Experts weigh in on Trans Mountain's future
The key players in the Trans Mountain expansion debate made it clear they aren’t backing down from their positions after meeting in Ottawa on Sunday.
Prime Minister Justin Trudeau vowed the pipeline expansion “will be built,” while B.C. Premier John Horgan remains opposed to the project. Meanwhile, Alberta Premier Rachel Notley reiterated why she thinks the pipeline is in the national interest.
Below, BNN guests react to the summit and what the outcome signals for the project going forward.
"No surprise that the provincial premiers were dug in and they weren't going to change their position despite meeting with the prime minister. Secondly, I think the prime minister, from the business point of view at least, at this point deserves some credit for being very clear and showing some spine on this matter, with respect to the exercise of federal jurisdiction and recognition of the outcome of the policy process which his government led."
-John Manley, CEO, Business Council of Canada
“To the extent that de-risking for Kinder Morgan represents an essentially cash payout to them in the event that the pipeline doesn’t go through, then I have no interest in being part of that. And I don’t think that would be the right route for the government to take.”
-Karl Berger, senior wealth consultant and director, Cidel Asset Management
“It was mildly positive. It was a step in the right direction. I think Kinder [Morgan] shares will probably react mildly to the upside today. It was nice to see the feds come out and verbally say that they are backstopping the project, it will get built.”
-Rob Lauzon, deputy chief investment officer, Middlefield Capital
“What I think the financial backstop, or government support directly for the pipeline does, is lend credibility to the words that the pipeline will be built. Investors, Kinder Morgan shareholders, see those words with a little bit of uncertainty – rightly so, because words only go so far. But when the federal government puts some money on the table, it really does solidify and make those statements credible.”
-Trevor Tombe, assistant professor, Department of Economics, University of Calgary
“One of the things I’m concerned that I might see is basically tax payers footing the bill for this.”
-Gwyn Morgan, former CEO, Encana
“Let’s all take a deep breath here and look for some options that may come closer to meeting everybody’s objectives – see if there’s a compromise on the table. I don’t think doubling down on just the one option is a very creative way of trying to resolve conflict.”
-Tom Gunton, professor and director of resource and environment planning at Simon Fraser University and former B.C. deputy environment minister