natural gas

Tue, 2014-11-04 08:55Carol Linnitt
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Auditor General's Report: B.C. Oil and Gas Industry Handed $1.25B in Incentives Since 2009

Christy Clark Encana tour

According to British Columbia’s auditor general, the province has handed out $1.25 billion in financial incentives to the oil and gas sector since 2009 to encourage production.

Auditor General Carol Bellringer outlined the incentives in her 2013-2014 summary of the province’s financial statements.

To encourage production of oil and natural gas in B.C., the province provides financial incentives to oil and gas producers,” she said in the report.

Producers have incurred expenditures that will qualify for $1.25 billion in incentive credits,” she said, “but have not yet produced enough oil or natural gas to claim these amounts.”

That means as producers generate revenue, they can simply claim their incentive credits, reducing how much money the B.C. government collects on the resource.

In this case,” she notes in the report, “this represents a reduction of $1.25 billion in revenue in future years if all the incentives are used.”

Mon, 2014-10-27 11:33Emma Gilchrist
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B.C. LNG Strategy Won’t Help Solve Global Climate Change: New Pembina Institute Report

Christy Clark at LNG Canada announcement

The B.C. government’s claim that LNG exports offer the “greatest single step British Columbia can take to fight climate change” is inaccurate in the absence of stronger global climate policies according to a new report released today by the Pembina Institute and the Pacific Institute for Climate Solutions.

Natural gas does have a role to play in a world that avoids two degrees Celsius in global warming, but only if strong emissions reduction policies are put in place in the jurisdictions that produce and consume the gas, says the report, LNG and Climate Change: The Global Context authored by Matt Horne and Josha MacNab.

Natural gas is often described as a bridge fuel. The question is, how long should that bridge be?” says MacNab, B.C. regional director for the Pembina Institute, a national non-profit focused on transitioning Canada to a clean energy future.

Our research suggests it must be very short if we’re going to be able to get off the bridge in time to avoid the worst impacts of climate change.”

Thu, 2014-10-23 12:00Peter Wood
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B.C. Ought to Consider Petronas’ Human Rights Record Before Bowing to Malaysian Company's LNG Demands

Penan people of Sarawak blockade a Petronas pipeline

It should come as no surprise that Petronas expects B.C. to cave in to its demands to expedite the process of approving its Pacific NorthWest LNG terminal and natural gas pipeline, lowering taxes and weakening environmental regulations in the process.

After all, Petronas has a well-established record of getting what it wants in the other countries it operates in, such as Sudan, Myanmar, Chad and Malaysia.

This week, the B.C. government did cave to at least one Petronas’ demands — cutting the peak income tax rate for LNG facilities from seven to 3.5 per cent, thereby slashing in half the amount of revenue it’s expecting to receive from the liquefied natural industry.  The government also introduced a standard for carbon pollution for B.C.’s LNG industry, which was hailed as a step in the right direction, but not enough.

In considering Petronas’ bid to develop B.C.’s natural gas resources, it is vital that we consider the company’s track record.

In 2011, I had the opportunity to witness the destruction caused by a Petronas pipeline, while working with the international NGO Global Witness. While staying with the semi-nomadic Penan people of Sarawak (Malaysian Borneo), I heard testimony of how the company had treated them in the course of constructing the pipeline.

Sat, 2014-09-27 12:17Carol Linnitt
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Climate Changes Everything in Canada Too: Naomi Klein Says DeSmog Canada “Indispensible Tool” in Her Work

In her new book, This Changes Everything, Canadian author Naomi Klein positions climate change as a form of social disaster, which, like a lot of other disasters cannot be gazed upon for too long.

We are constantly finding ways and reasons to “look away,” she writes, “or maybe we do look – really look – but then, inevitably, we seem to forget.”

Climate change is like that; it’s hard to keep it in your head for very long. We engage in this odd form of on-again-off-again ecological amnesia for perfectly rational reasons. We deny because we fear that letting in the full reality of this crisis will change everything.”

And we are right.”

Part of the strategy of this forgetting or looking away, as Klein frames it, is in the myriad technical, lifestyle or personal ‘solutions’ to a warming globe that refuse to question the deeper roots of the climate crisis, the structural and socio-economic logic both creating the problem and masquerading as its solution.

Thu, 2014-07-24 13:26Guest
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Is B.C.'s LNG Plan Destined to Fail?

christy clark bc lng

This is a guest post by Mark Jaccard, professor of sustainable energy at Simon Fraser University and a convening lead author in the Global Energy Assessment. 

During B.C.’s 2013 election campaign, at a conference of energy economists in Washington, D.C., I spoke about how one of our politicians was promising huge benefits during the next decades from B.C. liquefied natural gas exports to eastern Asia. These benefits included lower income taxes, zero provincial debt, and a wealth fund for future generations. My remarks, however, drew laughter. Later, several people complimented my humour.

Why this reaction? The painful reality is that my economist colleagues smirk when people (especially politicians) assume extreme market imbalances will endure, whereas real-world evidence consistently proves they won’t. For B.C. Premier Christy Clark to make promises based on a continuation of today’s extreme difference between American and eastern Asian gas prices was, to be kind, laughable.

