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DFO report to JRP says Northern Gateway pipeline will cross “high-risk” streams but releases only two examples on Kitimat watershed

A Department of Fisheries and Oceans report filed Wednesday, June 6, 2012, with Joint Review Panel says the department has identified streams on the Northern Gateway Pipeline route that Enbridge identified as “low risk” but which DFO considers “high risk.” However, in the filing, DFO says it can’t release a comprehensive list of the high risk streams, preferring instead to give two examples on the Kitimat River watershed.

The DFO report comes at a time when the Conservative government is about to pass Bill C-38, which will severely cut back DFO’s monitoring of the majority of streams. It appears that the anonymous DFO officials who wrote the report acknowledge that they may soon have much less monitoring power because the report says:

Under the current regulatory regime, DFO will ensure that prior to any regulatory approvals, the appropriate mitigation measures to protect fish and fish habitat will be based on the final risk assessment rating that will be determined by DFO.

Note the phrase “under the current regulatory regime.”

The report also identifies possible threats to humpback whales from tanker traffic.

In the report, DFO notes that Northern Gateway’s “risk management framework” is based on DFO’s own Habitat Risk Management Framework, and DFO, notes “the approach appears to be suitable for most pipeline crossings.”

However, DFO further remarks that it has identified

some examples where crossings of important anadromous fish habitat have received a lower risk rating using Northern Gateway’s framework than DFO would have assigned. In addition, DFO has identified some instances where the proposed crossing method could be reconsidered to better reflect the risk rating.

In bureaucratic language, the Department says “DFO reviews impacts to fish and fish habitat and proposed mitigation measures through the lens of its legislative and policy framework” again a strong hint that the legislative and policy framework is about to change.

It goes on to say:

The appropriate approach to managing risks to fish and fish habitat is based on the risk categorization. For example, where high risks are anticipated DFO may prefer that the Proponent use a method that avoids or reduces the risk such as directional drilling beneath a watercourse to install the pipeline. If low risks are anticipated other methods such as open-cut trenching across the watercourse may be appropriate.

While DFO is “generally satisfied” with Northern Gateway’s proposed approach, it says “DFO has identified some crossings where we may categorize the risk higher than Northern Gateway’s assessment.”

DFO then gives Enbridge the benefit of the doubt because:

Northern Gateway continues to refine the pipeline route and we anticipate that assessment of risk will be an iterative process and, if the project is approved and moves to the regulatory permitting phase, DFO will continue to work with Northern Gateway to determine the appropriate method and mitigation for each watercourse crossing. In DFO’s view, Northern Gateway’s approach is flexible enough to be updated if new information becomes available.

DFO then says it

has not conducted a complete review of all proposed crossings, we are unable to submit a comprehensive list as requested; however, this work will continue and, should the project be approved, our review will continue into the regulatory permitting phase. While there may be differences in opinion regarding the risk categorization for some proposed watercourse crossings, DFO will continue to work with Northern Gateway to determine the appropriate risk rating and level of mitigation required.

Here is where DFO points to current, not future policy, when it says:

DFO is of the view that the risk posed by the project to fish and fish habitat can be managed through appropriate mitigation and compensation measures. Under the current regulatory regime, DFO will ensure that prior to any regulatory approvals, the appropriate mitigation measures to protect fish and fish habitat will be based on the final risk assessment rating that will be determined by DFO.

The report then gives two examples of high risk streams both in the Kitimat River watershed

Example 1) Tributary to the Kitimat River, KP 1158.4 (Rev R), Site 1269

Northern Gateway Rating: RMF: Low Risk

DFO Rating: RMF: Medium to High Risk

Rationale: This is a coastal coho salmon spawning stream that is quite short in length. It has several historic culverts in poor repair which are already impacting the reported run of approximately 100 spawning salmon. Works can be completed in the dry as this stream dries up during the summer. DFO is of the opinion that the risk rating is higher than that proposed by Northern Gateway due to the sensitivity of incubating eggs and juveniles of coho salmon to sediment and the importance of riparian vegetation for this type of habitat.

Example 2) Tributary to the Kitimat River, KP 1111.795 (Rev R), Site 1207

Northern Gateway Rating: RMF: Medium Low Risk

DFO Rating: RMF: Medium to High Risk

Rationale: In DFO’s view the risk rating for this watercourse is higher than that proposed by Northern Gateway because this stream is high value off-river rearing habitat for juvenile salmon such as coho salmon. This type of fish habitat is vulnerable to effects of sedimentation and loss of riparian vegetation.

Humpback Whales

The Joint Review Panel also asked DFO for a comment on the status of the humpback whale, especially in the shipping area in the Confined Channel Assessment Area Between Wright Sound and Caamaño Sound.

