It will soon become state-owned property.
The Trudeau government has failed to find a private-sector buyer for the Trans Mountain Pipeline Expansion, despite having repeatedly said that “many” companies were interested in it.
According to the CP, “Pipeline owner Kinder Morgan had been working with the government to identify another buyer before July 22. But with that date set to pass without a deal, it was expected the pipeline company will now take Ottawa’s $4.5-billion offer to purchase the project to its shareholders.”
As a result, the pipeline will become state-owned property.
The purchase alone will cost Canadian taxpayers $4.5 billion, and that’s just to buy the pipeline. Further construction will cost even more.
The CP notes that one estimate has the construction cost at $7.4 billion.
In a statement to the CP, the government said “We have no interest in being a long-term owner of a pipeline, but we will be the temporary caretaker. We won’t rush that.”
The nationalization of the Trans Mountain Pipeline will send a concerning message to Canadian taxpayers and investors.
If Canada was seen as a good place for investment, a private-sector company would have picked up the tab for the construction of the pipeline, and no nationalization would have happened – saving taxpayers many billions of dollars.
Now, we’re heading down the Venezuela route, where government incompetence, over-regulation, a failed ideology, and pandering to extremist anti-development groups pushes investment away, adds to budget deficits, explodes the debt, and weakens our economy.
This is also another nail in the coffin for Trudeau’s ‘climate’ plan. He repeatedly pushed the idea that the carbon tax would create the so-called ‘social license’ for pipeline projects, even though pipelines need only legal approval – not ‘social license.’
Instead, Canadians got stuck with the carbon tax, and projects are stalled while investment flees. And with Ontario and Saskatchewan leading the charge against the carbon tax, this nationalization only shows how pathetically Justin Trudeau has failed.
His failure is costing Canadians billions of dollars on this one pipeline alone, and countless billions in all the investment and jobs that will be scared away.
Photo – YouTube