BC’s Energy Oroboros 3

800px-Linteau_Musée_Guimet_25974As it is recounted in the Skanda Purana … Kirtimukha or glorious face is what is left of a beast created in the embodiment of Lord Shiva’s rage. In a gesture of containment Shiva ordered it to feed on itself and the Kirtimukha obediently obliged, tail first, leaving only his glorious face.

People pay Hydro

Hydro pays Province

Hydro pays Independants

Peoples pay Hydro

While no where near as the elegant as the beast of Hindu Myth, BC Hydro, the provincial Crown Corporation responsible for electricity, seems to exhibit the same structural properties. Let me explain …  According to an article in Desmogcanada.com  Eoin Finn of the BC Ratepayers Association, notes that BC Hydro is $20 billion in debt and goes on to explain that the corporation has used ‘deferral accounts’ to develop a further $6 billion  of debt that is misrepresented as an asset. All this, according to Finn, gives BC Hydro the worst debt to equity ratio of any public or private utility in North America.

Finn explains how this huge debt was built up over a period of 15 years by the previous Liberal government as it funded itself from BC hydro coffers to the tune of $3 billion regardless of income, or rather debt. They didn’t permit rate increases for electoral reasons. To top it all, they set up a privatization programme, wherein BC Hydro was obliged to buy power from Independant Power Producers (IPP) at rates that would cover the IPP’s expenses and capital costs’ regardless of market realities. It seems that BC Hydro presently buys power at a rate of $93 per megawatt hour and sells it for $88. As such, all we have today of a corporation that has been steadily eating itself for 15 years is its Glorious face – its Kiritimukha!

Image: https://en.wikipedia.org/wiki/Kirtimukha





Petronas CEO Tan Sri Dato_ Sahmsul Azhar Abbas and Premier Christy Clark in Malaysia - BC government photoAccording to Chris Hatch in the National Observer the aborted PETRONAS project which would have brought fracked natural gas by pipeline from B.C.’s interior, compressed it into a liquid for export by tankers from Lelu island near Prince Rupert, would have become one of the largest sources of climate pollution in Canada. Specifically, he cites Environment and Climate Change Canada’s assessment describing the Petronas project as becoming “amongst the largest single point sources of greenhouse gas emission in the country.” He also cites the Pembina Institute figures to claim that this project alone would have accounted for “75% to 87% of the emissions allowed under B.C.’s 2050 target.” British Columbians may, indeed, have just dodged a deadly environmental bullet.

Here is a timeline of the BC Liberals  LNG affair with Malaysian Crown Corporation PETRONAS  (via their subsidiary Pacific NorthWest LNG) as reported in the Vancouver Sun –

  • Feb. 19, 2013: Pacific NorthWest LNG submits its project description to the Canadian Environmental Assessment Agency.
  • April 29, 2013: Japan Petroleum Exploration Co. Ltd. buys a 10 per cent stake in Pacific NorthWest LNG and agrees to buy 10 per cent of the liquefied natural gas produced over at least 20 years, becoming the first secure buyer.
  • Dec. 16, 2013: The National Energy Board grants Pacific NorthWest LNG a licence to export up to 22.2 million tonnes of LNG annually for 25 years. It had applied in July for a licence to export up to 19.68 million tonnes, beginning in 2019.
  • Feb. 28, 2014: Pacific NorthWest LNG submits its environmental impact statement to the Canadian Environmental Assessment Agency.
  • March 26, 2014: The federal government approves Pacific NorthWest LNG’s export licence.
  • June 11, 2015: In what it calls its final investment decision, Pacific NorthWest LNG announces it will proceed with the project as long as it satisfies two conditions: approval of a project development agreement by the B.C. legislature and clearing the federal environmental assessment review process.
  • July 21, 2015: The B.C. government passes legislation to ratify a project development agreement with Pacific NorthWest LNG.
  • March 21, 2016: The federal government grants the Canadian Environmental Assessment Agency more time to review the project.
  • Sept, 27, 2016: The federal government approves the project with 190 conditions, including for the first time a maximum cap on greenhouse gas emissions.
  • Oct. 27, 2016: Two First Nations and an environmental group file separate applications for judicial review in Federal Court to quash approval of the project. A fourth challenge is launched in January 2017.
  • July 25, 2017: Pacific NorthWest LNG says it will not proceed with the project, citing poor market conditions including a prolonged period of low LNG prices.

Image: http://vancouversun.com/news/local-news/petronas-cancels-11-4-billion-lng-project-near-prince-rupert