DFO responds

Four areas of critical habitat were proposed for humpback whales in coastal British Columbia in the Draft Recovery Strategy released in 2010, including the Confined Channel Assessment Area from Wright Sound to Caamaño Sound. However, humpback whales have recently been re-assessed by the Committee on the Status of Endangered Wildlife in Canada (COSEWIC) and were redesignated ‘Special Concern’ but remain ‘Threatened’ under the Species at Risk Act (SARA). A draft recovery strategy for the humpback whale has been prepared.
It is unclear if humpback whales are still protected as a Schedule 1 status species under the SARA and whether a recovery strategy has been finalized.

Fisheries and Oceans Canada Response to the JRPs IR Request (pdf)

Enbridge claims support from 60 % of First Nations on pipeline route; company also sticks to repudiated Gitxsan deal.

Enbridge Northern Gateway says that 60 per cent of the aboriginal communities on the route of the $5.5 billion Northern Gateway oil pipeline have agreed to accept an equity stake in the project.

In releases to the media today, June 5, 2012, Enbridge says that half of the communities that signed up for a piece of the 10 per cent equity stake on offer are in British Columbia and the other half in Alberta.

There was immediate controversy because Enbridge is refusing to release the names of the communities that have signed up for the deal for “privacy reasons.”

The controversy was heightened late Tuesday when Enbridge spokesman Paul Stanway told The Terrace Standard the company’s deal with the Gitxsan First Nation still stands, despite the fact both a majority of the heriditary leadership of the Gitxsan and the elected council have rejected the agreement signed by one chief Elmer Derrick.

A blockade of the Gitxsan treaty office is continuing despite a court injunction ordering an end to the blockade.

“We feel we certainly have an agreement,” said Enbridge official Paul Stanway told the Standard in describing discussions it has subsequently had with Gitxsan officials. Stanway said the deal followed a protocol arrangement signed with Gitxsan chiefs several years ago.

“We are confident we were negotiating with the right people,” he said of discussions with treaty society chief land claims negotiator Elmer Derrick and other society officials.

In addition, Art Sterritt, executive director of the Coastal First Nations issued a news release that called Enbridge’s claims about aboriginal equity partners a “complete sham”.

“We’ve checked with all First Nations on the pipeline route west of Prince George and only two First Nations have signed equity agreements,” Sterritt says in the release. “Enbridge expanded its pipeline corridor by 80 kilometres to increase its numbers. Many of those communities that have signed on are located outside of the areas that will be impacted by a spill.”

Sterritt also challenged Enbridge’s contentions on the Gitxsan deal, saying that the Gitxsan people have made it clear they don’t support the project. “They have strongly rejected the agreement.”

Sterritt concluded. “We intend to stop this project.”

Sterrit says his coastal alliance is “absolutely mystified” about the inclusion of the Metis — who don’t have aboriginal rights and title within the corridor — in Enbridge’s 60 per cent. (Representatives of the Metis have taken part in the Joint Review hearings from the opening days of hearings in Kitimat last January).

Enbridge has announced before that First Nations support the pipeline project but, with the exception of Derrick, has never publicly discussed which nations support the project.

The near simultaneous announcement by Enbridge of First Nation’s support for the pipeline and the statement that the company is sticking with its agreement with Elmer Derrick could raise more controversy by causing more splits within First Nations if a few individuals sign and then the agreement is repudiated by other leaders, as happened with the Gitxsan Nation.

The pipeline which would run more than 1770 kilometres from the Alberta bitumen sands to Kitimat, carrying 525,000 barrels of diluted bitumen in the first train and as much as 825,000 barrels in the second train. If everything is approved, Enbridge hopes to ship the bitumen by 2017.

“It’s a good place for us to start in demonstrating that there is aboriginal support for Northern Gateway,” Stanway said. “It’s not 100 per cent, but neither is it the wall of opposition that our opponents sometimes claim.”

The 10 per cent equity ownership for the First Nations who signed the deal will give them about $280 million over 30 years. They would see cash flow starting in the first year of the pipeline’s operation.

There are 45 First Nations along the pipeline, but Stanway wouldn’t give a final figure on how many signed on.

“Some of those are willing to partner with us. That’s not to say they still don’t have some concerns. They want to make sure that we build and operate the pipeline as safety as possible.”

Wilf Adam of the Lake Babine First Nation in Burns Lake, B.C., the Canadian Press (as reported on the Global BC site) he refused to sign the equity agreement because Enbridge was unwilling to release more details in the contract.

“I’d been asking for the financial figures and I’d been asking about the employment. They said there would be a lot of employment.”

