Just the facts on LNG
Our intention to establish a liquefied natural gas (LNG) export industry in BC is based on favourable geography and economics. Northeast BC has a vast supply of easily accessible natural gas – but with the United States increasingly meeting its own domestic energy needs, our ability to export our resource to the south is constrained.
However, with access to the Pacific, BC is well positioned to liquefy and export our natural gas to growing, energy-hungry markets in Asia – and to help those economies transition from coal and other fuels to this cleaner-burning fuel, making a significant dent in global greenhouse gas emissions. And in the process, we can create thousands of well-paying, family-supporting jobs and generate billions of dollars in revenue to help pay for health care, education, and the other services people count on.
Recognizing this opportunity, our BC Liberal government put in place a competitive LNG tax structure and evidence-based environmental regulations to make BC an even more attractive destination for LNG investment.
That determination and focus are paying off. Near Squamish, Woodfibre LNG has decided to move forward with building their export facility – a $1.6 billion project that will create 650 new jobs. Throughout BC, there are 20 LNG proposals in various stages of development – and together, they’ve invested over $20 billion in preparatory work, creating jobs and opportunity that weren’t there before, including in Aboriginal communities.
Global LNG prices are currently low, which means most proponents are waiting to make final investment decisions once prices recover and their projects will be more profitable. What counts is that once prices recover, BC is ready to welcome those multi billion-dollar investments and the jobs and opportunity they’ll bring.
Where does the NDP stand on all this? Good question. They claim they’re in favour of LNG, but they’re cool on hydraulic fracturing, the closely regulated process that been used for decades in BC to extract natural gas. They’re actively opposed to the Pacific NorthWest LNG project, which would create hundreds of jobs and huge contracting opportunities in the Prince Rupert area. And they think BC’s LNG tax rate is too low – which is pretty much what they think about every tax rate, and suggests that an NDP government would squander the opportunity that’s in front of us.