THURSDAY, DECEMBER 1, 2016 VOL. 73, NO.95
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Trudeau delivers $14.3B in pipeline approvals Trans Mountain, Line 3 expansions approved; Northern Gateway killed
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Prime Minister Justin Trudeau announced approvals for Kinder Morgan’s Trans Mountain and Enbridge’s Line 3 pipeline expansions on Tuesday, at the same time killing the proposed Northern Gateway project. The decisions come ahead of a Dec. 9 meeting between Trudeau and provincial and territorial premiers. “It is a major win for Canadian workers, Canadian families, and the Canadian economy now and into the future,� Trudeau said in first announcing approval of the Trans Mountain expansion. Trans Mountain is one of two major pipelines already crossing British Columbia
and its proposed $6.8-billion expansion would triple its capacity from 300,000 barrels of crude oil per day from Alberta to 890,000 barrels—helping Canada diversify oil exports away from the U.S. Its approval includes 157 binding conditions set out by the National Energy Board, Trudeau noted, adding the project would not have been approved without the government of Alberta’s own carbon-pricing efforts and cap on oilsands emissions. “We took this decision today because we believe it is in the best interests of Canada and Canadians,� Trudeau said, noting the pipeline would create 15,000 “new middle-
class jobs.� “And as long as Kinder Morgan respects the stringent conditions put forward by the National Energy Board, this project will get built—because it’s in the national interest of Canadians, because we need to get our resources to market in safe, responsible ways, and that is exactly what we’re going to do.� Trudeau also reiterated his election pledge to ban crude oil tanker’s on B.C. north coast in announcing his decision on Northern Gateway. “Very shortly we’ll introduce legislation to make this tanker moratorium the law,� he said. Meanwhile, Trudeau’s
approval of Enbridge’s $7.5-billion Line 3 expansion will see the replacement of the half-century old pipeline and boost pipeline capacity from Alberta to Wisconsin. The pipeline decisions follow weeks of Liberal government announcements designed to show it is serious about combating climate change, including an accelerated coal phase-out, and a national floor price on carbon emissions starting in 2018. Trudeau has also rolled out a $1.5-billion marine protection plan to aid responses to tanker and fuel spills along the country’s coast in recent weeks. See PIPELINES on A9
Apartment vacancies skyrocket to 30% JONNY WAKEFIELD reporter@dcdn.ca
Apartment vacancy rates in the Peace Region are once again the highest in British Columbia, according to new data from Canada’s housing agency. But local real estate professionals are divided on whether the numbers accurately reflect the market. The Canada Mortgage and Housing Corporation (CMHC) blamed low oil prices and oversupply for climbing vacancy rates in Fort St. John and Dawson Creek in its annual rental market
survey, released Nov. 28. Fort St. John saw its vacancy rates surge from 12.1 per cent to 30.7 per cent. At 34.8 per cent, the town’s vacancy rate for one-bedroom apartments was the highest single rate in the province. Dawson Creek, meanwhile, recorded an overall rental vacancy rate of 19.1 per cent in October, 4.5 points higher than the same time last year. Downtown Prince George was a distant third, with a vacancy rate of just 5.6 per cent. Peace Region rents declined slightly with rising vacancies,
from an average $975 a month for all apartment types in Dawson Creek to $923, and $1,031 to $962 in Fort St. John. That puts both cities on par with Kelowna, which had average rents of $976. The average apartment in Vancouver, meanwhile, sat at $1,223. CMHC ‘out to lunch’ However, there is debate among local real estate professionals over whether the CMHC numbers accurately reflect vacancies in the region. Doug Scott, a residential real
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estate investor in Dawson Creek, was skeptical of the CMHC numbers. “In general with CMHC numbers, they’re so out to lunch,� he said. Scott said CMHC figures don’t respond quickly to market conditions, which can change depending on gas plant construction, drilling schedules and pipeline approvals. “By they time they do their survey and gather their report and put it to press, they’re always three months back,� he said. See VACANCY on A3
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