Adam told CP it appeared to him that there would be few jobs available for his people. Hesaid there was a flurry of emails and phone calls from Enbridge officials after the company moved the deadline for signing the equity agreement up to May 31.
Related links

Reuters: Enbridge Northern Gateway wins some native support

Globe and Mail: Some first nations want equity in Northern Gateway, but opposition remains

Common Sense Canadian Tough Questions for Enbridge on its Alleged Support from First Nations

CBC Majority of aboriginal communities sign on to Northern Gateway

TransCanada to build Shell’s “Coastal Gaslink” natural gas pipeline to Kitimat

Shell Canada and its Asian partners have chosen TransCanada Corporation to design, build, own and operate the proposed natural gas pipline to Kitimat, now called the Coastal GasLink project.

The estimated $4-billion pipeline will transport natural gas from the Montney gas-producing region near Dawson Creek, in northeastern British Columbia to the proposed natural gas export facility at Kitimat, BC.

The LNG Canada project is a joint venture led by Shell, with partners Korea Gas Corporation, Mitsubishi Corporation and PetroChina Company Limited.

A news release from TransCanada says “Shell and TransCanada are working toward the execution of definitive agreements on the Coastal GasLink project.”

In the release, Russ Girling, TransCanada president and CEO says:

Our team has the expertise to design, build and safely operate pipeline systems. We look forward to having open and meaningful discussions with Aboriginal communities and key stakeholder groups, including local residents, elected officials and the Government of British Columbia, where we will listen to feedback, build on the positive and seek to address any potential concerns. Coastal GasLink will add value to British Columbians, particularly Aboriginals and communities along the conceptual route, by creating real jobs, making direct investments in communities during construction and providing economic value for years to come.

TransCanada says the company has approximately 24,000 kilometres of pipelines in operation in western Canada including 240 kilometres of pipelines in service in northeast BC. Another 125 kilometres of proposed additions either already having received regulatory approval or currently undergoing regulatory review. These pipelines form an integral and growing part of TransCanada’s NOVA Gas Transmission Ltd. (NGTL) System, which brings natural gas from Alberta to British Columbia to a hub near Vanderhoof.

Girling said in the release:

TransCanada is a leading energy infrastructure company in North America, with a 60-year history of safe, efficient and reliable operation of our assets and a respect for the communities and environments where we operate. We appreciate the confidence that Shell and its partners have placed in us to build, own and operate this natural gas pipeline in British Columbia. We will work collaboratively with them, Aboriginals and other stakeholders as we launch into the initial phases of consultation and regulatory review.

Project parameters

In it’s release TransCanada describes the potential Coastal GasLink pipeline project this way:

Receipt point: Near Dawson Creek, BC
Delivery point: Proposed LNG Canada facility near Kitimat, BC
Product: Natural gas from BC’s abundant Montney, Horn River and Cordova basins and elsewhere from the Western Canada Sedimentary Basin
Length of route: Approximately 700 kilometres of large diameter pipe
Initial pipeline capacity: In excess of 1.7 billion cubic feet of gas per day
Anticipated jobs: Estimated 2000-2500 direct construction jobs over a 2- during construction 3 year construction period
Estimated cost: Detailed cost information will be developed following completion of project scoping and planning. The current estimate is approximately $4 billion
Regulatory process: Applications for required regulatory approvals are expected to be made through applicable BC provincial and Canadian federal processes
Estimated in-service date: Toward the end of the decade, subject to regulatory and corporate approvals

Pipeline route

TransCanada says: “The final pipeline route will take into consideration Aboriginal and stakeholder input, the environment, archaeological and cultural values, land use compatibility, safety, constructability and economics.:

The Pacific Trails Pipeline would go cross country to Kitimat. (PTP)

At this point there are two possible routes for the pipeline west of Vanderhoof. One route would be to follow the existing Pacific Northern Gas route that roughly parallels Highway 16. The second possibility is a cross-country route, which may lead to controversy. The Pacific Trails Pipeline, which would feed the KM LNG partners (Apache, Encana and EOG) goes across the mountains from Smithers. While the PTP project has the approval of most First Nations in the regions, Apache and PTP are still in negotiations with some Wet’suwet’en houses over portions where the pipeline would cross the traditional territory of the houses. The much more controversial Enbridge Northern Gateway pipeline follows a similar cross-country route and faces much stiffer opposition than the Pacific Trails Pipeline, due to the content of that pipeline, mainly diluted bitumen and because, critics say, Pacific Trails managed to secure the most geologically stable cross country route earlier in this decade when the pipeline was originally planned to import, not export, natural gas.

TransCanada says the Coast Gaslink pipeline will also have an interconnection with the existing Nova Gas (NGTL System and the liquid NIT) trading hub operated by TransCanada. The company says:

A proposed contractual extension of TransCanada’s NGTL System using capacity on the Coastal GasLink pipeline, to a point near the community of Vanderhoof, BC, will allow NGTL to offer delivery service to its shippers interested in gas transmission service to interconnecting natural gas pipelines serving the West Coast. NGTL expects to elicit interest in and commitments for such service through an open season process in late 2012.

