Energy East Pipeline- A Failure

Energy East Pipeline- A Failure

Extending from Western Canada, spanning across North Western United States, finally to Eastern Canada, the proposed Energy East pipeline was an oil pipeline. It was expected to convert about 3,000 kilometres of natural gas pipeline, carrying natural gas from Alberta to the Ontario-Quebec border, transforming to diluted bitumen transportation.

“The pipeline (was) predicted to add more than US$35 billion to‑Canada’s gross domestic product (GDP) over 40 years and reduce dependence on foreign oil. There had been opposition from environmental groups concerned about pollution and the focus on fossil fuels” (KPMC). They finally got their victory as last year on October 5, TransCanada, (the same company behind the Keystone XL pipeline fiasco in the United States), abandoned the project.

The decision is another big blow to oil pipeline companies. It is important to see how it would impact energy projects in the future.

Announcement of the project (Image Credits: New York Times)