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

Prince Rupert Seafarers Mission celebrates the sailor on International Day of the Seafarer

Mission and Port host lunch to honour those who work at sea

Year end awards celebrate top Prince Rupert swimming talent

PRASC recognizes swimmers who contribute both in and out of the pool

Council briefs: Moby Dick owner publicly speaks to Prince Rupert council about her goats

Council heard arguments supporting municipal voting for permanent residents

Researchers to flush Skeena with bright dyes for spill-response study

Kitsumkalum leading effort as rail transport of hazardous materials on the rise

UPDATE: Fate of last house standing from Third Ave. fire in hands of insurance

The second home, located at 941 Third Ave., was demolished due to safety concerns

VIDEO: Killer whale has the final catch in Prince Rupert waters

Fishing duel sees salmon stolen by eager orca

Fate of accused in Canadian couple’s 1987 killings in jury’s hands

William Talbott’s lawyer says DNA doesn’t prove murder

Child killed after being hit in driveway on Vancouver Island

The driver of the vehicle remained at the crash scene and is fully cooperating

Eating sandwiches, putting on makeup behind the wheel could land you a fine

RCMP say if you cause an accident while eating you could be penalized

Cat badly hurt in animal trap was likely stuck for days, B.C. owner says

Blu, a three-year-old house cat, suffered severe damage to his hind leg after being stuck in trap for days

40 cats surrendered in apparent hoarding at B.C. home

Officers found the cats living among piles of garbage and feces, suffering from fleas

Vancouver Aquarium drops cetacean ban lawsuit in new lease agreement

Ocean Wise CEO Lasse Gustavsson called the updated lease an exciting new chapter for the aquarium

Thieves steal two $40K chairs featuring gold serpents from B.C. furniture store

Chairs believed to be the only two of its kind in Canada, police said

Rising gas prices force B.C. residents to rethink summer road trips: poll

63 per cent of respondents reported gas prices are impacting their day-to-day finances

Most Read