That means that the Asian customers will not be just dependent on natural gas from northeast British Columbia. Instead the “molecules” of natural gas from Alberta will join the stream heading to Kitimat. “Open season” in the energy industry is an auction where potential customers or transporters bid for use the pipeline.

In the release Girling says:

The potential Coastal GasLink pipeline project will allow British Columbians, and all Canadians, to benefit from the responsible development of valuable natural gas resources and will provide access to new markets for that gas. The project will also create substantial employment opportunities for local, skilled labourers and businesses as part of our construction team,” concluded Girling. “We know the value and benefits that strong relationships in British Columbia can bring to this project and we look forward to deepening those ties as our extensive pipeline network grows to meet market and customer needs.

TransCanada Corp. is no stranger to controversy, the company is the main proponent of the Keystone XL pipeline from Alberta to the US Gulf Coast. Portions of that pipeline were put on hold by President Barack Obama pending further review and Keystone has become a hot issue in the current American presidential election.

Editorial: Support free speech in Canada for a proper debate on the country’s future

On Monday, June 4, 2012, many web sites across Canada (and some in the United States) will “black out” to protest the draconian provisions of Bill C-38, the huge omnibus bill that threatens to remake this country without proper debate either in Parliament or with the public and the news media.

As a news site, Northwest Coast Energy News will not “black out” as we have an obligation to continue to cover the news. However, make no mistake, this site supports the BlackOut SpeakOut campaign for free speech in Canada. Without free speech, the Canadian people cannot come to any informed decision on the vital issues of economic development and environment protection and climate change. Without free speech, the future of this country will be decided by the whims of the prime minister and a few of his cronies in the federal cabinet.

The word “Parliament” means to speak. Now Stephen Harper and the operatives in the Prime Minister’s Office have gone so far as to forbid members of the Conservative Party itself to represent their constituents and actually express that representation in public, in the media and even in Parliament.

Not only is the Conservative government of Stephen Harper putting unprecedented amounts of legislation which should be in separate bills in to the budget act and limiting debate on the bill, the government is doing everything it can to stifle debate on the issues within the massive bill.

Even before it got its majority last spring, Stephen Harper and his government stifled scientists and other officials in the government’s employ from discussing even the most minor of issues. The government now acts like a Third World dictatorship by sending “minders” along with the scientists when they go to international conferences. You have to wonder what the world thinks when Canada sends minders to watch over this country’s scientists, just as Iraq under Saddam or Syria today use minders to watch over visiting journalists.

Stephen Harper and the Conservatives are cutting funding for world-class scientific monitoring across Canada on marine pollution, studies on the changes in the ozone layer and the state of fresh water lakes. Bill C-38 will gut fisheries protection, based on the strange belief that you can protect large rivers without protecting smaller spawning streams. If the government believes that these cuts will save the taxpayer money, will reduce the deficit, they live in a fantasy world. These cuts mean that future generations will be paying and paying to clean up the cross-country enviromental disaster that will be the legacy Conservative policies. One also has to wonder if the resource companies, which throughout history, (or at least up until now), have used that scientific research are now blinded by political ideology.

Here on the west coast, the cuts to Coast Guard protection will have a devastating effect on the safety and lives of mariners who work the BC coast and all the spin about future coast guard vessels that may be launched years from now does not change that.

We have seen the government attack environmental groups that may receive part of their funding from foreign foundations (and why not, we all live on the same planet?) while apparently accepting foreign funding to so-called “think tanks,” like the Fraser Institute, which support the Conservative Party. The Conservatives also see nothing wrong with billions in foreign investment in the energy sector, much of it from China, and the money those companies put into lobbying. Apparently if you “invest” you have free speech, if you are not an “investor,” your free speech rights are not as important.

If the energy and other resource development companies think that Conservative policy will fast-track their plans and project, then think again. Talk of civil disobedience across British Columbia is increasing day by day. The cuts to marine pollution monitoring and Coast Guard protection mean that more people who were neutral or even supportive of those projects are now moving toward the opposition.

The freedom to speak in the media and in the public sphere remain in Canada (for now). Parliament, however, under the contemptuous gaze of Stephen Harper, is fast becoming nothing more than a puppet show, with Harper pulling the strings.

The Blackout Speakout campaign shows how much democracy in Canada has decayed since Harper won his majority last May. Who would have believed a year ago that this country would need to have a campaign for free speech?

In the years before Confederation in 1867, Canadian politicians campaigned for what was called “responsible government.” It is now time to fight that battle all over again.

Haisla aim to take on feds, Alberta over Gateway

The Haisla Nation have filed papers with the Northern Gateway Joint Review Panel asking permission to question both the federal and Alberta governments during the questioning phase of the hearings.

