The fallout from the Teck Frontier decision reverberated yesterday, whether it was with disappointed local First Nations, or industry groups giving the usual lamentations about investor confidence. More blame was thrown around, most of it at Justin Trudeau’s direction which seems to be in direct contradiction to what the company’s CEO said in his withdrawal letter, which talked about partisan bickering between levels of government, while also talking about how they supported carbon pricing and the emissions caps – in other words, largely siding with the federal government as the provincial government tore up the comprehensive and reasonable plan that the former NDP government had put into place with a great deal of thought and consultation, which introduced all manner of uncertainty into the market and put them into direct conflict with the federal government unnecessarily – but they also made the gamble that Andrew Scheer would win the last federal election and they wouldn’t have to worry about carbon pricing or strict regulations any longer, and well, that didn’t happen. Of course, it didn’t stop Kenney, Scheer or others from making up things wholesale in order to keep the blame on Trudeau, after they already overly raised expectations for the project (in part by lying about what its promises actually were). In conversation yesterday, a fellow journalist made the supposition that Teck may have been afraid of federal approval at this point because the expectations for it had been built so high when they knew they couldn’t deliver on it, in large part because the price of oil is simply far too low for the project to be viable, not to mention that it’s hard to attract financing as global investors are looking for climate-friendly projects these days.
In pundit response, Heather Scoffield points to the lack of the next stages of the federal climate plans, combined with Alberta’s battling those plans, as factors making us unattractive to investors. Scoffield also blames a lack of leadership for why it’s taking so long to get those needed plans in place. Max Fawcett considers Teck Frontier a metaphor for an Alberta past that won’t come back, and that the withdrawal of the application should be a wake-up call for those who are trying to bring that past back. Kevin Carmichael calls out Teck’s CEO for playing martyr while sabotaging the kind of conversation over energy and the environment that the country needs to have, but now won’t because the deadline is off the table and we have degenerated into assigning blame.
And then, as if things couldn’t get any more interesting, the Alberta Court of Appeal released their 4-1 decision that said that the federal carbon price was unconstitutional, in direct opposition to the decisions from Ontario and Saskatchewan (both of which will head to the Supreme Court of Canada next month). But that being said, there is a curious amount of overtly political editorialising within said judgement, from one of the concurring judges in particular, which I am assured by a law professor will be a field day for the Supreme Court of Canada when this ruling makes it to them.
https://twitter.com/molszyns/status/1232059249158545408
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https://twitter.com/charlesrusnell/status/1232124886937550849