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Slick response to oil question

Mayor fails to get assurance from federal minister that bulk liquids won't be shipped from Roberts Bank

Delta isn't getting a straight answer from the feds when it come to the possibility of Roberts Bank becoming a major export hub for crude oil or liquefied natural gas.

That was the Delta staff conclusion to Delta council regarding the reply Mayor Lois Jackson received about concerns conveyed to the federal minister of transport.

"The minister of transport has clarified that she does not have authority to interfere with port operations, but does not directly address the question posed by Mayor Lois Jackson regarding bulk liquids at Deltaport," states the staff response on a recent letter from Minister of Transport Lisa Raitt.

Aware of the increasing pressure to find routes for the delivery of petroleum products from Alberta to Asia-Pacific countries, Jackson had written to the minister concerned that Roberts Bank would be considered as a potential location.

The mayor said when the coal terminal was built in 1970, followed by the container terminal expansion approved in 1980, they were subject to two conditions: no bulk liquids and no bunkering of ships.

Those conditions have been met, however the mayor said during her recent Port Metro

Vancouver-led trip to Norway to look at bulk liquid shipping facilities, petroleum industry stakeholders expressed interest in transporting crude oil by rail to Deltaport.

She wrote, "Port Metro Vancouver was unable to provide firm assurances regarding this matter and indicated that it is not interested in developing a bulk liquid facility 'at this time.'" Jackson said considering the dangers associated with the transportation of petroleum products by rail, which was tragically evidenced by the catastrophe in Lac-Megantic, Quebec, Delta was seeking Ottawa's assurance it remains committed to the continued exclusion of bulk liquid commodities at Roberts Bank.

Raitt responded that Port Metro Vancouver operates under the Canada Marine Act, which replaced previous marine legislation in 1998. One of the purposes of the legislation, she noted, is to "promote the success of ports for the purpose of contributing to the competitiveness, growth and prosperity of the Canadian economy."

The port is required to be financially self-sufficient and gets no federal money for operating costs, the minister explained, adding that port authorities have the autonomy to make their own decisions and operate at arms-length from government.

"This legislation does not provide the minister of transport the authority to directly intervene in port operations or overturn the commercial decisions of its board of directors," Raitt explained.

The minister, however, also noted Port Metro Vancouver must meet all environmental and regulatory approvals as well take into account input from users and the community

in which it is located. Raitt encouraged the mayor to share her views with the port.

Delta CAO George Harvie pointed out to council that when the federal government approved the Deltaport container expansion, it was subject to conditions under National Harbours Board regulations, however, the harbours board was disbanded in 1983. He noted regulatory authority for approving new facilities on port lands currently rests squarely with Port Metro Vancouver, Richmond Coun. Harold

Steves, meanwhile, is raising concern that oil could be transported to Roberts Bank by pipeline if Kinder Morgan Canada's application to twin the Trans Mountain oil pipeline faces too much opposition. He said Kinder Morgan might switch to an alternate terminal in the Fraser River estuary, including Deltaport or Richmond.

In an interview this summer, Duncan Wilson, PMV's vice-president of corporate social responsibility, said developing a bulk liquid handling facility here isn't on the radar.