RE: Alberta government will spend $1.5 billion in KXL pipeline to kickstart construction.The absurdity of Alberta investing $1.1 billion in the [Keystone] XL pipeline and guaranteeing another $7 billion + in loans is nuts! TC Energy claims they will buy back Alberta’s equity interest after the pipeline is in service. However, no one has provided any specific details how that buy-back would occur. The announcement should set off alarm bells across Alberta. In the UCP announcement, Kenney claims construction will begin as early as April 1, 2020. This is absolutely not true! The latest court challenge that TC Energy inflicted upon itself has yet to make its way to the Court of Appeals. There are many more court challenges to come, and most all of these challenges are self-inflicted by TransCanada’s previous efforts to circumvent environmental laws. To be clear, there was nothing wrong with TC Energy’s strategy to prolong the project in the courts. They had every right to take that risk. Now come Kenney and the UCP!.By signing this agreement, Kenney and the UCP downloaded the project’s liability onto the Alberta taxpayers. If the project succeeds, TC Energy shareholders profit. If the project fails, Alberta’s taxpayers take the loss. Stated another way, Alberta practices capitalism in times of growth, and socialism in times of economic contraction, but only for the select few. Without getting into the weeds of the legalities, courts routinely disregard the separate legal personality of a corporate entity when a corporation is completely dominated and controlled by another (used as a shield) for an improper purpose. Whether it can proved or not, a logical argument can now be made accusing the Alberta government of hiding behind a corporate shield (improper purpose) to advance a pipeline project for its benefit in the United States. The insanity of thinking a foreign government – Alberta’s UCP – could through their proxy, TC Energy, expropriate or take by eminent domain private property in the United States for a pipeline to benefit Alberta is a constitutional sitcom that is too far-fetched to contemplate. Didn’t anyone in the UCP government even think to consult with a U.S. corporate and/or a U.S. constitutional lawyer before signing this agreement? .It is very likely, the first court cases to be filed will seek to pierce the corporate shield, and this may take years by way of state action in each of the states affected by this pipeline. Forget any environmental court challenges, which there are many. It will be seven years before the first “property rights” challenge reaches the U.S. Supreme Court. By signing this agreement, Kenney and the UCP opened a constitutional can of worms for opponents to challenge this pipeline. Politically, I can say with significant confidence there will be no Republican or Democratic politician in Nebraska, Montana, or the Dakotas that will support the expropriation of its citizen’s private property for the benefit of Alberta. Now that the UCP has blindly jumped into this project as the primary investor and guarantor of the XL pipeline, they may have doomed the project. If this agreement is reported correctly, TC Energy will receive a $1.1 billion cash injection, and should they default on their debts, Albertans are stuck with the bill. Is this what TC Energy intended all along?.The irony has not escaped me. For the last four years, Trump’s leadership – or lack thereof – has divided Republicans and Democrats like never before. With the stroke of a pen, Kenney and the UCP’s agreement with TC Energy may just well unite them. You just can’t write this stuff!.Joe Anglin is the former Wildrose MLA for Rimby-Rocky Mountain House-Sundre
RE: Alberta government will spend $1.5 billion in KXL pipeline to kickstart construction.The absurdity of Alberta investing $1.1 billion in the [Keystone] XL pipeline and guaranteeing another $7 billion + in loans is nuts! TC Energy claims they will buy back Alberta’s equity interest after the pipeline is in service. However, no one has provided any specific details how that buy-back would occur. The announcement should set off alarm bells across Alberta. In the UCP announcement, Kenney claims construction will begin as early as April 1, 2020. This is absolutely not true! The latest court challenge that TC Energy inflicted upon itself has yet to make its way to the Court of Appeals. There are many more court challenges to come, and most all of these challenges are self-inflicted by TransCanada’s previous efforts to circumvent environmental laws. To be clear, there was nothing wrong with TC Energy’s strategy to prolong the project in the courts. They had every right to take that risk. Now come Kenney and the UCP!.By signing this agreement, Kenney and the UCP downloaded the project’s liability onto the Alberta taxpayers. If the project succeeds, TC Energy shareholders profit. If the project fails, Alberta’s taxpayers take the loss. Stated another way, Alberta practices capitalism in times of growth, and socialism in times of economic contraction, but only for the select few. Without getting into the weeds of the legalities, courts routinely disregard the separate legal personality of a corporate entity when a corporation is completely dominated and controlled by another (used as a shield) for an improper purpose. Whether it can proved or not, a logical argument can now be made accusing the Alberta government of hiding behind a corporate shield (improper purpose) to advance a pipeline project for its benefit in the United States. The insanity of thinking a foreign government – Alberta’s UCP – could through their proxy, TC Energy, expropriate or take by eminent domain private property in the United States for a pipeline to benefit Alberta is a constitutional sitcom that is too far-fetched to contemplate. Didn’t anyone in the UCP government even think to consult with a U.S. corporate and/or a U.S. constitutional lawyer before signing this agreement? .It is very likely, the first court cases to be filed will seek to pierce the corporate shield, and this may take years by way of state action in each of the states affected by this pipeline. Forget any environmental court challenges, which there are many. It will be seven years before the first “property rights” challenge reaches the U.S. Supreme Court. By signing this agreement, Kenney and the UCP opened a constitutional can of worms for opponents to challenge this pipeline. Politically, I can say with significant confidence there will be no Republican or Democratic politician in Nebraska, Montana, or the Dakotas that will support the expropriation of its citizen’s private property for the benefit of Alberta. Now that the UCP has blindly jumped into this project as the primary investor and guarantor of the XL pipeline, they may have doomed the project. If this agreement is reported correctly, TC Energy will receive a $1.1 billion cash injection, and should they default on their debts, Albertans are stuck with the bill. Is this what TC Energy intended all along?.The irony has not escaped me. For the last four years, Trump’s leadership – or lack thereof – has divided Republicans and Democrats like never before. With the stroke of a pen, Kenney and the UCP’s agreement with TC Energy may just well unite them. You just can’t write this stuff!.Joe Anglin is the former Wildrose MLA for Rimby-Rocky Mountain House-Sundre
