STAKEHOLDER CAPITALI$M
Indigenous communities to buy stake in seven Alberta Enbridge pipelinesLisa Johnson -
Greg Desjarlais, chief of Frog Lake First Nation (left) and Enbridge CEO Al Monaco at an announcement of a $1.12-billion Indigenous energy investment in northern Alberta Wednesday, Sept. 28, 2022 in Edmonton.
Touted as the largest Indigenous energy partnership in North America to date, 23 communities are buying a minority stake in seven northern Alberta Enbridge pipelines for $1.12 billion.
With a news conference Wednesday, newly-created Athabasca Indigenous Investments, made up of 23 First Nation and Métis communities, announced the deal to buy an 11.57 per cent non-operating interest in the Enbridge-operated pipelines in the Athabasca region.
The pipelines covered by the deal include the Athabasca, Wood Buffalo/Athabasca Twin and associated tanks, the Norlite Diluent, the Waupisoo, the Wood Buffalo, the Woodland, and the Woodland extension. Colin Gruending, executive vice-president and president of liquids pipelines at Enbridge, said they collectively transport about 45 per cent of oilsands product.
Chief Greg Desjarlais of Frog Lake First Nation said the investment brings Indigenous communities who are impacted by development in the region an important seat at the table, and will allow them to improve their quality of life.
“This investment — it creates opportunities. It’s going to allow us to send our kids to school. It’s going to allow us to send more people to treatment. It’s going to allow us to deal with the mental (health) crisis that we have in our communities, the anxiety of the young people,” he said, adding the deal should be seen as a benchmark.
“I hope the industry and other levels of government are paying attention, because our people should not be living in poverty in the land of milk and honey.”
A deepening relationship
Al Monaco, president and CEO of Enbridge, said the company aims to become a partner with Indigenous communities in future renewable, renewables, carbon capture, hydrogen and natural gas projects.
“Really it’s the beginning of a partnership and a deepening of the relationship that I think is going to be absolutely vital to what we do in the future,” said Monaco, who added the deal would not have been possible without the work of the provincial government.
The Alberta Indigenous Opportunities Corporation (AIOC) backstopped the Athabasca Indigenous Investments deal to the tune of $250 million, with the rest of the investment raised through private investors. The Crown corporation was established by the UCP government in 2019, to extend loan guarantees and give advice to Indigenous groups to get involved in natural resource and other projects.
The latest project brings the total backing from AIOC to $410 million since 2020.
Premier Jason Kenney marked the announcement as one of the most exciting and consequential of his political career.
“(It’s) an historic, game-changing deal that shows the way to the future of shared prosperity,” he said, adding that pipelines will not get built without the full participation of Indigenous people, and the most effective way to ensure that participation is for them to be equal partners with an ownership stake.
Partnership is ‘precedent-setting’: crown corp
Stan Delorme, chairman of the Buffalo Lake Métis Settlement, said Enbridge has set the bar, and the partnership is a chance “to bring attention to the other industry players that are nickel-and-diming us currently.”
Justin Bourque, president of Athabasca Indigenous Investments, said it offers an important opportunity for all 23 communities involved to act as environmental stewards.
“This partnership in general provides a completely different form that we’ve never had in terms of engagement, in terms of discussion, in terms of being able to hold accountable,” he said.
AIOC chief executive officer Chana Martineau called the deal precedent-setting.
“These communities may not otherwise have been able to access the kind of capital required to facilitate equity share ownership in projects of this size and magnitude,” she said.
Enbridge and Athabasca Indigenous Investments said the assets are underpinned by long-term resources and long-term contracts, which provide “highly predictable cash flows.”
The deal is expected to close next month.
lijohnson@postmedia.com
twitter.com/reportrix
Greg Desjarlais, chief of Frog Lake First Nation (left) and Enbridge CEO Al Monaco at an announcement of a $1.12-billion Indigenous energy investment in northern Alberta Wednesday, Sept. 28, 2022 in Edmonton.
