Talk Tankers WELCOME TALK TANKERS: What are your questions on the Kinder Morgan Trans Mountain Pipeline expansion?

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1 WELCOME TALK TANKERS: What are your on the Kinder Morgan Trans Mountain Pipeline expansion?

2 NEB Process Public Input The National Energy Board (NEB) required interested parties to apply to participate by February 12, 2014 Anyone who did not apply is not able to be involved in the process NEB determined level of involvement: Intervenor able to ask, submit evidence, provide an oral summary Commenter limited to one written submission No status not even able to submit a letter to the NEB Over 2100 individuals and groups applied City of Vancouver was successful in becoming an intervenor Fewer than half of the 853 intervenor applicants were successful 1250 commenters 468 were completely kept out of the process No other forum for public participation in NEB hearing Bowen Island Lions Bay West Vancouver UEL Tsawwassen First Nation Vancouver Richmond District of North Vancouver City of North Vancouver Delta Electoral Area A Burnaby Anmore Belcarra Port Moody Surrey Coquitlam Port Coquitlam Pitt Meadows White Rock Maple Ridge Langley Township Langley City Fraser Valley Regional District State of Washington (Ecology) OTHER LOCAL MUNICIPAL INTERVENORS: Vancouver Burnaby City of North Vancouver Coquitlam District of North Vancouver New Westminster Port Moody Richmond Surrey Township of Langley West Vancouver White Rock Metro Vancouver NEB ruled that there will be no oral cross examination unprecedented in past 20 years Only oral cross examination will be of Aboriginal groups providing traditional evidence CoV says: The opportunity to cross-examine witnesses has long been regarded as fundamental to a participant s ability to answer the case against it Process timeline constrained by legislation to be 15 months NEB have already issued draft conditions for approval Intervenors have had 6 weeks from confirmation to analyze 15,000 page document and prepare

3 NEB Process Timeline COV (and other intervenors) NEB TMP ORAL ABORIGINAL TRADITIONAL EVIDENCE AUG-SEPT WRITTEN EVIDENCE FILED TRANS MOUNTAIN S ORAL SUMMARY JULY 2, 2015 NEB FINAL RULING APRIL 2, 2014 NEB releases hearing order MAY Commenters APRIL 17, 2014 NEB 1st and draft conditions MAY 14, 2014 TMP responds to NEB 1st JUNE 4, 2014 TMP respond to intervenor 1st JULY JULY 4, 2014 NEB 2nd JULY 21, 2014 TMP responds to NEB 2nd SEPT 9, 2014 commentors file letters SEPTEMBER SEPT 4, 2014 TMP files supplemental evidence SEPT 25, 2014 TMP respond to intervenor 2nd NOVEMBER JAN 20, 2015 TMP Files argument in chief NOV 14, 2014 TMP and intervenors written of intervenors DEC 3, 2014 NEB releases draft conditions DEC 18, 2014 NEB 3rd round of written to inventors and TMP JANUARY JAN-JAN TMP oral summary MARCH 2, 2015 TMP files written reply JAN 13, 2015 Intervenors and TMP file affidavits 2015 NEB releases report MARCH APRIL 2014 JUNE MAY 12, 2014 intervenor 1st 1ST ROUND OF WRITTEN QUESTIONS JUNE 13, 2014 Asking for the to be answered - day 1 AUGUST SEPT 11, 2014 intervenor 2nd 2ND ROUND OF WRITTEN QUESTIONS OCTOBER DECEMBER FEBRUARY JAN 8, 2015 NOV 3, 2014 Intervenors and TMP Intervenors file respond to NEB round 3 written evidence of written OCT 2, 2014 Asking for the to be answered - day 2 NOV 26, 2014 Intervenors respond to TMP and other written RESPOND TO QUESTIONS ON WRITTEN EVIDENCE FEB 2015 Intervenors file file argument in chief FEB-FEB Intervenors oral summary 400 INTERVENORS ORAL SUMMARY JULY 2015 PHOTO BY ASHER ISBRUCKER