A letter from the Haisla’s lawyer, Jennifer Griffith of the law firm Donavan & Company explains:

The Haisla Nation intends to question federal government participants on the following aspects of the proposed project:

1. The federal government’s evidence;

2. The adequacy and completeness of the information provided by the proponent;

3. The potential impacts of the proposed project;

4. The proponent’s proposed approaches to mitigation;

5. The regulatory role of the federal government with respect to the proposed project.

Griffith says the Haisla Nation want information “about potential environmental effects of the proposed project and the suitability of the proposed mitigation” and to find out if the controversial pipeline project “will result in significant adverse effects that cannot be mitigated, and on potential impacts to the Haisla Nation’s aboriginal rights, including aboriginal title.”

Griffith adds that the federal government plays a significant role in the proposed project approval, permitting and in regulatory oversight.

In addition, various federal government departments are charged with administering legislation applicable to the project that is designed to protect the environment or species at risk. The federal government’s assessment of the proposed project is therefore required in order to have a full understanding of the potential project effects.

The federal government has participated in the information requests to the proponent phase, and has filed evidence. Fairness requires that the Haisla Nation have the opportunity to test the evidence submitted by the federal government, and to explore the role of the federal government in the regulations of the proposed project.

On Alberta, Griffth says The Haisla Nation intends to question the Government of Alberta on the Wood Mackenzie Netback Analysis (a study commissioned by the Calgary Chamber of Commerce on ways of exporting oil from Alberta and the transportation corridors needed to get the oil to markets in Asia), adding

Information about potential economic benefits anticipated to result from the proposed project is relevant to the Canadian public interest assessment required for the proposed project.

Haisla Nation questioning Federal Government (pdf)

Haisla Nation questioning Government of Alberta (pdf)

Joint Review Panel Submission Calgary Chamber of Commerce (pdf)

Anti-Enbridge group adopts Quebec students’ “red square” campaign

An anonymous group opposing the Enbridge Northern Gateway pipeline is calling for a demonstration at the site of an oil and gas export conference in Vancouver on May 30 and 31 and asking participants to wear the red square that has become symbolic of the Quebec student protests first against tuition fee hikes and later against Bill 78 aimed at controlling demonstrations in the province.

A notice posted on the website Infoshop News, which describes itself as an anarchist news service, calls for the demonstration at the Four Seasons hotel in Vancouver, site of the Canada Oil and Gas Export Summit. The notice is being widely circulated on Twitter.

The notice adds: “Don’t forget your red squares. Let’s bring the Maple Spring to BC and join Quebec students in opposing the 1% agenda of austerity and environmental destruction.”

Calling the demonstration, “Green Jobs, Not Oil Spills,” the notice says: “On May 30th/31st the 1% are meeting at the Four Seasons hotel for a two day conference to plot their strategy for Exporting raw tar sands bitumen across BC and overseas to China via pipelines and super tankers.”

The website for the Canadian Oil and Gas Export Summit, says “The oil and gas industry is at a critical crossroads and now is the time to take a hard look to alternative outlets for Canadian oil and gas,” meaning alternative markets to the United States. The energy companies are worried about the future of their American market share due to the effect of political gridlock on the US economy and the growing exploitation of American shale gas deposits which are cutting into Canadian export markets.

The site says the conference highlights include:

The latest updates on opening new market opportunities – Moving Canada oil and
gas exports beyond U.S. markets
The impact of the U.S. pipeline decision on the Canadian oil and gas sector
The benefits for Canadian producers to tap into Asian markets and
addressing the perceptions of the two markets
The most cost effective strategies of getting to market in light of opposition
Infrastructure requirements necessary for accessing Canada’s East and West Coast
The legal and regulatory issues surrounding west coast energy corridors, terminals and
shipping in British Columbia

The conference speakers will tackle a large number of hot button issues in BC, from the energy industry point of view: Paul Fisher, vice present, Commercial, Western Access for Enbridge Pipelines speaks on “Exploring Canada’s Ability to Compete in a Global Marketplace.” Gordon Houlden, Director of the China Institute at the University of Alberta, has a talk touching on “Balancing the complexities of unresolved land claims, environmental and infrastructure issues and the economic development of Western Canada.” Tracy Robinson, Vice President Marketing & Sales, Canadian Pacific Railway, speaks on exporting crude by rail. Douglas Ford, of Communica Public Affairs Inc. handles a large number of issues from the PR point of view, including “the regulatory processes related to British Columbia coastal development,” “the complexity of project development in BC vis a vis First Nations,” with advice on “How to effectively engage community, NGOs, and aboriginal stakeholders.” Van Zorbas of Deloitte Canada speaks about the problems from the current labour shortage.

