Project engineer Elise Chow-Stiefvater works on Coastal GasLink’s Kitimat site. (Coastal GasLink)

Project engineer Elise Chow-Stiefvater works on Coastal GasLink’s Kitimat site. (Coastal GasLink)

More B.C. LNG can help recovery from COVID-19, study says

Conference Board of Canada calls for incentives

Investment in liquefied natural gas could grow Canada’s economy by $11 billion a year between now and 2064, and B.C. and Alberta would benefit the most from competitive changes, the Conference Board of Canada says.

With LNG Canada and the Coastal GasLink pipeline underway to Kitimat, and a smaller facility proposed for Squamish, Canada and B.C. could benefit from further development to supply the growing demand from China, Japan, Taiwan, Thailand, India and South Korea, the board said in a new report.

While B.C. has natural advantages including shorter shipping distance and colder weather for the super-cooled LNG product, the international trade is highly competitive.

“The tax and fiscal environment, regulatory approval timelines and policy support can all be improved,” the report says. “When comparing the LNG investment landscape in B.C. to that of key competing regions (for example the U.S. Gulf of Mexico states), some of these challenges become highlighted. Accelerated regulatory approvals, municipal property tax breaks, enhanced capital cost allowances, existing pipeline supply infrastructure and existing LNG facilities with trained workforces elsewhere make attracting LNG investment to a fledgling B.C. industry challenging.”

As B.C. Premier John Horgan prepares to assemble a cabinet for a second term, his NDP majority means no longer needing B.C. Green Party support for policy changes. The Greens bitterly opposed Horgan’s moves to drop the LNG income tax imposed by the former B.C. Liberal government and make other changes that led to LNG Canada’s partners proceeding with the investment estimated at $40 billion over its lifetime.

That opposition was centred on the greenhouse gas impact, not only of gas-fired LNG production but of further development of B.C. and Alberta shale gas deposits. LNG Canada taps into the Montney shale formation, which extends from B.C.’s northeast into northwestern Alberta, and the Horn River formation to the northeast of that offers substantial further supply.

RELATED: B.C. job recovery continues, rural regions leading

RELATED: Runway improvements, helipad coming to Kitimat

Horgan adopted former B.C. premier Christy Clark’s argument that exporting LNG would displace coal as China, India and other Pacific Rim countries continue to develop. With no commitment to limit its emissions under the Paris climate agreement, China is continuing to expand its already huge coal power infrastructure, and building or planning more coal-fired power plants in Turkey, Vietnam, Indonesia, Bangladesh, Egypt and the Philippines.

The Conference Board projections are based on LNG Canada’s phase two expansion beginning in 2023, followed by an additional LNG plant in northwestern B.C. beginning in 2024 that would be fully electrified from the B.C. Hydro power grid. That plant would need construction of another pipeline.


@tomfletcherbc
tfletcher@blackpress.ca

Like us on Facebook and follow us on Twitter.

BC legislatureBC politicslng canada

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

The aftermath of the 3 a.m. fire in Keremeos. (Keremeos Fire Department)
Fire and explosion wakes Keremeos residents

A motorhome was consumed and a boat severely damaged after the 3 a.m. fire

(Contributed)
Penticton Regional Hospital Auxiliary donates $78k to school breakfast programs

The Penticton Breakfast Club runs programs at Queens Park, Westbench and Columbia Elementary schools

South Okanagan Women in Need Society and TIME Winery will be accepting donations from noon to 4 p.m. at Time Winery Saturday, Dec. 5, 2020 to help women and children in need during their annual “Time to Give” event. (Contributed)
Support women and children in need this weekend at TIME Winery in Penticton

SOWINS has seen more women than ever become victims to domestic abuse this year

(File)
One death and 82 new cases of COVID-19 in Interior Health

1,981 total cases, 609 are active and those individuals are on isolation

The Cactus Court housing property was intended to have zero barriers for accessibility, but the door sills are visibly above the outer layer of concrete. It is one of the issues that BC Housing is currently working on with the contractor for the project. (Brennan Phillips - Keremeos Review)
Affordable housing projects in Keremeos continue to sit empty

Cactus Court was supposed to be finished around July this year

Motorists wait to enter a Fraser Health COVID-19 testing facility, in Surrey, B.C., on Monday, Nov. 9, 2020. THE CANADIAN PRESS/Darryl Dyck
Another 694 diagnosed with COVID-19 in B.C. Thursday

Three more health care outbreaks, 12 deaths

Police responded to W.L. Seaton Secondary after reports of young man attempting to smash car windows in the student parking lot on Wednesday, Sept. 25, 2019. (Facebook)
Case of COVID-19 at North Okanagan high school

Member of W.L. Seaton Secondary exposure Nov. 26

Vernon-North Okanagan RCMP was called to a report of a fight at an Okanagan Landing Halloween party Saturday, Oct. 31, but issued the homeowner a ticket  under the COVID-19 Related Measures Act for having too many people at the party. (Black Press file photo)
West Kelowna man, dog rescued from carbon monoxide poisoning

The man was quickly transported to the hospital

Good Samaritan Mountainview Village located at 1540 KLO Road in Kelowna. (Good Samaritan Society)
First long-term care resident dies from COVID-19 in Interior Health

Man in his 80s dies following virus outbreak at Mountainview Village

A demonstrator wears representations of sea lice outside the Fisheries and Oceans Canada offices in downtown Vancouver Sept. 24, demanding more action on the Cohen Commission recommendations to protect wild Fraser River sockeye. (Quinn Bender photo)
First Nations renew call to revoke salmon farm licences

Leadership council implores use of precautionary principle in Discovery Islands

The former BC Tree Fruits office building at 1473 Water Street has been sold. (Contributed)
BC Tree Fruits downtown Kelowna office sold for $7.5M

Historic building sold for 44 per cent more than the $5.2-million asking price

Ten-month-old Aidan Deschamps poses for a photo with his parents Amanda Sully and Adam Deschamps in this undated handout photo. Ten-month-old Aidan Deschamps was the first baby in Canada to be diagnosed with spinal muscular atrophy through Ontario’s newborn screening program. The test was added to the program six days before he was born. THE CANADIAN PRESS/HO, Children’s Hospital Eastern Ontario *MANDATORY CREDIT*
First newborn tested for spinal muscular atrophy in Canada hits new milestones

‘If Aidan had been born any earlier or anywhere else our story would be quite different’

Margaret Holm
HOLM: Better Bicycle Lanes

Margaret Holm writes about solutions to global warming

The newly opened Switzmalph Child Care Centre at Salmon Arm offers culturally enriched programs featuring the Secwépemc culture but is open to children of all heritages. (Martha Wickett - Salmon Arm Observer)
Video: Switzmalph Child Care Centre shares culture with Shuswap community

New daycare at Salmon Arm offers Secwépemc culturally enriched programs to children of all heritages

Most Read