Touted as the largest Indigenous energy partnership in North America to date, 23 communities are buying a minority stake in seven northern Alberta Enbridge pipelines for $1.12 billion.
With a news conference Wednesday, newly-created Athabasca Indigenous Investments, made up of 23 First Nation and Métis communities, announced the deal to buy an 11.57 per cent non-operating interest in the Enbridge-operated pipelines in the Athabasca region.
The pipelines covered by the deal include the Athabasca, Wood Buffalo/Athabasca Twin and associated tanks, the Norlite Diluent, the Waupisoo, the Wood Buffalo, the Woodland, and the Woodland extension. Colin Gruending, executive vice-president and president of liquids pipelines at Enbridge, said they collectively transport about 45 per cent of oilsands product.
Chief Greg Desjarlais of Frog Lake First Nation said the investment brings Indigenous communities who are impacted by development in the region an important seat at the table, and will allow them to improve their quality of life.
“This investment — it creates opportunities. It’s going to allow us to send our kids to school. It’s going to allow us to send more people to treatment. It’s going to allow us to deal with the mental (health) crisis that we have in our communities, the anxiety of the young people,” he said, adding the deal should be seen as a benchmark.
“I hope the industry and other levels of government are paying attention, because our people should not be living in poverty in the land of milk and honey.”
A deepening relationship
Al Monaco, president and CEO of Enbridge, said the company aims to become a partner with Indigenous communities in future renewable, renewables, carbon capture, hydrogen and natural gas projects.
“Really it’s the beginning of a partnership and a deepening of the relationship that I think is going to be absolutely vital to what we do in the future,” said Monaco, who added the deal would not have been possible without the work of the provincial government.
The Alberta Indigenous Opportunities Corporation (AIOC) backstopped the Athabasca Indigenous Investments deal to the tune of $250 million, with the rest of the investment raised through private investors. The Crown corporation was established by the UCP government in 2019, to extend loan guarantees and give advice to Indigenous groups to get involved in natural resource and other projects.
The latest project brings the total backing from AIOC to $410 million since 2020.
Premier Jason Kenney marked the announcement as one of the most exciting and consequential of his political career.
“(It’s) an historic, game-changing deal that shows the way to the future of shared prosperity,” he said, adding that pipelines will not get built without the full participation of Indigenous people, and the most effective way to ensure that participation is for them to be equal partners with an ownership stake.
Partnership is ‘precedent-setting’: crown corp
Stan Delorme, chairman of the Buffalo Lake Métis Settlement, said Enbridge has set the bar, and the partnership is a chance “to bring attention to the other industry players that are nickel-and-diming us currently.”
Justin Bourque, president of Athabasca Indigenous Investments, said it offers an important opportunity for all 23 communities involved to act as environmental stewards.
“This partnership in general provides a completely different form that we’ve never had in terms of engagement, in terms of discussion, in terms of being able to hold accountable,” he said.
AIOC chief executive officer Chana Martineau called the deal precedent-setting.
“These communities may not otherwise have been able to access the kind of capital required to facilitate equity share ownership in projects of this size and magnitude,” she said.
Enbridge and Athabasca Indigenous Investments said the assets are underpinned by long-term resources and long-term contracts, which provide “highly predictable cash flows.”
The deal is expected to close next month.
lijohnson@postmedia.com
twitter.com/reportrix
‘We want to be at the table’: Indigenous leaders call for more partnerships after Enbridge deal
Paula Tran - Yesterday
Indigenous leaders across Alberta are calling for more partnerships with the provincial government after a "historic" economic development.
Derek Johnson, Supervisor/operator for Enbridge loads pipe at a storage facility just west of Morden, Man., Thursday, Aug. 16, 2018. A press conference and tour of a Line 3 site for federal, provincial, municipal and indigenous leaders was held at the site.
Paula Tran - Yesterday
Indigenous leaders across Alberta are calling for more partnerships with the provincial government after a "historic" economic development.
Derek Johnson, Supervisor/operator for Enbridge loads pipe at a storage facility just west of Morden, Man., Thursday, Aug. 16, 2018. A press conference and tour of a Line 3 site for federal, provincial, municipal and indigenous leaders was held at the site.
