Friday, 29 May 2015

BC and LNG: Better Late or Never

By Mark Jaccard and Tom Gunton
Originally appeared in the Vancouver Sun October 14, 2014

Our LNG discussion has certainly changed from 2013, when Christy Clark’s “Debt-Free B.C.” slogan promised voters huge tax revenues from exporting the “world’s cleanest LNG.” Industry calls the shots today, threatening to invest elsewhere unless government quickly delivers on tax breaks, minimalist royalties, and environmental deregulation. It’s a sobering time.

Increasingly, one hears our government has moved too slowly, just as a prospector arriving too late to a gold rush. But this argument reflects a fundamental misunderstanding of today’s natural gas market. It can have potentially harmful repercussions for our economy and environment. Here is why.