Northern Gateway Pipeline - Essay Example

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NORTHERN GATEWAY PIPELINES NAME UNIVERSITY The northern gateway pipeline project proposed by Enbridge Inc. plans to run dual pipelines from Edmonton, Alberta, to Kitimat, British Columbia. These pipelines running parallel will transport oil from Edimond, and condensate natural gas from Kitimat…
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Download file to see previous pages A project of such a scale requires a sizable investment and with that, the external factors affecting the project or the project’s own impact on the society should be analyzed extensively (Enbridge Inc, 2012; AFX News Limited, 2007). Officials at Enbridge believe the project has more direct and indirect benefits to offer than harm to the society or the environment. .Such projects provide employment opportunities, permanent and contract based. The construction period of the pipeline project will open a window for 62700 jobs and 1146 operational jobs in British Colombia, Alberta and parts of Canada, collectively. Such a job exposure will lead to skill development within the workforce. High-end tax returns of the pipeline project of $912million will contribute towards the betterment of the society and the province. This will be the largest private investment in the history of British Colombia. The revenue from the pipeline will contribute $270million to the Canadian GDP. Tax revenues over 30 years will be over $1 billion, providing funds for healthcare, education and creating more job oppurtunities. Such an invest will give 1150 jobs in the Canadian economy. (Northern gateway pipeline project). Enbridge is one of the largest energy corporations in Canada, said that the company has the worst environmental record of 804 oil spills between 1991-2010. Therefore, it would not be surprising to realize that Enbridge Inc. is not exactly the favorite of environmental activists and often faces open criticism from various social pressure groups. The chiefs of the Gitxsan region have openly condemned the idea for the pipeline. Environment activists argue that the process of extraction of oil from the oil sands wills pollute air and nearby water bodies such as lakes and rivers, this process will give a rise to global warming causing heat levels to rise in the region. If a spill were to occur, the chances of an explosion may arise due to the levels of bitumen present and such spill in remote areas is always a difficult task to cleanup, especially in winters. The bitumen pipeline penetrates coastal waters for 185km; a spill can fatally damage the marine life and the waters of the protected bear forest. Furthermore, bitumen rapidly dissolves in water; this makes the decontamination a lengthy task. (Girard, R. 2010; CBC News 2012) The figures released by Enbridge state that the pipeline running from Kitimat would transport 193,000 barrels of natural gas condensate per day. With a westerly flow, oil pipeline containing bitumen will transport 525,000 barrels of oil per day. Through the Kitimat marine terminal, the oil will be shipped to the Asian overseas markets via tankers. Enbridge officials ensure that all vessels that enter Kitimat terminal will be modern and double hulled. All safety regulations will be followed and sea and wind conditions will be monitored closely. Enbridge claims that the strategy will be put forward by putting together the best people, strategy and planning (Pipeline information and plan). The debate will go on, between the economic benefits and the environmental hazards this pipeline project will bring. Economically the benefits are there, but being a public limited company has its certain limitations. Any undesired step putting the environment at risk might upset the shareholders and the investors greatly. Considering Enbridge’s reputation of oil spills and environmental violations, the criticisms on Enbridge ...Download file to see next pagesRead More
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