© THE CANADIAN PRESS/John Woods
Enbridge Inc. signed a deal to sell a minority stake in seven pipelines in the Athabasca region of northern Alberta to a group of 23 First Nation and Métis communities for $1.12 billion.
The deal is the largest energy-related Indigenous economic partnership transaction in North America to date, according to Enbridge.
Video: Enbridge sells minority stake in 7 Alberta pipelines to Indigenous communities
The pipelines included in the agreement are the Athabasca, Wood Buffalo/Athabasca Twin and associated tanks, Norlite Diluent, Waupisoo, Wood Buffalo, Woodland and the Woodland extension.
Read more:
Why Indigenous-led projects could be key to combating Canada’s energy dilemma
Athabasca Indigenous Investments (Aii), a limited partnership of 23 Treaty 6 and Treaty 8 First Nations and Métis communities, will manage the investment which includes an 11.57 per cent non-operating interest in the pipelines.
Aii said the deal is expected to bring in more than $10 million annually to the communities represented in the partnership.
Enbridge said the assets are underpinned by long-life resources and long-term contracts, which provide highly predictable cash flows.
In March 2022, 16 Indigenous communities along the Coastal GasLink pipeline route signed option agreements for an equity stake in the project.
The deal is expected to close within the next month.
Video: Indigenous monitors track TMX pipeline progress through B.C.
Frog Lake First Nation Chief Greg Desjarlais said the deal marks a new path because it will create opportunities to improve the well-being of Indigenous peoples across the province.
"First Nations weren't the problem. We are part of the solution in this country," Desjarlais said at a news conference on Wednesday.
"This investment creates opportunities. It's going to allow us to send our kids to school. It's going to allow us to send our people to treatment. It's going to allow us to deal with the mental health crisis in our communities.
"Our people should not live in poverty on the land of milk and honey. Our milk has gone sour somewhere. We need to get back to working together."
Read more:
Indigenous monitors join province in tracking Trans Mountain pipeline progress
Desjarlais urged the Alberta government to continue inviting First Nation and Métis peoples to have a seat at the decision-making table.
These decisions will affect the generations to come, he said.
"I support economic sovereignty. I also live off the land... We always had an economy, but somewhere down the line we were excluded," the First Nation chief said.
"Today, the investment means we have an important seat at the table, and that seat cannot be ignored or overlooked... As the chief of Frog Lake, I have to have the foresight like many of our leaders do to look beyond the generations that are yet to come.
"This is what the Elders prophesized. We must work together and we must care for one another."
Read more:
Indigenous non-profit group seeks ownership stake in Trans Mountain Pipeline
Stan Delorme, chairperson of the Buffalo Lake Métis Settlement, said the funding from the deal is necessary but more needs to be done.
"Hopefully other industries are paying attention at this point in time," Delorme said.
"This is not only a historical day but also a beneficial deal... The funding is needed. Like any other community, the needs are there."
Video: Landlocked: Canada’s Energy Dilemma
Enbridge deal a major steps toward reconciliation: Alberta government
The Alberta government said the deal is a major step toward reconciliation with First Nations and Métis settlements.
According to Premier Jason Kenney, the "game-changing" deal makes the Alberta government a partner in Indigenous prosperity.
"This moves the talk of reconciliation to the real progress of reconciliaction," Kenney said at a news conference on Wednesday.
"This is the single largest Indigenous transaction in the natural resource center in the history of North America."
Video: B.C. First Nations urge Canada to cease pipeline construction
Chana Martineau, chief executive officer of the Alberta Indigenous Opportunities Corp. (AIOC), said the deal benefits all Albertans, not just Indigenous peoples.
The AIOC, a provincial crown corporation, said it provided a loan guarantee that enabled the communities to borrow the $250 million for their equity stake in the assets instead of contributing their own capital.
"The AIOC has continuously championed Indigenous prosperity and the impacts that these kinds of projects can bring to industry partners, Indigenous communities and Métis settlements across the province," Martineau said.