Thu, 2014-07-03 09:02Judith Lavoie
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Site C Dam is Final Straw for B.C.'s Treaty 8 First Nations

Treaty 8 Tribal Association Chief Liz Logan

The B.C. government cannot expect support from First Nations for its much-touted liquefied natural gas (LNG) projects if the province insists on steamrolling ahead with the Site C dam, a First Nations chief is warning.

They want support on LNG, and the level of destruction that is going to bring, and then they want Site C as well. They can’t have them both,” Chief Roland Willson of West Moberly First Nation told DeSmog Canada.

There is no logical reason to have both, Willson added, saying the provincial government has ignored alternatives to Site C, even as the federal Joint Review Panel found there is no immediate need for the power and excess power would be sold at a loss.

Treaty 8 First Nations in B.C. are vehemently opposed to BC Hydro’s plans to build a third massive dam on the Peace River that would flood more than 5,000 hectares of land, swamp more than 330 recorded archaeological sites and — in direct contravention of the 1899 treaty — destroy land now used for hunting, fishing and collecting medicinal plants.

Tue, 2014-06-24 07:16Emma Gilchrist
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B.C.’s Natural Gas Hypocrisy Leaves Consumers Paying the Price

One of the thorniest issues raised in the joint review panel’s report on BC Hydro’s Site C dam proposal is that of the B.C. government’s hypocritical policy on the burning of natural gas for electricity. 

The LNG developers have been promised a free hand to burn their gas here for their own purposes, but BC Hydro has been denied the same privilege,” the panel wrote in its report on the $7.9 proposed dam.

The controversy revolves around the 2010 Clean Energy Act — and who it applies to and, perhaps more importantly, who it does not.

The act limits BC Hydro’s options for generating electricity by demanding that 93 per cent of the province’s energy needs be met by “clean or renewable resources” — eliminating the use of gas turbines and sending the gas-fired Burrard Thermal generating station into early retirement.

It’s a reasonable policy from a climate change perspective — but there’s a catch.

In June 2012, the province exempted the liquefied natural gas (LNG) industry from the Clean Energy Act, enabling plants to burn as much natural gas as they’d like to power their giant compressors — despite originally promising they'd be powered by clean electricity — and, as of now, that’s exactly what they intend to do.

If it is acceptable to burn natural gas to provide power to compress, cool, and transport B.C. natural gas for Asian markets, where its fate is combustion anyway, why not save transport and environmental costs and take care of domestic needs?” the Site C panel wrote.

Tue, 2014-06-10 09:38Judith Lavoie
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B.C. Business Community Slams 'Astronomical' Cost of Building Site C Dam

Major industrial power users in British Columbia fear that if the proposed Site C dam becomes a reality, rate hikes could put mills and mines out of business while saddling taxpayers with a costly white elephant and ballooning BC Hydro debt.

A decision on the $7.9 billion plan to build a third hydroelectric dam on the Peace River will be made by the federal and provincial governments this fall.

Economic questions about the mega-project were raised by last month’s joint review panel report, which noted the dam would likely be “the largest provincial public expenditure of the next 20 years.”

Thu, 2014-04-17 12:51Carol Linnitt
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B.C. Pulls About-Face After First Nations Call Removal of Gas Development Environmental Assessment a ‘Declaration of War’

fracking natural gas

B.C. Environment Minister Mary Polak has reversed and apologized for excluding First Nations from two amendments that would eliminate the province’s mandatory environmental assessment of gas developments and ski resorts.

As DeSmog Canada recently reported, the Orders in Council were passed without public consultation and would exclude major natural gas processing facilities and resorts from undergoing a standard environmental review and public consultation process.

The rescindment is a direct result of backlash from the Fort Nelson First Nation (FNFN),” Anna Johnston, staff counsel with West Coast Environmental Law Association, told DeSmog Canada. “Yesterday, at an LNG Summit hosted by the FNFN, they ‘drummed out’ government representatives due to the provincial government’s failure to consult with them on the Orders.”

B.C. officials were escorted from the forum on liquefied natural gas (LNG) after news of the eliminated environment assessments broke. At the forum, called “Striking a Balance,” Chief Sharleen Gale of the FNFN asked B.C. government officials to leave the room, saying “what I learned from my elders is you treat people kind. You treat people with respect…even when they’re stabbing you in the back.”

Tue, 2014-04-15 16:36Carol Linnitt
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B.C. Removes Mandatory Environmental Review of Natural Gas, Ski Resort Developments

bc, fracking, environmental assessment

Major natural gas projects and ski resort developments now have the option of being built in B.C. without environmental assessment after the Liberal government quietly deposited two orders in council Monday. (Update April 17, 2014: The B.C. government has rescinded this decision. Read our new post here)

The orders — passed without public consultation — include changes to the Reviewable Projects Regulation under the provincial Environmental Assessment Act, which eliminate mandatory environmental review of new and/or modified natural gas and ski facilities. As a result, proposed projects like the Jumbo Glacier Resort or new natural gas processing facilities may skirt the approval process without standard environment review, which involves public consultation.

These regulatory changes only heighten the crisis of public confidence in B.C.’s environmental assessment process,” said Jessica Clogg, executive director and senior counsel with West Coast Environmental Law Association (WCEL) in a press release.

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