Kitimat to “fully participate” in Northern Gateway Joint Review procedural planning meeting: Council

The District of Kitimat will “fully participate” in the Northern Gateway Joint Review procedural planning meeting conference call on May 30, Councillor Rob Goffinet told Northwest Coast Energy News Wednesday, May 23.

Goffinet said the District had been aware of the problem of the JRP bypassing Kitimat for the questioning and final argument phases of the hearings and took steps to register for the planning meeting to be held in Calgary on May 30.

Goffinet, saying he was speaking on behalf of Mayor Joanne Monaghan and the entire council, said as many members as possible will attend, along with District staff, listening in to the conference call from a board room in the District offices in City Centre.

Both the Haisla Nation and the province of British Columbia have filed formal objections to the JRP’s plans to bypass Kitimat for the final sets of hearings.

District of Kitimat Participation at Procedural Conference of 30 May (pdf)

BC, Haisla, file objections to JRP bypassing of Kitimat; Enbridge likes venues, avoids the tanker problem

Both the province of British Columbia and the Haisla Nation have filed strong objections with the Northern Gateway Joint Review Panel about the panel’s plans to bypass Kitimat for the questioning and final argument phases of its examination of the controversial pipeline project.

At present, the Joint Review Panel plans to hold questioning hearings in Prince Rupert, Prince George and either Calgary or Edmonton and final arguments in Prince Rupert and Calgary/Edmonton.

And if Prime Minister Stephen Harper and Natural Resources Minister Joe Oliver wanted to speed up the hearings and therefore approval of the Northern Gateway project, filings from all sides indicate more time is needed than the two months allocated by the JRP.

The JRP secreteriat plan a meeting in Calgary on May 30 to consider the procedures. The three panel members will not attend. A large number of intervenors or government participants will be represented in person or take part in a conference call.

The lawyer for the Haisla Nation, Jennifer Griffiths, points out in her filing with the JPR, “Prince Rupert is not a logical location for any of the hearings.”

Updated: The District of Kitimat, which is registered as a “government intervenor” will participate in the conference call.

The law firm representing the Enbridge Northern Gateway, agrees with the JRP preliminary decision to hold the hearings in Prince Rupert, Prince George and Calgary or Edmonton. However, Enbridge’s lawyer Richard Neufeld, of Fraser, Milner, Casgrain, makes it clear that for those hearings they are not involved in the operation of tankers carrying the bitumen they sell to customers.

This includes a marine terminal at Kitimat. Northern Gateway recognizes the interest of the public, government, and First Nations in respect of the potential effects of ships calling on the proposed marine terminal, but it is important to bear in mind that Northern Gateway will not own or operate any marine vessels. No approvals are sought, or required, for such operations, as they are subject only to laws of general application which apply to all shipping into or out of Canadian ports.

The Ecojustice group, also known as the Sustainability Coalition, an alliance of the Living Oceans Society, Raincoast Conservation and ForestEthicsAdvocacy wants hearings in Vancouver. The Coastal First Nations also want the hearings in Vancouver.

The Wet’suwet’en want more hearing locations especially in the areas of the proposed route to address those most affected, telling the JRP:

The Office of the Wet’suwet’en (OW) is localized in Smithers, BC, our territory is 22,000 square kilometres and 170 kilometres is proposed to be crossed by NGP prior to crossing the coastal mountain range. The OW requests that hearings be held in Smithers or Burns Lake for full days rather than half days to reduce travel and accommodation costs for intervenors.

In the provincial filing, Christopher Jones, counsel for British Columbia says:

the Province submits that it is essential for a portion of the final hearings to take place in Kitimat. Kitimat is the proposed location of one terminus of the proposed pipeline, and of the proposed marine terminal. As a result, that locality has a particular interest in these proceedings. There are sufficient facilities and transport access to Kitimat to allow the hearings to take place there…..

The letter from Jones goes on to stay that BC believes “the Province would again submit that certain issues should be dealt with at Kitimat” rather than Prince Rupert.

Griffith, of the Vancouver law firm, Donavan and Company, filing on behalf of the Haisla Nation says:

The Haisla Nation questions why no final hearings are proposed for Kitimat. Given the significant new infrastructure associated with the project that is proposed to be located in the Kitimat area, Kitimat is a logical location for hearings. Kitimat is serviced by the Terrace airport, which is only 56 km away. Kitimat also has dock facilities for parties who may be travelling to the hearings by boat. Finally, there is ample accommodation in the Kitimat I Terrace area. Prince Rupert is not a logical location for any of the hearings. The proposed pipeline does not go near Prince Rupert, the terminal is far from Prince Rupert, the tankers would go through Douglas Channel, not past Prince Rupert. Prince Rupert is not accessible to the Haisla Nation by way of a direct flight.

Griffith also says the final arguments should be held either in Kitimat or Vancouver.

