Fraser Institute Report Backs Northern Gateway
Thursday, July 19, 2012 @ 3:58 AM
Prince George, B.C.- The Fraser Institute has issued a report which supports moving forward with the Enbridge twin pipeline.
The report by Fraser Institute Senior economist Gerry Angevine and Vanadis Oveido concludes the pipeline could add at least $10.5 billion to the Canadian GDP, provide jobs for First Nations and diversify the market for Canadian oil.
The report says which the bulk of the jobs to be created by building the pipeline would be to the benefit of Alberta and B.C, there would be opportunities for steel manufacturing plants in Ontario and Quebec.
The report, “Ensuring Canadian Access to Oil Markets in the Asia-Pacific Region”, also calls in to question the regulatory process. Angevine says the opportunity to access those markets “is at risk of regulatory paralysis, stymied by a raft of unnecessary and inefficient rules and processes that could leave new pipeline projects in limbo”. He points to the MacKenzie Valley Gas Project which he says “stands as a stark example of a missed opportunity.”
The report makes several suggestions for change:
- Restrict the scope of the National Energy Board to matters necessary to protect the public interest such as construction and operational standards and environmental impacts;
- Place limits on the time the National Energy Board or a Joint Review Panel may take to arrive at a decision;
- Require the National Energy Board to convene generic hearings if two or more similar project applications are likely to be brought forward during the next 10 to 20 years;
- Establish joint federal-provincial environmental review processes for projects that require approvals from both levels of government;
- Bring federal and provincial government officials together with First Nations and industry representatives to identify transportation corridors;
- Encourage discussions between project proponents and First Nations well before applications are filed with the regulatory authority;
- Require First Nations’ environmental concerns to be addressed under and in accordance with the Canadian Environmental Assessment Act; and
- Consider legislation and regulations to provide for mandatory settlement mechanisms to resolve compensation disputes with First Nations groups.
Angevine says the oilsands are a resource that "should be developed as market conditions allow with an eye on legitimate environmental concerns and global investment opportunities".
Comments
Would you expect any other conclusion by the Fraser Institute?
ECONOMIC ACTIVITY IN ALBERTA
Economy
Every dollar invested in the oil sands creates about $8 worth of economic activity; with one-third of that economic value generated outside Alberta â in Canada, the U.S. and around the world.
In 2009, oil sands accounted for one-fifth of total investment in the province and about 60% of investment in Albertaâs major capital projects.
The Canadian Energy Research Institute (CERI) estimates capital investment at $218 billion over the next 25 years.
Royalties from the oil sands ($1.9 billion in 2009-10) â Albertansâ share of the revenues from oil sands production â help fund many public programs and services, including infrastructure, health and education. According to CERI, Alberta can expect $184 billion in royalties over the next 25 years.
Oil sands development has also provided economic benefits to Aboriginal communities.
⢠From 1998-2009, Aboriginal-owned companies secured $3.7 billion worth of contracts from oil sands companies in the Wood Buffalo area. This includes $810 million worth in 2009 alone.
Employment
⢠One in 14 jobs in Alberta is directly related to energy.
⢠Almost 139,000 Albertans are employed in Albertaâs mining and oil and gas extraction sectors.
Oil sands development, upgrading and value-added production are expected to create employment opportunities for Albertans and the rest of Canada for years to come.
Alberta â with approximately 11% of Canadaâs population â trains nearly 20% of the nationâs apprentices.
The Government of Alberta also recognizes the important role Aboriginal people will play in the development of our future workforce. They represent a growing local population, and are taking advantage of more opportunities to improve educational and workforce success.
In 2009, about 1,600 Aboriginal people were employed in permanent oil sands operations jobs, annincrease of over 60% since 1998. This figure does not include construction-related or long-term contract employment, both of which have significant Aboriginal participation.
About 10% of the oil sands workforce is Aboriginal. Aboriginal people comprise almost 8% of Albertaâs population.
 Economy
Alberta’s oil sands generate revenue not only for the Alberta government, but also for the federal government through corporate and personal income taxes.
Other provincial governments, as well as municipal governments, receive tax revenue as a result of investment and employment in the oil sands. CERI estimates oil sands will create more than $307 billion in tax revenue across Canada over the next 25 years. Nearly 61%, or $187 billion, will go to the federal government.
Alberta companies have signed millions of dollars in contracts with companies throughout Canada to support activity in the oil sands.
Key industries servicing Albertaâs oil sands include machinery and metal fabrication, particularly in Ontario.
Atlantic Canada also benefits from Albertaâs oil sands, by increased activity in certain industries, such as manufacturing.
New Brunswick steel manufacturers have signed contracts worth an estimated $50 million.
Thousands of skilled workers from other provinces contribute a substantial portion of their earnings to the economies of their home communities. Employment
Oil sands development creates jobs outside of Alberta: 23% of oil sands-related employment is outside the province. That rises to 28% for construction-related jobs.
Ontario is one of the largest benefactors, with 812,000 person-years, or 7% of Canadian employment resulting from oil sands activities. B.C. is second with 713,000 person-years, or 6% of Canadian employment.
On average over the next 25 years, oil sands are forecast by CERI to require more than 450,000 annual work positions across Canada. This totals more than 11.4 million person-years of employment.
Investments in technology
The $200-million Integrated Energy Vision commitment over five years by Alberta Energy supports a number of specific pilot and demonstration projects that use innovative technologies to materially increase recoveries from existing conventional reserves and encourage responsible development of oil, natural gas and in situ oil sands reserves.
