As opposition grows, no end in sight to cost increases for construction delays
Tuesday August 7, 2018
Unceded Coast Salish Territories (VANCOUVER, BC) — Earlier today, Kinder Morgan filed documents with the U.S. Securities and Exchange Commission revealing that the construction costs of the Trans Mountain Pipeline have grown by CAD$1.9 billion over the previously projected $7.4 billion, bringing the total construction cost to $9.3 billion.
Finance Minister Bill Morneau announced in May that the Canadian federal government would buy the project from Kinder Morgan for $4.5 billion — bringing the total cost to taxpayers to $13.8 billion if the sale and construction go ahead.
This is the third time that construction costs have been revised upward since 2013, when Kinder Morgan first estimated the cost at $5.4 billion.
According to the Canadian Press, the documents also show construction won’t be done until December 2021, which is one full year beyond the last construction deadline of December 2020.
In response to today’s announcement, Stand.earth issued the following statements:
“Today's filing from Kinder Morgan on increased construction costs and construction delays for the Trans Mountain Pipeline is another warning that the Trudeau government is willing to waste billions of taxpayer dollars on a political pipe dream. This risky project — one that even Kinder Morgan itself wouldn't commit to building — continues to be riddled with bad news.” -Tzeporah Berman, Deputy Director, Stand.earth
“The construction costs of this project have now almost doubled from the original $5.4 billion price tag when it was first announced. There is no end in sight to these cost increases, as construction delays, ongoing permitting issues, and on-the-ground opposition from everyday British Columbians will no doubt continue to lead to more and more cost overruns.” -Sven Biggs, Climate Campaigner, Stand.earth
Media contact: Sven Biggs, Climate Campaigner, firstname.lastname@example.org, 778-882-8354