Alberta must do more on climate for Quebec pipeline
OTTAWA (Bloomberg) -- Quebec will only support TransCanada Corp.’s Energy East pipeline if it generates jobs for the province and if Alberta does more to protect the environment, Premier Rachel Notley said.
Alberta’s premier spoke with reporters Tuesday by telephone after meeting in Quebec City with her counterpart Philippe Couillard. Quebec’s premier hailed “a new ally” in Notley, a New Democrat whose party won power for the first time in Alberta in May.
Couillard “understands” energy is a key driver of Canada’s economy and that pipelines are “ultimately the best way to move that product,” Notley said.
“What they need to see is some meaningful action with respect to environmental protection and climate change and it needs to make economic sense for Quebec,” Notley said. “Those are not unreasonable standards.”
Carbon pricing and the Energy East pipeline were among the topics discussed at Tuesday’s meeting, with both governments agreeing on their importance, Quebec said in a statement.
The meeting “marks the start of a new era in our relations with Alberta,” Couillard said in the statement. “It’s already obvious that the new Alberta government has a keen interest in the Quebec initiatives to fight climate change.”
Earlier this year, TransCanada scrapped its initial plan for a marine terminal in Cacouna, Quebec, as part of Energy East -- raising more questions about what economic benefit Quebec will derive from the project. The two premiers did not specifically discuss the terminal cancellation, Notley said.
“We understand the needs for job creation. I think there’s still a lot of options on the table,” she said.
Emissions Pledge
Energy East, a C$12 billion ($9.4 billion) pipeline, would transport as much as 1.1 MMbpd across six Canadian provinces to the nation’s Atlantic coast.
Alberta will sign on to a climate communique produced at a Quebec summit in April, during Alberta’s election, Notley announced. In the document, provincial leaders commit to implement measures to reduce greenhouse gas emissions and “transition to a lower-carbon economy.”
Notley deflected a question about whether Alberta would join Quebec’s cap-and-trade system, saying her government is still developing its climate change strategy. “I’m not going to predict or short-circuit that process,” she said.
Notley invited Couillard to visit Alberta, and to bring with him Quebec business leaders who “enjoy much prosperity” from the oil sands. Couillard plans to visit Alberta later this year with a group of executives from the “green technology” industry, according to Quebec’s statement.
Notley met with Couillard ahead of a meeting of Canadian premiers that begins Wednesday. The premiers are due to discuss the Canadian Energy Strategy, which has been in negotiation since 2012 but is now said not to include firm commitments on either energy infrastructure or climate change.