Enbridge chief executive officer Al Monaco said the partnership exemplifies how Enbridge and Indigenous communities can work together.
"We're actually doing something to ensure that we foster reconciliation in this country... If we can get this right going forward, then we have a lifetime of opportunity here," Monaco said.
--With files from The Canadian Press.
Enbridge Inc. signed a deal to sell a minority stake in seven pipelines in the Athabasca region of northern Alberta to a group of 23 First Nation and Métis communities for $1.12 billion.
The deal is the largest energy-related Indigenous economic partnership transaction in North America to date, according to Enbridge.
Video: Enbridge sells minority stake in 7 Alberta pipelines to Indigenous communities
The pipelines included in the agreement are the Athabasca, Wood Buffalo/Athabasca Twin and associated tanks, Norlite Diluent, Waupisoo, Wood Buffalo, Woodland and the Woodland extension.
Read more:
Why Indigenous-led projects could be key to combating Canada’s energy dilemma
Athabasca Indigenous Investments (Aii), a limited partnership of 23 Treaty 6 and Treaty 8 First Nations and Métis communities, will manage the investment which includes an 11.57 per cent non-operating interest in the pipelines.
Aii said the deal is expected to bring in more than $10 million annually to the communities represented in the partnership.
Enbridge said the assets are underpinned by long-life resources and long-term contracts, which provide highly predictable cash flows.
In March 2022, 16 Indigenous communities along the Coastal GasLink pipeline route signed option agreements for an equity stake in the project.
The deal is expected to close within the next month.
Video: Indigenous monitors track TMX pipeline progress through B.C.
Frog Lake First Nation Chief Greg Desjarlais said the deal marks a new path because it will create opportunities to improve the well-being of Indigenous peoples across the province.
"First Nations weren't the problem. We are part of the solution in this country," Desjarlais said at a news conference on Wednesday.
"This investment creates opportunities. It's going to allow us to send our kids to school. It's going to allow us to send our people to treatment. It's going to allow us to deal with the mental health crisis in our communities.
"Our people should not live in poverty on the land of milk and honey. Our milk has gone sour somewhere. We need to get back to working together."
Read more:
Indigenous monitors join province in tracking Trans Mountain pipeline progress
Desjarlais urged the Alberta government to continue inviting First Nation and Métis peoples to have a seat at the decision-making table.
These decisions will affect the generations to come, he said.
"I support economic sovereignty. I also live off the land... We always had an economy, but somewhere down the line we were excluded," the First Nation chief said.
"Today, the investment means we have an important seat at the table, and that seat cannot be ignored or overlooked... As the chief of Frog Lake, I have to have the foresight like many of our leaders do to look beyond the generations that are yet to come.
"This is what the Elders prophesized. We must work together and we must care for one another."
Read more:
Indigenous non-profit group seeks ownership stake in Trans Mountain Pipeline
Stan Delorme, chairperson of the Buffalo Lake Métis Settlement, said the funding from the deal is necessary but more needs to be done.
"Hopefully other industries are paying attention at this point in time," Delorme said.
"This is not only a historical day but also a beneficial deal... The funding is needed. Like any other community, the needs are there."
Video: Landlocked: Canada’s Energy Dilemma
Enbridge deal a major steps toward reconciliation: Alberta government
The Alberta government said the deal is a major step toward reconciliation with First Nations and Métis settlements.
According to Premier Jason Kenney, the "game-changing" deal makes the Alberta government a partner in Indigenous prosperity.
"This moves the talk of reconciliation to the real progress of reconciliaction," Kenney said at a news conference on Wednesday.
"This is the single largest Indigenous transaction in the natural resource center in the history of North America."
Video: B.C. First Nations urge Canada to cease pipeline construction
Chana Martineau, chief executive officer of the Alberta Indigenous Opportunities Corp. (AIOC), said the deal benefits all Albertans, not just Indigenous peoples.
The AIOC, a provincial crown corporation, said it provided a loan guarantee that enabled the communities to borrow the $250 million for their equity stake in the assets instead of contributing their own capital.
