That’s what we’ll become if British Columbia’s attempt at Blackmail proves successful.
To get Alberta oil through to the West Coast – it must first travel by pipeline through BC and for that right – BC wants a Big Piece of the Action – much more than the 8% currently being offered.
Remind you of something?
You’d be correct, if you guessed Quebec’s successful Blackmail of Newfoundland in 1969 when it forced Newfoundland into signing a 65 year contract to supply it with electrical power at a considerable discount. Quebec did not have the legal authority to do this since the Federal Government has sole authority over the transmission of power across provincial borders, as it does in regard to the transmission of oil across interprovincial pipelines.
But the Feds remained quiet then and left Quebec to its wicked ways. Will it do the same in regard to the Alberta Pipeline? Hopefully not, but the odds are most certainly stacked against it, and against the 30% or so that Canada receives as its share of the oil royalties.
Right now, in addition to BC voicing its objection to the Pipeline we have numerous Indian Bands also declaring their opposition, even when their reserves are not on oil land. They are supported in their opposition by the Premiers of the two largest Provinces in Confederation – Ontario and Quebec.
It is nothing but a Recipe for Paralysis. And it would take a very brave National Government to go up against such great odds. It also flies in the face of economic reality.
The future is the Pacific Rim – that is where growth is taking place and that is the area in critical need of Canada’s Oil. For the economic health of our country, we need to take advantage of our Western Coastline to the Pacific. And that includes supplying China with our oil.
Many recoil at the thought, but their thinking is short-sighted.
Indeed, Chinese money is as good as American money – and given the debtor status of the USA – perhaps it is even better.
As an aside, their concern about China even pertains to its investing directly in the Oil Sands – failing to remember that Chinese Companies would continue to pay Our Royalties and would continue to hire thousands of Canadian Oil Workers.
And to partner with China would help that country economically which, I submit, would go a long way to assist China in its onward move toward democracy. Once they have lots to lose materially, they will be much less likely to cause conflict.
If Canada refuses once again to act for the benefit of all Canadians, as it did in the case of Newfoundland and Quebec so many years ago, we run the very real risk of splitting up into multiple trade entities.
We already have too many rules and regulations that only serve to frustrate the movement of goods and service between the Provinces and the Territories- we do not need more and we certainly do not need the Provinces (or the Indian Bands) having veto power over the transmission of our power – be it electrical, gas or oil.
One final point. If the Oil Pipeline does eventually go through the Province of BC to the coast, this in and of itself will create great wealth for that Province. Terminals will need to be built – services developed for the tanker market and so on, and all of this new economic activity will serve as a stimulus for even greater development.
As I see it …
‘K.D. Galagher’