Coal-fired power plant shrouded in smog south of Beijing, November 2016. China’s government cancelled 100 coal-fired projects last year, but is proceeding with another 700. (Tom Fletcher/Black Press)

B.C. VIEWS: Premier John Horgan sees the light on LNG tax incentives

B.C.’s latest climate targets impossible, but that’s nothing new

In January I reminded readers that for all the bluster of the Christy Clark years, with LNG and “debt free B.C.,” John Horgan never actually opposed chilling and exporting northeast B.C.’s abundant shale gas to Asia.

He’s fine with hydraulic fracturing too. He just promised an independent study, like he did with the Site C dam. As NDP opposition leader, it was politically convenient to sound like he detested both of these time-tested industries, the better to calm urban voters raised on a steady diet of environmental scare stories.

Now that he’s premier, the real Horgan emerges. It’s a more abrupt transition than I expected, considering his government hangs by the thinnest of green threads. Horgan seems to have found one of Clark’s old LNG hardhats in the premier’s office, and he likes the fit.

The Shell-led LNG Canada project, $40 billion worth of pipelines, processing and shipping out of Kitimat, is now Horgan’s top priority. The “LNG income tax,” brought in by the B.C. Liberals, will be repealed. Construction will be exempted from sales tax as with manufacturing plants, and LNG Canada will even be exempted from carbon tax increases that start this year.

RELATED: LNG Canada welcomes B.C. tax breaks

B.C. Hydro power will be sold at the industrial rate, as it should be, although the old Horgan used to call that a subsidy from residential ratepayers.

When Clark and the B.C. Liberals were in full flight, summoning the legislature in the summer of 2015 to set conditions for the Petronas-led Pacific Northwest LNG, Horgan took to calling lead minister Rich Coleman “the gas man.”

He railed for years against what we now know are much more modest LNG tax breaks. “Shell does not need handouts from government,” he told a Victoria’s CFAX radio in 2013.

“Christy Clark reassures us that moving India and China away from coal-burning facilities to LNG facilities is the cleanest, greenest answer,” NDP MLA Michelle Mungall told her hometown Nelson Star in 2016. “I can’t believe how ridiculous that is. It’s still a fossil fuel.”

Guess who is now Minister of Energy, Mines and Petroleum Resources? (Much to her own surprise I suspect.) And guess who’s the new gas man, as LNG policy is directed by the premier’s office?

Horgan made his first visit to China in January, where he experienced the smog-choked air in a vast country that is still building hundreds more coal-fired electricity plants to power its mind-boggling urban development.

“I stood on the bank of the Pearl River and I couldn’t see the other side,” Horgan said.

I toured China two years ago and I agree with him. It has to be seen, and smelled, and tasted, to fully appreciate the scale of the building boom and the pollution crisis.

Green leader Andrew Weaver has been proven right for once. If this deal goes ahead, Site C power will be used to green up B.C. LNG, sold at the same discount industrial rate sawmills get.

Weaver was briefed on the government’s talks with LNG Canada, a rare consortium of Shell, PetroChina, KOGAS of South Korea and Japanese giant Mitsubishi. He insists that B.C.’s 2030 and 2050 targets can’t be met with LNG. They can’t be met without it either, barring some miraculous technological breakthrough.

Weaver will vote against the tax breaks, especially the carbon tax relief, when legislation comes this fall.

For now, that doesn’t matter, because the B.C. Liberals have to support LNG. We’ll see how outraged Weaver is next February, when he is asked to support another NDP budget.

Tom Fletcher is B.C. legislature reporter and columnist for Black Press. Email: tfletcher@blackpress.ca


@tomfletcherbc
tfletcher@blackpress.ca

Like us on Facebook and follow us on Twitter.

Just Posted

Info sessions in Langley, Surrey for New Horizons for Seniors Program grants

MP John Aldag says program reaffirms government’s ongoing commitment to supporting seniors

Langley-Cloverdale MP’s reconciliation-focused bill passes in House of Commons

Surrey MP’s Bill C-374 would add ‘much-needed Indigenous representation to the Historic Sites and Monuments Board’

Spotlight directed on ‘working man’s car’ at Sunday’s St. George’s Motoring Show

‘Britishautophiles’ will gather in front of Fort Langley Community Hall for 13th consecutive year

Pancake picnic in the park this Saturday

Grand re-opening of Hunter Park includes music and tree planting

Past versus present as Spartans volleyball program takes the court

Trinity Western will represent Canada in Brazil this summer, begin preparation with match against alumni

NDP gives Liberal budget ‘failing grade’ on gender equality

Nanaimo-Ladysmith MP Sheila Malcolmson said budget doesn’t do enough to focus on pay equity

Cochrane reworks ‘Big League’ for Broncos

Tom Cochrane releases his reworked version of “Big League” following Humboldt Broncos bus crash

Supreme Court upholds law in cross-border booze case

The Supreme Court of Canada ruled Section 121 does not impose absolute free trade across Canada

Trudeau looks for less plastic, more LGBTQ rights at Commonwealth

Prime Minister Justin Trudeau attends the Commonwealth meeting in London

Humboldt Broncos GoFundMe stops at $15 million

Humboldt Broncos GoFundMe site stops accepting donations as planned

Builder of Kinder Morgan reinforces concerns over project

B.C. heads to court over pipeline jurisdiction as builder says doubt warranted

Health committee cheers idea of national pharmacare program, but cost an issue

Conservative health critic Marilyn Gladu says she fears costs could be far higher than $19 billion

Canada’s oldest blood donor says it’s all gain, no pain after decades of giving

Great-grandmother and Coquitlam, B.C., resident has been donating blood since the late 1940s

Union says Trump bullying threatens hundreds of B.C. pulp mill jobs

Fear mounts that new U.S. anti-dumping duties could price Catalyst mills out of business

Most Read