Democracy Gone Astray

Democracy, being a human construct, needs to be thought of as directionality rather than an object. As such, to understand it requires not so much a description of existing structures and/or other related phenomena but a declaration of intentionality.
This blog aims at creating labeled lists of published infringements of such intentionality, of points in time where democracy strays from its intended directionality. In addition to outright infringements, this blog also collects important contemporary information and/or discussions that impact our socio-political landscape.

All the posts here were published in the electronic media – main-stream as well as fringe, and maintain links to the original texts.

[NOTE: Due to changes I haven't caught on time in the blogging software, all of the 'Original Article' links were nullified between September 11, 2012 and December 11, 2012. My apologies.]

Monday, May 21, 2012

With Keystone and Gateway in political limbo, pipeline advocates turn to Canada’s East Coast

EDMONTON - The movement to ship Alberta bitumen to Canada’s eastern provinces is gathering momentum as plans to build the Gateway and Keystone lines languish in political limbo.

Major industry players, politicians and high-profile advocates are starting to pay serious attention to the idea, which could see bitumen piped from the oilsands through Ontario, Quebec and eventually to ports on the East Coast.

Advocates say shipping Alberta bitumen east could be a nation-building exercise, uniting Canadians around the oilsands by creating jobs across the country.

They say upgrading and refining the oil in Canada ensures Canadians reap the rewards of value-added work, and that using Canadian oil in Canada increases the country’s energy independence.

As well, piping bitumen east would lower costs for companies and ensure Alberta has access to as many markets as possible, one of the province’s key objectives.

This benefit remains even if oilsands bitumen eventually flows to the U.S. through the the Keystone XL pipeline and the Northern Gateway carries product to the West Coast.

As the Alberta government battles environmental and aboriginal groups who don’t want the lines built, advocates are urging the province to look east.

They argue the pipelines are mostly built, the upgrading and refining capacity is largely there, and many Canadians along the route will welcome Alberta’s business.

“This is a chance to create a national unity project that benefits the entire country,” said Frank McKenna, deputy chair of the TD Bank Group and one of the idea’s key advocates.

“Alberta energy is a great asset to Canada, but that’s not obvious to some Canadians … If we had a national pipeline network, it would become a blinding truth,” said McKenna, former premier of New Brunswick and former ambassador to the United States.

He explained the scheme would let people in Quebec, Ontario and Atlantic Canada know that their jobs in refineries are tied to western oil.

“It’s perfect in terms of spreading benefits across the country in a tangible way, and putting the lie to those people who think Alberta’s petroleum industry isn’t good for the entire country.”

David Dodge, former governor of the Bank of Canada, told the Journal earlier this month it may make more sense to send Alberta’s bitumen to Eastern Canada in view of the vocal opposition to proposed West Coast pipeline projects.

“You’ve got to get the stuff out of here somehow, and not necessarily send it all south (to the U.S.). And maybe it’s going to be difficult for other reasons to send it west. So I’m intrigued with the option of getting it to tidewater going east.”

The idea goes like this. Alberta bitumen would be piped to Sarnia, Ont., which already has refineries and an educated workforce. Some refining would be done there.

From Sarnia, the upgraded and refined product would be sent down Enbridge’s Line 9 to Montreal, and on to Saint John, N.B., either by barge down the St. Lawrence River, by rail, or through the construction of what McKenna calls “the final leg of a national pipeline.”

McKenna said talks are underway.

In Saint John, the Irving Oil refineries are already equipped to process Alberta bitumen, McKenna said.

From Saint John, Canada’s energy products can be shipped to Europe and the Gulf Coast, and possibly even to Asia, although the jury is still out on whether that would be economical.

Pat Davidson, Conservative MP for Sarnia-Lambton, is an advocate for the west-to-east route.

“We have a tremendous amount of expertise in (Sarnia) … We have people who have worked for years in the chemical and refining industry,” Davidson said.

“There’s a huge desire on the part of the Sarnia-Lambton community to do something to improve their economic position, and they see Alberta as part of the solution. We have capacity, and we have the willingness by the community to have this type of industry in the community.”

McKenna said producers, refiners and shippers are actively considering construction of the “final leg” of the national pipeline, and in the meantime industry has started moving to put the pieces in place.

Last month, TransCanada CEO Ross Girling said his company is looking at switching part of its existing natural gas line to bitumen, enabling it to transport up to 800,000 barrels of oilsands crude a day to eastern refineries.

And on Thursday, Enbridge announced a $2.6-billion plan to reverse the flow of the 240,000-barrel-a-day Line 9 between Sarnia and Montreal.

Enbridge spokesman Graham White said the company is hoping to provide the infrastructure that will help refineries in Sarnia and elsewhere access discounted bitumen from Alberta, instead of refining expensive, imported products.

“Our strategy is to improve market access for Canadian and U.S. producers facing significant discounting to world oil prices and refiners.”

Premier Alison Redford said Thursday she recently spoke with New Brunswick Premier David Alward about the possibility of shipping bitumen to the east.

“There’s an awful lot of interest in Eastern Canada with respect to our resources,” Redford said. “It’s a great example of how a Canadian energy strategy can really benefit economic development in places that have refineries, and use our resources to do that.

“At the end of the day — just as any pipeline project would be — it will be a commercial decision. If it makes sense in terms of the economics of the private sector that want to put this in place, then we’d certainly be supportive.”

Original Article
Source: edmonton journal
Author:  Karen Kleiss

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