4 TMP Proposal Pipeline Route KINDER MORGAN TRANS MOUNTAIN PIPELINE ROUTE EDMONTON A L B E R T A B R I T I S H C O L U M B I A PIPELINE EXPANSION BURNABY MOUNTAIN TERMINAL EXPANSION KAMLOOPS BURNABY SUMAS ANACORTES Existing pipeline Proposed pipeline Terminal WESTRIDGE MARINE TERMINAL EXPANSION The proposed route has been revised 4 times since Kinder Morgan submitted its application to the NEB INCREASED SIZE AND CAPACITY The proposal would increase the capacity of the pipeline system from 300,000 barrels per day (bpd) to 890,000 barrels per day. The existing pipeline would carry an increased volume and flow. The new pipeline has the technical capability to operate at higher pressure which may further increase the capacity in the future EXISTING PIPELINE 24 DIAMETER 300,000 BARRELS PER DAY PROPOSED PIPELINES DIAMETER DIAMETER 350,000 BARRELS PER DAY 540,000 BARRELS PER DAY INCREASE OF 590,000 BARRELS PER DAY WESTRIDGE NEIGHBOURHOOD EXISTING DISTRIBUTION PIPELINE 24 DIAMETER PLUS TWO PROPOSED NEW DISTRIBUTION PIPELINES 24 DIAMETER + In addition, two new distribution lines will be created, with an additional right-of-way, within the Westridge neighbourhood. 890,000 BARRELS PER DAY = 10,000 BARRELS DIAMETER DIAMETER GRAPHICS AND IMAGES COURTESY OF THE CITY OF BURNABY

5 TMP Proposal - Marine Terminal EXISTING EXISTING FACILITY: Established in Located on Kinder Morgan s site at 7065 Bayview Drive adjacent to Burrard Inlet and the Westridge neighbourhood Six hectares (15 acres) site on land hectares (26.5 acres) water lot is leased from Port Metro Vancouver Dock facilities have capacity to accommodate one Aframax tanker (carrying up to 580,000 barrels of oil) plus utility barges and tug boats Oil and jet fuel storage and distribution infrastructure PROPOSED PROPOSED EXPANSION: 1.4 hectare (3.5 acres) filling of the Burrard Inlet foreshore Construction of new dock facilities with capacity to accommodate three Aframax tanker plus utility barges and tug boats Increased oil and jet fuel storage and distribution infrastruction Increase marine traffic from five to 34 tankers per month Interim use of existing dock 3-fold increase in tank farm STEPHEN REES Aframax tanker Each Aframax oil tanker would transport between 550, ,000 barrels of oil Proposed facility would accommodate three tankers and increase impacts This image represents a conceptual design for Westridge Terminal, based on preliminary engineering. The expanded terminal would include 1.4 hectare (3.5 acres) of shoreline fill to accommodate new infrastructure GRAPHICS AND IMAGES COURTESY OF THE CITY OF BURNABY

6 TMP Proposal Oil Tankers and Tanker Traffic 7-FOLD INCREASE IN OIL TANKER TRAFFIC IN BURRARD INLET AND OFF BC S COASTLINE EXISTING TANKERS PROPOSED TANKERS VESSEL SIZE ALLOWED Panamax / 230 m Aframax / 245 CURRENTLY NOT PERMITTED IN VANCOUVER HARBOUR Suez-Max / 285 m VLCC / 330 m ULCC / 415 m 5 / MONTH 34 / MONTH GRAPHICS COURTESY OF THE CITY OF BURNABY PHOTO BY MAT HAMPSON

