New Brunswick

Brian Gallant says Energy East Pipeline would benefit Quebec

New Brunswick Premier Brian Gallant says Quebec and Canada as a whole would stand to benefit from the proposed Energy East Pipeline project.

N.B. premier says Quebec could see 4,000 jobs and $700 million in extra tax revenue

New Brunswick Premier Brian Gallant says Quebec would get about 4,000 jobs and $700 million in extra tax revenue from the Energy East Pipeline project.

New Brunswick Premier Brian Gallant contends the Energy East Pipeline would be good for Canada as a whole. (CBC News)
He made the comments on Wednesday, in response to comments by the Quebec premier earlier this week.

Quebec Premier Philippe Couillard told The Associated Press on Tuesday that he didn't see much economic value for his province in being a "transit place" for TransCanada Corp.'s proposed  pipeline, which would carry crude oil from western Canada to refineries on the Atlantic coast.

But Quebec's benefits would be double those of New Brunswick in some areas, according to the estimates provided by Gallant.

- Brian Gallant, New Brunswick premier

"The province of Quebec is being estimated to receive, over the seven years of the beginning of the project, about 4,000 jobs created," said Gallant.

"We see an increase of about $3 billion in the GDP and on top of that, about $700 million in extra tax revenue for the province of Quebec. This is clear benefits that I think would help their province."

According to the estimations Gallant gave, New Brunswick would receive similar benefits, just not as much.

"We would see a GDP increase of $1.5 billion over the first seven years of the project. We would see about 2,000 jobs created for New Brunswick, and you would see about $300 million in tax revenue for the province over that span," he said.

Gallant says the benefits don't just go for the individual provinces. He feels the Energy East Pipeline would be a benefit for the entire country.

"It's going to be our role, myself and others who support this project and want to see this investment be made, to show New Brunswickers, to show Quebecers, to show Canadians across the country, that there are benefits for all of us," he said.

Gallant will be meeting with Couillard and the rest of Canada's premiers at the Council of the Federation meeting in St. John's July 14-18.

The Quebec government has imposed a number of conditions on TransCanada Corp. for it to accept the $12-billion project. One of the conditions is that the project generate economic benefits for Quebec.

The proposed 4,600-kilometre pipeline would carry 1.1 million barrels a day of oilsands crude from western Canada to refineries in Quebec and New Brunswick. It would terminate at Irving Oil's Canaport facility, which is located at the entrance to Saint John Harbour.

Its completion date has been pushed back by two years to 2020 after TransCanada Corp. abandoned plans for a terminal in Cacouna, Que.

The decision followed a recommendation that the status of beluga whales, which are found in the St. Lawrence River, be changed to endangered.


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