Prince Rupert Mayor Lee Brain speaks at B.C. legislature Tuesday.

B.C. gives green light to Petronas LNG

Northwest mayors hopeful 25-year project agreement means long-term recovery for struggling communities

VICTORIA – The B.C. government has passed legislation setting tax rates in a 25-year project development deal for what the government hopes is the first of a series of liquefied natural gas export facilities.

Premier Christy Clark invited Prince Rupert Mayor Lee Brain and Port Edward Mayor Dave MacDonald to the legislature for a brief celebration Tuesday, as debate wound down on a rare summer session of the B.C. legislature.

Brain, a rookie mayor at age 29 and fourth generation Prince Rupert resident, said the prospect of economic recovery is welcome for the struggling community of 14,500 people.

“When I was in high school we lost three major industries all at the same time in our town,” Brain said. “We lost our forest industry, our fishing industry and our mill. I lost a lot of friends, we lost half our population and ever since it’s been a struggle for our community to get back on track.”

Clark said the project development agreement with Petronas-led Pacific Northwest LNG for the Port of Prince Rupert is complete from the government’s standpoint. She ruled out any further exemptions to the provincial sales tax that applies to investments in plant and pipelines that could reach $36 billion.

“We aren’t considering changing the way the PST is treated for this or any other projects,” Clark said, responding to comments by David Keane, president of the B.C. LNG Alliance.

Keane questioned the suggestion that LNG investors are getting a discount for investing in B.C.

“This is the only regime where we have to pay a special LNG tax,” Keane told reporters in Victoria last week. “It’s the only jurisdiction where we have to pay a carbon tax, and we also have to buy carbon offsets to get down to our greenhouse gas target that was legislated last year.

“And in addition to that, we’re also going to be paying PST, GST, payroll taxes, municipal taxes, and corporate income taxes at both the federal and provincial levels.”

Pacific Northwest still needs an environmental permit from the federal government, and approval from the Lax Kw’alaams Band, whose territory includes the Lelu Island site chosen for the LNG shipping terminal.

Opposition MLAs opposed the agreement, citing a lack of job guarantees and protection for the investors from discriminatory tax and regulation changes for 25 years.

 

Just Posted

New Glade ferry enters testing phase

The Glade II will be able to carry heavier loads and will use less greenhouse gases.

Freezing rain warning in effect for B.C. Southern Interior

Environment Canada issued the freezing rain warning for most of the Southern Interior Tuesday morning

Smiles all around as province announces emergency ward funding

$2.1 million to go to much-needed upgrades

As avalanche danger grows, BC heli-skiers exercise caution

Company relies on guides’ decades of experience

Heli-skiing operation “very concerned” by new caribou protection regs

Habitat protection is important, but ‘at what cost?’, asks Nakusp tourism operator.

VIDEO: Orcas put on a show near Hornby Island

Louis Jobodin shares photos and video of his experience

Body discovered in burnt out car near Trail

Police report a body was found in the burnt out trunk of a 1999 Honda Civic

VIDEO: B.C. Lions sign defensive back T.J. Lee to contract for upcoming season

The four-year veteran had a team-high four interceptions and 49 tackles last season with B.C.

How an immigrant to Canada helped Donald Trump prove his mental health

Test that cleared Trump was developed by doctor associated with McGill and Sherbrooke universities

Premier touches on multiple topics ahead of Asia trade trip

Housing and childcare are expected to be the focus of the BC NDP’s first budget in February.

UPDATE: Friends mourn boy, 15, killed in Vancouver shooting

John Horgan: ‘No stone is to be left unturned until we find the perpetrator of this heinous crime’

VIDEO: Explorers uncover Canada’s deepest cave in Fernie

The cave, named Bisaro Anima, was confirmed to have broken the record on New Year’s Day

Vernon to host largest Special Olympics B.C. Winter Games in 2019

Games to be held Feb. 21-23, with more than 800 athletes expected to take part

Ex-BC Liberal staffer focused on ‘favourable’ ethnic communities in scandal: lawyer

Former communications director Brian Bonney’s sentencing hearing for breach of trust is underway

Most Read