Indigenous-led prospective buyer ‘not going away’ even as Trans Mountain costs spiral

An Indigenous-led initiative says it’s nonetheless pursuing possession of the Trans Mountain pipeline, despite the mission’s ballooning price ticket.

Project Reconciliation managing director Stephen Mason says his group is not going away simply because Trans Mountain Corp. introduced final week that building prices for the mission have risen to $30.9 billion.

The Trans Mountain pipeline was purchased by the federal authorities for $4.5 billion in 2018 after earlier proprietor Kinder Morgan Canada Inc. threatened to scrap the pipeline’s deliberate enlargement mission within the face of environmentalist opposition.

Construction on the pipeline continues to be ongoing, and is predicted to be accomplished later this 12 months.

The federal authorities has indicated it doesn’t want to be the long-term proprietor of the pipeline, and has stated it’s open to the concept of Indigenous possession.

But resulting from current contractual agreements with oil shippers, solely 20 to 25 per cent of the rising capital prices of the mission may be handed on to grease firms within the type of elevated tolls.

This report by The Canadian Press was first revealed March 17, 2023.