Canada Cancels Plans to Build Pipelines

The proposed route of the Energy East pipeline was shared with the media at an Aug. 2013 press conference with Trans Canada officials

Energy East, he said, would have provided eastern Canada with oil that was not extracted from countries with questionable human rights records.

Calgary Mayor Naheed Nenshi also criticized the National Energy Board, saying it needs a process that is based on science and takes into account the energy industry and the environment.

Oil Change International estimated that the pipeline's construction would have created up to an additional 236 million tons of carbon pollution each year, multiplied over decades of operation.

TransCanada first proposed the new pipeline projects in 2013.

October 29, 2014: A report released by environmental groups questions whether Energy East is necessary to supplant Eastern Canada's oil imports from the foreign suppliers frequently mentioned by TransCanada.

The decision comes a month after TransCanada asked the National Energy Board to put regulatory hearings on hold.

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Saskatchewan Premier Brad Wall says the reasons for the decision fall at the feet of Prime Minister Justin Trudeau and the federal government.

Environmental Defence, one of the main groups campaigning against the project, said new pipelines could not be justified at a time of declining investment in the tar sands, pipeline overcapacity, and a transition to renewable energy.

Energy East would have given oil producers in Alberta and Saskatchewan, who are heavily dependent on buyers in the USA, another market for their crude by carrying about 1.1 million barrels a day to refineries and a marine-shipping terminal in eastern Canada. "The loss of this major project means the loss of thousands of jobs and billions of dollars for Canada, and will significantly impact our country's ability to access markets for our oil and gas".

"This project was so wrong and so risky, its hard to believe it was seriously contemplated", Gretchen Fitzgerald, national program director of environmental organization the Sierra Club, said.

In a statement, C-E-O Russ Girling cites the company's "careful review of changed circumstances" and says TransCanada is thankful for the support it received from labour, business, industry, Irving Oil and various governments that passed resolutions in favour of the projects.

"As far as we're concerned, the whole criteria around social acceptability of major projects has become more and more important in terms of how we evaluate projects like Energy East and others".

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New Brunswick Premier Brian Gallant expressed disappointment in the cancellation and said he believes the project's decision is because recent changes to world market conditions and the negative impact of lower oil prices.

Locally, the pipeline runs along Trout Lake, within the municipal boundaries of North Bay, and faced opposition from community groups.

"Again it shows how local governments can make a difference", Coderre explained.

On Thursday, Notley called on the NEB to explain what future project reviews will look like in Canada.

Opponents said the projects would increase greenhouse gas emissions by allowing oil-sands producers, the most greenhouse-gas intensive sources of crude, to ramp up production.

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