"The AIOC has continuously championed Indigenous prosperity and the impacts that these kinds of projects can bring to industry partners, Indigenous communities and Métis settlements across the province," Martineau said.
Enbridge chief executive officer Al Monaco said the partnership exemplifies how Enbridge and Indigenous communities can work together.
"We're actually doing something to ensure that we foster reconciliation in this country... If we can get this right going forward, then we have a lifetime of opportunity here," Monaco said.
--With files from The Canadian Press.
RIGHT WING & PROCAPITALISM
Canada’s greenhouse gas emissions reduction targets are damaging to First Nations, says MerastyThe head of an Indigenous organization that advocates for sustainable and responsible resource development is pushing for “meaningful talks” to happen with Indigenous communities on how to move forward on a 42 per cent greenhouse gas (GHG) emissions reduction target set by the federal government for 2030.
Robert Merasty, executive director of the Indigenous Resource Network, calls that target a “political statement.”
“That’s what I disagree with: Political people making their own statements without consulting with … rights holders... In our Indigenous communities, we are rights holders. We have, absolutely, certain rights that are identified within the Constitution of Canada. You need to have meaningful talks,” said Merasty.
“It’s really (been) an issue of government dictating what must be done instead of sitting and discussing and asking what should be done. That’s the fundamental approach here.”
Federal Environment and Climate Change Minister Stephen Guilbeault says consultations have happened and he continues to speak with Indigenous communities and leaders.
In June 2021 the Canadian Net-Zero Emissions Accountability Act was passed, committing Canada to achieving net zero emissions by 2050.
The Emissions Reduction Plan, published this past March, states 30,000 Canadians had input, including Indigenous peoples. It sets out a 42 per cent emissions cap on the oil and gas sector by 2030 as one of the tools to hit the zero emissions mark by 2050.
“We did consult in preparing this plan,” said Guilbeault. “It’s not something that we did on our own in Ottawa. There was a lot of consultation. I’m hearing from some Indigenous representatives that there are too much consultations that we’re doing right now on environmental issues or climate change.”
What that plan doesn’t take into account, says Merasty, is the impact such measures will have on the quality of life of Indigenous communities that have finally been able to raise the capital needed in order to partner in oil and gas development.
“Nobody supports the protection, the stewardship of our Mother Earth more than our Indigenous communities…that’s paramount. But we also have to address the dilemma of how we address the poverty,” said Merasty.
Energy projects, such as Coastal GasLink, which will deliver natural gas from the Dawson Creek area to a facility near Kitimat and has considerable Indigenous buy-in (although there are Indigenous communities that oppose the project as well), have the ability to provide Indigenous communities with tens of billions of dollars that can be used to improve their quality of life, says Merasty, and move them away from dependence on federal funding.
“So let’s sit down and talk about what’s digestible in terms of addressing our climate change. Let’s sit down and talk about how do we do it together. Because in the midst of an energy crisis that Canada is having, we can’t simply shut off our energy productions and (be) purchasing our energy from other countries. That does not make economic sense,” Merasty said.
Merasty doesn’t stand alone with his concerns about how climate change measures could impact Indigenous communities economically.
The First Nations Financial Management Board (FMB) has raised concerns over the mandatory guidelines set by the Canadian Securities Administrators (CSA) for how companies on the stock market will be required to disclose their GHG emissions.
“GHG reporting will likely have a negative effect directly and indirectly on the Indigenous economy, but, at the same time, it will not include reporting on the value of Indigenous stewardship of traditional territories or “natural capital.” The value of this stewardship is far in excess of GHG emission reporting penalties and additional costs that Indigenous businesses, individuals and governments may face,” wrote the FMB in a February letter to the CSA.
The FMB works with First Nations to help them establish strong financial practises and secure loans.
FMB also raised concerns that GHG reporting may have an impact on Indigenous communities and businesses that operate in remote parts of Canada if they were required to report GHG. FMB notes that these communities and businesses rely heavily on GHG-intensive electricity and transportation.
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