TransCanada cancels plans for Energy East pipeline


TransCanada shares were essentially flat at about $61 on the Toronto Stock Exchange as of mid-morning.

"Our government has approved two major export pipelines that are now under construction, and a third is expected to start soon".

TransCanada will also withdraw from a Quebec environmental review, said Girling.

TransCanada pulled its application for Energy East once the National Energy Board (NEB) ruled that it would consider all greenhouse gas emissions resulting from the project.

Saskatchewan Premier Brad Wall was an advocate for the pipeline project, voicing his support for it on many occasions, including trips to eastern Canada.

Gallant said he believes the project's decision was due to recent changes to world market conditions and the negative impact of lower oil prices.

"TransCanada knows that Energy East would never receive approval if all its climate pollution was taking into account", Adam Scott, a senior campaigner with Oil Change International, a nonprofit research and advocacy group that looks at the impacts of fossil fuels, told ThinkProgress.

The vast majority of Canadian crude exports go to the United States, and Energy East would have shipped 1.1 million barrels a day to east coast ports for loading onto tankers destined for higher-priced markets in Europe and Asia. The company first proposed the project in 2013, when oil prices were approaching 100 dollars per barrel.

"We are disappointed with this decision", said Ian Whitcomb.

There was jubilation in some quarters on Thursday, with Montreal Mayor Denis Coderre tweeting that the project's abandonment is a major victory. "That is neither fair nor appropriate; we ought not to ask a proponent to take a multi-billion gamble on a process that changes simply because a dog barked on Upper Teacup Road", Canada's Building Trades Union chief operating officer Robert Blakely said in a release. The company warned then that it could cancel the proposed 2,800 mile oil pipeline from Hardisty, Alberta, to Saint John, New Brunswick, which would have been most expensive project in TransCanada's history.

Calgary-based TransCanada (TSX:TRP) had announced last month that it was suspending its efforts to get regulatory approvals for the mega projects.

Alberta Premier Rachel Notley also decried Energy East's demise, calling it "an unfortunate outcome for Canadians" and saying that it would have reduced the nation's imports of foreign oil.

Locally, the pipeline runs along Trout Lake, within the municipal boundaries of North Bay, and faced opposition from community groups.

"His actions and his government's actions may well have some westerners wondering if this country really values western Canada, the resources we have, and the things we do to contribute to the national economy and to quality of life for all".

October 8, 2015: Environmental group Environmental Defence says the National Energy Board is rushing the process for Energy East by gathering oral traditional evidence from aboriginal bands before it has received a complete application.

The Nebraska Public Service Commission is reviewing the Keystone XL plans and has until November 23 to decide whether to approve or deny the project.