TransCanada Pipeline appears confident that, within four years, it will open a direct line from Hardisty, Alberta to Saint John, New Brunswick to carry Alberta oil to eastern Canadian markets.
The confidence is in contrast with the competing Enbridge Inc. Northern Gateway Pipeline proposal that is facing stiff resistance in British Columbia with its plans for a western route for oil shipments.
TransCanada says its 4,500-kilometer pipeline will carry an estimated 1.1 million barrels per day of bitumen and crude oil to eastern Canadian refineries.
This new pipeline project is called “Energy East”, according to the president of the Energy East Pipeline, Steve Pohlod.
This summer Energy East pipeline reps were visiting towns in Manitoba to present information that covered topics such as pump stations, tank terminals, pipeline safety, emergency response planning, leak prevention and detection, damage prevention, pipeline reclamation, pipeline water crossing, protection of surface and ground water resources, the environment commitment, wild life protection, community investment, construction camps, community economic benefits and full and part time jobs.
People came in with questions. Some expressed concern about restrictions that might be placed on the land through which the pipeline travels, the issue of a single-lifetime-use payment and related tax issues, a clearer explanation of the fine print of the land use contract and long-term land use issues.
The benefits of Energy East will flow across the country and those benefits will be huge,” said Jack Mintz, director of the University of Calgary’s School of Public Policy. “There will be a shift to Energy East” as Northern Gateway faces opposition, he said.
Energy East would create $35.3 billion in economic benefits over the next five years, according to consulting firm Deloitte, in a report commissioned by TransCanada. It would also help replace higher-priced oil imports from the Atlantic basin, the report said.