The Haisla Nation will have to participate in every aspect of the hearings. Yet the Panel is currently not proposing to hold any of the questioning phase or final hearings in Kitimat. As set out in the comments below, the Haisla Nation is of the view that the questioning and final hearing locations slated for the western terminus of the project should be held in Kitimat, not in Prince Rupert.

Enbridge, on the other hand, through its lawyer, Richard Neufeld, says:

Northern Gateway agrees with the Panel’s observations regarding the need to select hearing venues that are centrally located, have adequate facilities and reasonable transportation access for the large numbers of witnesses and back-up support personal required. Northern Gateway also agrees that Prince Rupert, Prince George and Calgary/Edmonton meet these criteria. Northern Gateway also agrees that if economic issues are to be dealt with in a single venue, it would be appropriate to do so in Calgary or Edmonton. Of the two, Calgary would be a more logical location given its convenience for those participating in that aspect of the proceeding.

Enbridge also has reservations about the process, while it wants the hearings “streamlined,” the company is concerned about the plan to split the hearings into various issues could be “prejudicial” to the project.

Northern Gateway expects that the Panel is considering an issues-based hearing in an effort to streamline the hearing process, and to make the process more accessible to those who want to participate only when specific issues or topics are under discussion. Both objectives are laudable.

However, an issues-based hearing format has the effect of forcing the Applicant to split its case into multiple parts. This is potentially prejudicial to the Applicant – especially if the issues identified for litigation do not correspond to the manner in which the Application has been structured.

The EcoJustice group wants hearings in Vancouver, largely because many of its members are there, with staff lawyer Barry Robinson, saying to the JRP:

The Coalition recommends that the Panel consider adding a fourth hearing location in Vancouver. The Coalition notes that, logistically, many of the witnesses and counsel that would appear in Prince Rupert would travel through Vancouver. If the vast majority of the witnesses and counsel to appear on any given issue will be required to travel from or through Vancouver, the Coalition recommends that the issue be heard in Vancouver to reduce travel costs and related greenhouse gas emissions.

However, the Coalition is sensitive to the needs of local intervenors in the Prince Rupert area and would ask that the Panel use its discretion in allocating topics to be heard in Prince Rupert and Vancouver.

And later:

The Coalition recommends that the Panel consider hearing final argument in Vancouver as a third location. The Coalition is supportive of the Panel providing an option for remote participation.

Coastal First Nations have a similar proposal. Art Sterritt, Executive Director says:

the JRP should consider holding hearings on marine issues in Vancouver with video links to Prince Rupert and Kitimat as a way of reducing the costs to Intervenors (many experts and legal and technical representatives live in the lower mainland) and in recognition that Kitimat is the proposed site of the Marine Terminal and that there are many people in the lower mainland who use the area for recreational, commercial fishing and other uses.

It appears that there will soon be controversy over the time allotted both for questioning and final arguments. The Haisla, other First Nations and Ecojustice and even Northern Gateway appear to want more time for questioning and cross-examination, while, for example, the Canadian Association of Petroluem Producers, the industry representative says it:

is still considering the scope and extent of its participation in questioning during the final hearings. CAPP will work with other intervenors in order to minimize the overall time required for cross examination.

It is clear that Enbridge Northern Gateway is planning tough cross-examination of the intervenors and their evidence:

Northern Gateway intends to cross-examine each of the authors of reports prepared for Interveners opposing the Project, and filed as written evidence. In some cases, the evidence filed with the Panel does not identify authorship, which makes it impossible to specify who will be cross-examined. Materials filed by certain interveners also include information collected through means such as access to information requests, which also makes it impossible to identify who might speak to such evidence if it is allowed to remain on the record.

Northern Gateway’s review of the written evidence filed by interveners has identified approximately forty five detailed reports that have been prepared for this proceeding. Reports of a more basic variety, those that provide general information on traditional use matters and reports of marginal relevance need not be subject to extensive cross-examination by Northern Gateway (if at all). Although no final decision has been made, for planning purposes the Panel should allot approximately twenty hearing days for cross-examination by Northern Gateway. Once a decision has been made on hearing venues and format, we will provide a more definitive estimate to Panel counsel and to counsel for the interveners involved. Where Northern Gateway does not consider it necessary to cross-examine a particular author, we will advise others of that so as to avoid unnecessary expense and inconvenience.

The Coastal First Nations are also planning tough cross-examination:

Coastal First Nations intends to cross-examine NGP, Transport Canada, Canadian Coast Guard, DFO, CEAA (as crown consultation coordinator and expert on environmental assessment methodology) and possibly the Government of B.C. These cross examinations will focus on risk assessment, spill response, measures to prevent incidents, and reduce risk of spills, consequences of spills, and Aboriginal consultation. Naturally, until the JRP approves the government participants we wish to cross-examine, and NGP identifies the witnesses they will present, it is difficult to determine the amount of time needed for cross-examination. It would likely take several hours of cross-examination for each party.