7 City of Vancouver s Greenest City Action Plan Despite local efforts Global green house gas emissions keep growing Carbon Dioxide Emissions (Teragrams C0 2 ) YEAR Canada signed the 2009 Copenhagen Accord in 2010, and pledged a 17 percent reduction in greenhouse gases from 2005 levels. The largest increase of greenhouse gas emissions (from 2005 levels) comes from the Alberta oilsands. Our coastal areas will be impacted by ongoing sea level rise, unlike other regions that will be impacted by intense storms Pipelines emit only relatively small amounts of greenhouse gas. However, without the pipelines the oilsands would not be developed even with moving more oil by rail. To become the greenest city in the world, City staff are working with Council, residents, businesses, other organizations, and all levels of government to implement the Greenest City 2020 Action Plan. Sea Level Change Relative to 1990 [cm] WBGU, 2006 Delta Committee, 2008 Rahmstorf, 2007 City Council has adopted a climate adaptation plan, which outlines strategies required to prepare the city for the impacts of a changing climate YEAR While not considered by the NEB, the impacts of additional carbon emissions will increase the financial investments required to prepare the city for these changes.

8 BRITISH COLUMBIA S Five Conditions A successful and complete environmental review process must happen in this case the National Energy Board Joint Review Panel must approve the project before the BC Government will consider granting support. 1 4 Legal requirements regarding Aboriginal and treaty rights are addressed, and First Nations are provided with the opportunities and resources necessary to participate in and benefit from a heavy-oil project. 2 The Government remains concerned about current levels of marine protection. Canada should become a world leader in marine spill, preparedness and response. BC needs a world leading marine oil spill response, prevention and recovery system for BC s coastline and ocean to manage and mitigate the risks and costs of heavy oil pipelines and shipments. 5 British Columbia received a fair share of the fiscal and economic benefits of a proposed heavy oil project that reflects the level, degree and nature of the risk borne by the province, the environment and taxpayers. Canada needs to become a world leader in terrestrial spill prevention, preparedness and response for pipelines transporting heavy oil or bitumen. Therefore BC should have world leading practices for land oil spill prevention, response and recovery systems to manage and mitigate the risks and costs of heavy oil pipelines. 3 None of the proposals have met the five conditions yet, so therefore, none of them would be approved Christy Clarke (June 16, 2014) huffingtonpost.ca/2014/06/16/northern-gateway-harper-decision-greg-rickford_n_ html

9 Economy Vancouver Total size of Metro Vancouver economy in 2013 = $110 B Metro Vancouver represents 7% of Canada s total GDP (of $1,690 B) Primary and Utilities (including Mining, Forestry, Oil and Gas Extraction, Utilities Oil & Gas) comprises 6% of Metro Vancouver s GDP by sector Source: Conference Board of Canada Tourism is worth $3.6bn per year in direct economic impacts to Vancouver s economy tourismvancouver.com/includes/content/images/media/docs/expenditure_by_industry_sector.pdf Economic impact of Conferences in Vancouver 2012 is $520m tourismvancouver.com/includes/content/images/media/docs/mc_economic_impact.pdf In 2012, over 540,000 cruise ship passengers spent over $97 million in Metro Vancouver (source Tourism Vancouver) KM estimates 50 permanent jobs for BC 32,200 Ocean Recreation jobs in BC 2012 GDP BY SECTOR METRO VANCOUVER Primary and Utilities Including Mining, Forestry, Oil and Gas Extraction, Utilities Oil & Gas Information and Cultural Services Public Administration Personal Services Transportation and Warehousing Construction Business Services Educations, Insurance & Real Estate Finance, Insurance and Real Estate Wholesale & Retail Trade 0% 5% 10% 15% 20% 25% 30%

