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Hopes raised, hopes dashed for British Columbia offshore
Gary Park, PNA Canadian correspondent
Hopes of an early end to the ban on exploring British Columbia’s offshore seem to have been dealt a swift setback this week, with Canada’s Environment Minister David Anderson declaring that nothing will happen without a long and costly analysis.
British Columbia Premier Gordon Campbell showed up in Ottawa on April 8 and 9 confident he could get a positive federal government decision to lift the moratorium “within the next two or three weeks.”
He met with Natural Resources Minister Herb Dhaliwal, who has supported oil and gas exploration of the offshore provided it could be conducted in an environmentally sustainable manner.
But before Campbell or Dhaliwal could reach any agreement, Anderson intervened in defense of the moratorium that he, as a then federal assistant deputy minister was instrumental in establishing in 1972.
“I’ve always said the moratorium served a useful purpose and if it is to be lifted then it must be clear that potential benefits outweigh potential risks,” he told reporters outside Parliament. Analysis required “We haven’t done that analysis. It would be very expensive and take a lot of hard work,” he said, without offering any estimates of cost or time.
Equally guarded was Petro-Canada, one of the leaseholders in the Queen Charlotte Basin, along with Shell Canada and Chevron Canada Resources.
A spokesman told the Financial Post that three major concerns would have to be resolved before his company would even consider activity in the region.
The list included: A clear integrated federal-provincial framework governing the offshore; a settlement of all outstanding First Nations land claims; identification and protection of all ecologically sensitive areas.
The spokesman said “work remains on all three fronts,” and only if it could be completed would Petro-Canada revisit its exploration programs.
The Haida First Nation added to the land claims challenge by launching a legal battle in the Supreme Court of British Columbia over ownership of the Queen Charlotte Islands and surrounding waters.
Neither Campbell nor Dhaliwal could be reached to comment on Anderson’s statements. Call to strengthen moratorium But environmentalists immediately called on Anderson to strengthen the moratorium.
Living Oceans Alliance, a coalition of about 90 British Columbia environmental and citizens’ groups, objected to letting petroleum companies spend the money to provide the risks were minimal.
The moment the federal government lifted the moratorium it would “send a clear message to the industry they will be welcomed out here,” said an alliance spokeswoman.
Another note of doubt was added by Peter Linder, an analyst with Research Capital Corp., who challenged estimates that the Queen Charlotte Basin has reserves of 9.8 billion barrels of oil and 25.9 trillion cubic feet of natural gas.
He said that until seismic work and drilling have been done, the British Columbia offshore could match the reserves of Newfoundland’s offshore or it “could be a dud.”
Even with permission to explore, it would take the industry at least four or five years to come closer to production, he said.
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