Cyber Monday Deal: Up to 60% off InvestingProCLAIM SALE

UPDATE 1-Review of Canada Energy East pipeline to restart from beginning

Published 2017-01-27, 10:37 a/m
© Reuters.  UPDATE 1-Review of Canada Energy East pipeline to restart from beginning
CL
-
TRP
-

(Adds details, background)

By David Ljunggren

OTTAWA, Jan 27 (Reuters) - A review of TransCanada Corp 's TRP.TO proposed Energy East pipeline will start again from the beginning, Canada's energy regulator said on Friday, a move that could delay the project by several years.

The National Energy Board's announcement also looks set to spare the Liberal government from making a politically charged decision on the pipeline's future before the next federal election in October 2019.

Approving the project would anger the progressive base that helped Prime Minister Justin Trudeau win power in late 2015, while turning it down could alienate voters in Canada's energy-rich West.

However, Energy East's importance has diminished for TransCanada. U.S. President Donald Trump this week signed an order reviving the company's Keystone XL pipeline, which would run from Alberta's oil sands to U.S. refineries. and aboriginal activists strongly oppose Energy East, which would take crude oil from Alberta to the Atlantic coast.

The project was originally slated to begin in 2017, but construction now cannot start until 2019 at the earliest and could be pushed back even further.

The previous NEB panel examining the project stepped down last year after it was revealed that members had met privately with a TransCanada consultant.

The NEB said in a statement that the new panel examining the project would decide how to proceed. It will first have to decide whether TransCanada's application was complete.

NEB spokeswoman Sarah Kiley said there was no deadline for a decision.

If the panel decides to restart the hearings, it has 21 months to complete the process. After that, the federal government has another six months to decide whether the pipeline can be built.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.