Canada's Pipeline Conundrum: Support Without Contribution

The proposed pipeline to the West Coast has sparked debate in Canada, with most Canadians supporting the project for economic reasons. According to a recent poll by the Angus Reid Institute, 63% of Canadians support building a new pipeline from Alberta to British Columbia, citing the need to diversify oil markets and create jobs.

However, a separate poll commissioned by the Pembina Institute found that 61% of Albertans do not want to spend taxpayer money on the project. This raises questions about who will foot the bill for the estimated CA$35.2 billion to CA$43.7 billion pipeline.

The Alberta government has proposed partnering with Trans Mountain and Pembina Pipeline Corp. to build the pipeline, which would result in taxpayers owning a majority stake in the project. The Government of Canada purchased the Trans Mountain pipeline in 2018 for an undisclosed amount, and Alberta's government has already contributed CA$18 million to the latest pipeline plan.

Industry advocates argue that pipelines generate money through tax and royalty revenues and make oil prices more competitive. However, critics point out that the tolls charged by pipeline operators do not cover the construction costs, with only 44% of the cost of the Trans Mountain expansion being covered by tariffs.