10 Introduction to Oil Sands OIL SANDS ARE A MIXTURE OF SAND, WATER, CLAY AND BITUMEN Bitumen is oil that is too heavy or thick to flow or be pumped without being diluted or heated. At 10 C/50 F, bitumen is hard as a hockey puck. Some bitumen is found within 70 metres (200 feet) of the surface, but the majority is deeper underground. Source: oilsandstoday.ca/pages/default.aspx Canada s oil sands are found in three deposits the Athabasca, Peace River and Cold Lake areas in Alberta and part of Saskatchewan. The greatest quantity is found in the Athabasca deposit. Near Fort McMurray, the oil sands are closer to the surface than in other regions. Source: oilsandstoday.ca/whatareoilsands/pages/whatareoilsands.aspx Under a variety of conditions, dilbit sinks making recovery difficult IMAGE COURTESY OF THE CITY OF BURNABY WHAT IS DILBIT? Dilbit stands for diluted bitumen. Bitumen is a kind of crude oil found in natural oil sands deposits it s the heaviest crude oil used today. The oil sands, also known as tar sands, contain a mixture of sand, water and oily bitumen. The tar sands region of Alberta, Canada is the third largest petroleum reserve in the world. Under a variety of conditions, dilbit sinks making recovery difficult. WHAT CHEMICALS ARE ADDED TO DILUTE THE BITUMEN? PHOTO BY JENNIFER GRANT, PEMBINA INSTITUTE The exact composition of these chemicals, collectively called diluents, is considered a trade secret. The diluents vary depending on the particular type of dilbit being produced. The mixture often includes benzene, a known human carcinogen.

11 Oil Spill Response While rare, oil tankers can spill. Spills are caused from collisions, fire, explosions, deliberate acts or other accidents Response organization for Vancouver is the West Coast Marine Response Corporation (WCMRC) Privately owned and funded by industry Responsible for 27,000 km of BC shoreline 28 response vessels and 24 full-time staff Federally required to respond to up to 10,000 tonnes of oil claims maximum capacity of 20,000 tonnes Undertakes deployment exercises every two years of 2,500 tonnes Total available funds from ship owners and international and federal funding is about $1.6 billion EXPLOSION 6 HOURS 24 HOURS 6 DAYS 2 MONTHS 10 YEARS OIL LEAKING SPREADING OIL OFF SHIP CLEAN-UP NO SIGN OF OIL BITUMEN SINKING OIL ON THE SHORELINE FIRE FIRE ON SHIP, WATER AND LAND AIR THICK TOXIC SMOKE TOXIC PLUME HEADACHES, LUNG IRRITATION OILY SMELL BUT SAFE NORMAL AIR QUALITY LONG-TERM HEALTH CONCERNS IMPACTS FEAR EVACUATION TOURISM IN DECLINE MARINE LIFE BIRDS OILED BIRD SHELTERS RETURNING TO INLET MARINE ANIMALS DYING BRAND DAMAGED GLOBAL BRAND FISHERIES CLOSED RECOVERING Illustrative scenario for illustrative purposes only. Events and actual timelines will depend on circumstances. WCMRC biennial equipment deployment exercise (2,500 t) Mandated response capacity (10,000 t) WCMRC claimed capacity (20,000 t) The fixed requirements that define the 10,000 tonne capacity are somewhat generic and may not always be sufficient to address local sensitivities Trans Mountain Pipeline Submission to the Tanker Safety Expert Panel June 21, 2013 Typical load of oil leaving Westridge (82,000 t)

12 Oil Spills (case studies) EXXON VALDEZ ,500 tonnes spilled Est. $5bn clean up Oil remains on beaches 25 years later KALAMAZOO RIVER 2010 Largest known diluted bitumen spill (3200 tonnes) $1bn clean up (on going) tar patties formed on banks and river bed BURNABY 2007 Accidental pipeline rupture 230 tonnes of oil (not dilbit) 250 residents evacuated Affected 1200m of shoreline IMAGE COURTESY OF THE CITY OF BURNABY PHOTO BY JIM BRICKETT PHOTO BY MIC STOLZ

13 Burrard Inlet The Inlet is home to a diverse ecosystem with over 1200 verified species Growing shipping traffic is escalating the risk of vessel strikes on whales and other marine mammals The City of Vancouver has 11 lifeguarded beaches/ lifeguard stations on 18 km of waterfront There are about 5.5 million visitors to the seawall and beaches annually