The Hasila say:

The Haisla Nation does not have any input into the proposed general schedule as set out above, but does question the two-month period provisionally allotted for the questioning phase in accordance with the revised Hearing Order. The Haisla Nation anticipates that the questioning phase will require substantially more than two months.

The Wet’suwet’en also object to the short notice given for the May 30 procedural meeting:

The estab!ishment of this regulatory process is insufficient to afford meaningful consultation to the Wet’suwet’en. We are hard pressed to try and prepare our hereditary leaders and clan speakers in such short notice, especially with a long weekend within the timeframe, some of our leaders and speakers are out on the territories preparing themselves for their summer traditional food gathering, and cultural activities. There is insufficient time given to the Wet’suwet’en for this process.

The Wet’suwet’en say (and this likely applies to other BC First Nations) that hearings as proposed could make it difficult to consult with elders saying “discussions with hereditary leaders and elders must take place, as per our custom…”

All of this comes as Prime Minister Stephen Harper and Natural Resoures minister Joe Oliver and many in the right-wing media want the hearings sped up, which means the May 30 meeting may be heated and any decision politically charged.

JRP filings from

Province of British Columbia (pdf)

Haisla Nation (pdf)

Enbridge Northern Gateway Pipelines (pdf)

EcoJustice (Living Oceans Society, Raincoast Conservation Foundation, ForestEthics Advocacy Sustainability Coalition) (pdf)

CAPP (pdf)

Coastal First Nations Great Bear Initiative (pdf)

Office of the Wet’suwet’en (pdf)

Government of Canada (pdf)

Apache expects first LNG cargo from Kitimat in 2016

Map of Apache Corp LNG projects in the Pacific Region — A map of Apache Corp's liquified natural gas projects, including Ktimat, as presented to the UBS conference on May 22, 2012 (Apache)

Apache said Tuesday, May 22, 2012, that it expects the first LNG cargo leave the Kitimat terminal for Asia sometime in 2016, with possible further expansion in the future.

Patrick Cassidy, director of Apache’s Investor relations division, was making a presentation to the UBS Global Oil and Gas Conference in Houston, Texas, on the company’s future plans.

One slide in the Power Point presentation summed up Apache’s Pacific strategy, both at Kitimat and its chief rival, the Wheatstone project in Western Australia.

Apache said the final investment decision for the first train or phase the Kitimat LNG is still expected later this year. Previous reports have indicated the decision will likely come in the fourth quarter as Apache and its partners line up customers in Asia.

Originally the KM LNG partners said the project would start up in 2015, but delays, including the unusually harsh winter in Kitimat, which slowed construction at the Bish Cove site, and the search for customers for the natural gas, has pushed the date back to 2016.

Apache Corp. owns 40 per cent the KM LNG partnership, Canada’sEncana Corp. and EOG Resources each own 30 per cent each.

Two other projects are planned for Kitimat, the smaller BC LNG co-owned by Houston-based investors and the Haisla Nation and a larger project announced last week by Royal Dutch Shell.

LINK: Apache presentation to UBS Conference

US National Transportation Safety Board releases photos, documents on Enbridge Kalamzoo oil spill

NTSB staff examine ruptured pipe — US National Transportation Safety Board staff examine a ruptured pipe from the Enbridge oil spill in August, 2010. The photo was released by the NTSB May 21, 2012. (NTSB)

The United States National Transportation Safety Board today released more than 5,000 pages relating to its investigation of the 2010 of the Marshall, Michigan, Enbridge pipeline rupture and oil spill.

The NTSB release says it is adding the documents to the “public docket” on the case.

About 11:17 a.m. EDT on July 26, 2010, Enbridge Energy Partners was notified of a leak on a 30-inch diameter crude oil pipeline (Line 6B) in Marshall, Michigan. The pipeline had ruptured 17 hours earlier and spilled about a million gallons of crude oil into the immediate area resulting in extensive environmental damage to Talmadge Creek and the Kalamazoo River.

Fifty-eight photographs and 170 documents totaling more than 5000 pages are in the docket. The information being released is factual in nature and does not provide any analysis.

Additional material may be added to the docket as it becomes available. Analysis of the accident, along with conclusions and its probable cause, will be determined at a later date.

This is a document release only; no interviews will be conducted.

Documents are available at this link

More than 800,000 gallons of heavy bitumen crude spilled from the pipeine near Marshall in Calhoun County, Michigan. NTSB spokesman Peter Knudson said Monday the NTSB expects to reach a conclusion on the spill sometime this summer.

On May 10, Enbridge announced it would spend $1.6 billion to upgrade and replace portions of the pipeline through Michigan and Indiana. The broken pipeline, however, would be decontaminated and “abandoned in place.”