Announced in June 2008, the provinceâs Bringing Technology to Market action plan aims to assist Alberta entrepreneurs in getting more of their ideas off the research bench and into consumers’ hands.
To date, $81.5 million has been invested in clean energy projects from Albertaâs $156 million portion of the Canada ecoTrust for Clean Air and Climate Change program.Â
To learn more please visit
http://www.oilsands.alberta.ca
The Fraser Institute shows its ignorance. It would just like to see all other stakeholder interests deregulated out of relevance in decisions of and for the oil industry.
The ‘stat’s above are garbage IMO. Claiming Alberta oil sands spin off jobs in BC amount to 6% of Canadian employment… get real. A slight of words to be sure.
Both ignore the real issues of rising energy costs for Canadians, government subsidized profits for foreign investors, and seriously discounted major risks insured by the public.
It will create a lot of jobs….
The first time the pipeline breaks alot of people will have to be hired to TRY to clean-up the mess..
Of course it will be tax dollars used to clean it up,since it wont be the fault of Enbridge.Just look at every major spill whether on land or sea,the government of the country effected had to step-in to fix the problem.
Everyone has already made up their minds, so what’s the point?
Yes Johnny, based on the incredible amount of information available about the Enbridge track record, and the sheer physicality of the area invlved, people have already made up their minds about this project. Unlike our pitiful, inept excuse of a Premier who fails to take a stand on the single most important issue facing us now, and into the future. She’ll be the last to commit on the project, flying out of the wings with her “Here I am to save the day” photo-op generated BS. Sad. No leadership whatsoever.
To me the govts silence says it all. Lets face it, Clark has harper on her fave five and ask him when she should go p. Do you honestly think the libs would rock this boat? They are looking for the biggest rock and hoping it will all go away.
Eagleone your up, lets see your stats.
So what do we do with pipelines already in BC?
How come no one noticed the line built through Jasper recently, headwaters of the Fraser.
Item number 8 is interesting. It proposes “mandatory settlement mechanisms” to deal with First Nations compensation. In other words, if they don’t agree with what is offered, ram it down their throats!
The Fraser Institute is an anchronism.
The days of the effectiveness of shills for deep pocket interest is all but over I’m afraid.
This “charitable” organization is funded by big corporations and private business interests (oil companies among them), to try and sway public policy in a way that fills their pockets even more. People are getting tired of this corrupt system though, whereby we the taxpayer get to fund lobbyists, through the tax deductions that business gets to “donate” to these organizations, to leverage policy against our own interests mostly.
“A democracy ceases to be when a handful of private interests can vote themselves a piece of the public purse.”
Revolution might not be a bad way to go at this point.
How about some stats on the potential loss of income facing BC in the event of a major oil spill along the pipeline route?
Say goodbye to tourism, say goodbye to sports fishing ( some of the finest in the world), say goodbye to the commercial fishing business…who buys contaminated fish. Say goodbye to real estate values too…how much is oil soaked waterfront going for these days?
“Revolution might not be a bad way to go at this point”.
I don’t think it’s to far away.
Sine, Dragon: At what point do the “people” reach the point at which they have simply had enough?
They watch the politicians cheating and getting away with it, the business people, the rich, the lawyers, judges, the police, the corrupt “big” unions, and so on, and they get tired of being raped.
Apparently holding an honest job, working hard, paying taxes, having principles, treating others as you’d be treated, honesty, operating according to the law are all the attributes of suckers.
Its a take all you can get world and stomp on anyone who gets in your way. Pay your buddy off and make sure they pay you, but make sure neither one of you covers the cost.
Back to the point of Enbridge, they don’t give spit about the people of BC. Its $$$$$, pure and simple. And Harper is the facilitator (with Christy doing as she’s told at the appropriate time, such as doing nothing)
Prince George, B.C.- The Fraser Institute has issued a report which supports moving forward with the Enbridge twin pipeline.
Yeah, leave it to Pigs Gorge to stand behind Endbride. See the sheeple all living up to the expectation. This has gone beyond the jobs thing and has become a moral issue. Obviously Pigs Gorge has no morals. At least one good thing, when it breaks and no doubt it will all that black sh*t will be running downhill and then it will be the rich’s problem. Hope Vancouver enjoys a little oil with that new vinegar drink.
Lets turn B.C. into a big park and put everyone on welfare. Build the dammed thing. let the bleeden hearts bleed.
“Revolution might not be a bad way to go at this point”.
“I don’t think it’s to far away. “
I believe the revolution will happen… as long as people can do it anonymously from their computers.
People are a little more passionate about this Jb then they were about the hst. There will protests and sit ins and occupy’s. They just need a place to go to and they will have it once enbridge opens its office.
“Lets turn B.C. into a big park and put everyone on welfare” – another corporate brainwashed sheep whos’ vision is so narrow they can’t see any potential in saving the pristine nature of this province. Maybe do some travelling around the world and you would see how lucky we are to have a land as unique and untouched as ours. People come from around the world to explore and be fasinated by the beauty and wonder here in BC, and guess what, they bring and spend money. People seem to be focused on the pipeline as being the real problem, but the reality is, it is the tanker traffic that is the real threat to BCs unique eco system. A localized spill from a pipeline is bad, but can be cleaned up in a relatively short time, but a coastal spill can and will take decades to recover, if ever, ask the residents of Valdez. No tanker traffic means no need for a pipeline, simple as that.
http://thetyee.ca/News/2012/07/10/Enbridge-Culture-of-Deviance/
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