://www.northerngateway.ca/project-details/route-safety/

    Enbridge works with local first responders (like police and firefighters) to ensure awareness and pipeline safety, and conducts joint training exercises similar to this one: http://www.northerngateway.ca/environmental-responsibility/emergency-response-exercise/

    Enbridge is a leader in internal inspection technology use. Earlier this year we announced a suite of additional safety measures, including more frequent internal inspections for Northern Gateway, increased pipewall thicknesses and increased numbers of isolation valves. More information can be found here: http://www.northerngateway.ca/news-and-media/what-s-new-at-northern-gateway/northern-gateway-files-reply-evidence-to-jrp-makes-pledge-to-heighten-pipeline-safety-operations-measures/

  • Dan, Nov 26th, 2012 (2 years ago)

    What standards will this pipeline be built to withstand seismic events? Will there be shut off valves located on either side of every slide area watercourse and ravine that the line crosses. I do not understand the logic in putting a pipeline in a geologically active environment when people in Eastern Canada can use the oil and it would be shipped through a more benign environment. How often will this pipeline be inspected? I would hope that it would be checked at least annually. I know that Transmountain would run a machine through their pipeline annually. What type of training is in place for first responders? Being a retired firefighter from Coquitlam I was familiar with the Transmountain Pipeline location in our jurisdiction, and would ensure that my crew would tour the area at least annually all though this was not required training. Will your people be available to provide training sessions and keep first responders as well as local residents informed? I do agree that shipping by pipeline is usually safer than rail or road, but just do not believe that B.C. is a geologically safe area for it.

  • Gary Clouston, Nov 19th, 2012 (2 years ago)

    there is much to fear from the pipeline, especially in the mountains (earthquakes) and the sea (tankers running aground). As well as double hulls, the tankers should all have at least two main engines. having tugs along is fine, but there some mighty large tidal currents around northern B.C., and one of them can easily move the tanker around, and make it impossible for the tugs to control.
    what Enbridge should be doing is shipping refined oil (refined in Alberta) by railway to the coast, and it can be loaded onto tankers from there - cleanly and safely.

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