Prime Minister Mark Carney and Premier David Eby today announced an historic and comprehensive economic agreement that touches on nearly every sector of the province’s economy while brokering peace between British Columbia and Alberta on the divisive issue of pipeline construction.
The Canada-British Columbia Prosperity Agreement provides federal financial support to a series of critically important clean energy, critical minerals, transportation, environmental and workforce training investments while committing to ensure First Nations support and participate in these initiatives.
As well, the BC government secured the continuation of the North Coast tanker ban but also has agreed to largely stand down on any official challenge to a proposed Alberta oil pipeline, which now appears destined to follow a southern route and is expected to be announced later today by the Prime Minister and Alberta Premier Danielle Smith.
Highlights of the agreement posted here include:
Clean Energy Investments: Carney has committed financial support to Phases 1 and 2 of the North Coast Transmission Line. Ottawa also commits to the development of new clean power projects and supporting growth in British Columbia’s emerging wind power sector, including wind turbine transport, and exploring the development of a wind turbine manufacturing sector in B.C., using Canadian steel.
Pipeline Compromise: The federal government commits to maintaining the North Coast Tanker Ban, putting to bed the possibility of an oil pipeline to the North West Coast in addition to new conservation measures. In return, the province acknowledges Ottawa’s agreement with Alberta to move forward on a new oil pipeline and acting in good faith to engage in the necessary routing and permitting discussions, within its jurisdiction.
Ports Expansion and Shipbuilding: The agreement provides support to the expansion of the Port of Vancouver, improvements to the Port of Prince Rupert and the Port of Stewart, in addition to committing to expanding shipbuilding, servicing and recycling.
LNG Expansion: Ottawa and the province will work with proponents, communities, and First Nations to support the permitting, financing and construction of LNG export capacity in BC, including LNG Canada Phase 2, Ksi Lisims LNG & Prince Rupert Gas Transmission, Cedar LNG and Woodfibre LNG.
Critical Minerals: British Columbia’s already booming mining sector gets an additional boost from Ottawa with its commitment to support the Red Chris Mine Extension. Five major mine projects have already been approved in BC this year.
Workforce Training: Ottawa has committed to financial support for skilled trades training, expansion of childcare and early learning, and to use unionized labour on projects that receive government financial support.
Massey Tunnel Replacement: Ottawa has committed financial support for the replacement of the tunnel that provides a critical link for commuters south of the Fraser River to Metro Vancouver as well as being a valuable trucking corridor.
What Does This All Mean
This agreement helps cement Prime Minister Carney’s status as a nation builder who has managed to negotiate economic peace between British Columbia and Alberta governments on pipeline expansion, an issue on which these two western provinces have been at odds for more than a decade.
In return, Premier David Eby receives significant financial support for the priorities he set out in the Look West economic strategy released late last year. It all comes at a time when his government needs a major boost following the most challenging legislative session it has faced since coming to power in 2017.