Premier Eby gives $200 Million in new fossil fuel subsides to LNG terminal 

səl̓ílwətaʔɬ (Tsleil-Waututh), xʷməθkwəy̓əm (Musqueam), and Skwxwú7mesh (Squamish) territories (VANCOUVER, B.C.) – Yesterday B.C. Premier David Eby announced that his government is giving the Cedar LNG Terminal $200 million in new direct fossil fuel subsidies. Cedar LNG, a joint project of the Haisla Nation and Pembina Pipelines, has already received $700 million in fossil fuel subsidies from the federal government in the form of loan guarantees and direct subsidies. This means that almost a quarter of the $4 billion project will be paid for by Canadian taxpayers.

“How is Premier Eby able to find hundreds of millions of dollars to hand out to fossil fuel projects while so many British Columbians are struggling with increases in the cost of living and in the midst of government-wide efficiency and hiring freeze to address its rapidly growing deficit?” said Sven Biggs, Stand.earth’s Oil and Gas Campaign Director. “It’s an assault on our pockets and the climate, and makes me wonder whose side this government is really on.”

Eby justified the new fossil fuel subsidy by claiming that the funds would be used to connect the LNG terminals to BC Hydro’s electricity grid and therefore would reduce the climate impacts of the project. However this ignores the fact that the project was approved as an electrified terminal and that two thirds of the emissions connected to the terminal will come from the new fracking wells that will be needed to supply the terminal, not from the terminal itself.

“The real winners here are Pembina Pipelines who reported record-breaking earnings last year of $4.4 billion before interest, taxes, depreciation, and amortization, and their CEO Scott Burrows who took home $11.8 m in bonuses and salary,” said Biggs. “These guys are laughing all the way to the bank with our money.” [1][2]

This announcement comes just days after BC Hydro announced a new call for clean power which will add 5,000 gigawatt-hours, or enough electricity to power 500,00 homes, from new renewable power projects which will all include a First Nations equity ownership stake. Which demonstrates that B.C. can grow the economy, and create opportunities for Indigenous Peoples, while fighting climate change. However, today’s announcement means that new clean power will most likely be used to expand fossil fuels that only deepen the climate crisis, rather than heat our homes or decarbonize our economy.

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Notes for editors

[1] To see Pembina Pipelines earnings see slide 4 here

[2] For CEO Scott Burrows’ salary and bonus see here

[3] For LNG myths debunked see here

Contacts

Sven Biggs, Canadian Oil and Gas Programs Director – Stand.earth +1 778-882-8354

sven@stand.earth (Pacific Time)

Arin de Hoog, Communications, Oil, Gas and Shipping – Stand.earth. +1 613-978-7329

arin.dehoog@stand.earth (Eastern Time)