Dear Editor
We’d like to take this opportunity to provide answers to some of the spill response questions that have been raised. Canada’s oil spill response regime is based on a strict ‘polluter pay’ principle.
If a spill were to occur on our pipeline system, we’d be required to cover the entire cost of the cleanup – neither the public, nor any level of government will have to pay.
Oil pipeline companies are required by regulation to hold $1 billion in financial resources. We hold multiple reserves to ensure that we have the funds to deal with an emergency situation, including cash, close to $900 million in insurance, and nearly $4 billion of credit. In the event of a spill, we’re prepared to use these resources to respond immediately and effectively.
The same ‘polluter pay’ principle exists for the marine shipping industry. The polluter is liable for all response costs through insurance and backed by an industry-funded Canadian and international compensation regime. In total, there’s about $1.5 billion available for oil spills from ships. More information about the Ship-source Oil Pollution Fund can be found at www.ssopfund.ca.
That said, Trans Mountain has been safely loading vessels for more than 60 years at our marine terminal without a single spill from a tanker. While the region’s existing safety regime already meets global standards, we’ve committed to additional measures that will further improve safety for all waterway users.
The proposals include a $100 million investment in Western Canada Marine Response Corporation to create new response bases, fund new equipment and employ 100 new people. This will double the spill response capabilities and cut mandated response times in half. And, an expanded tug escort regime will cover the entire tanker route – from Burnaby, through the Strait of Georgia and the Strait of Juan de Fuca.
Combined with the measures to prevent spills, our goal is to have an industry-leading emergency response plan that’s never used.
Michael Davies, Senior Director of Marine Development, Kinder Morgan Canada
