Prime Minister Justin Trudeau spoke with Alberta Premier Rachel Notley, following today’s announcement that the federal government would buy the Trans Mountain Pipeline from Kinder Morgan.
“The Prime Minister expressed appreciation for Premier Notley’s continued support for the project, and confirmed that the agreement will guarantee the resumption of work for the summer construction season and protect thousands of jobs,” said the Prime Minister’s Office, in a release.
As part of the agreement, the Government of Canada will fund the resumption of pipeline’s planning and construction work by guaranteeing Kinder Morgan’s expenditures under a separate Federal Government recourse credit facility until the transaction closes.
The feds said that the investment represents a fair price for Canadians, and will allow the project to proceed under the ownership of a Crown corporation.
The Alberta government announced its support to the project in the form of a backstop that would be called upon in unforeseen circumstances.
During the call, Trudeau acknowledged Alberta’s “commitment to get the job done.”
The Prime Minister also confirmed that Alberta’s funding contribution to the pipeline would serve as an emergency fund and would only be required due to unforeseen circumstances.
“The Prime Minister and Premier Notley noted their shared belief that it is possible – and fundamental – to grow the economy and protect the environment at the same time,” stated the Prime Minister’s Office.
Trudeau also spoke with BC Premier John Horgan following today’s pipeline decision.
During the call, the federal government said Trudeau “reiterated” the federal government’s jurisdiction over interprovincial pipelines, and noted that the Government of Canada “is confident that, with this agreement, it is upholding the trust Canadians have placed in the government.”
Horgan said the federal government’s decision was “motivated by a private company, who gave a deadline – not to me, and not to the people of British Columbia – but to someone they characterized as stakeholders.”
With files from Eric Zimmer.