Business as Usual & Some Background -- BC Rail, LNG, Oil, Ports, Privatization, Prince Rupert, Various Stakeholders, Basi's Boys-Laundering & More

Today's post is lengthy but it raises some question, I think, about "business" in Canada. You may decide for yourself whether there is anything to worry about. What follows is a list of the articles and relevant links; some items might have been better placed elsewhere, in a different order, but time is a problem.

* Deal signed for new Prince Rupert port facilities (Dec. 13, 04)
* WestPac used to be North American Tungsten Corp Ltd -- NTC on the Vancouver Stock Exchange -- gold and precious metals
* Terasen Gas (Vancouver Island) Inc. (“TGVI”) and WestPac Terminals have been in competition
* The Competition: Letter Re: Terasen Gas (Vancouver Island) Inc. (“TGVI”) -- June 2004 Resource Plan Filing Certificate of Public Convinience and Necessity Application -- Enbridge "Gateway project and it expects to reach preliminary supply deals with refineries in China" -- Enbridge eyes $2.5 billion pipeline deal for 2005 (13 Dec 2004)
* 'Big things' in store for Prince Rupert -- "un-named investor" -- Husky Energy Inc.
* Jackie Jura: Husky oil
* Enbridge May Offer China Oil-Sands Pipeline Stake -- Terasen (formerly North American Tungsten Corp Ltd), Husky's Tucker and Sunrise mentioned

* Any connections? PM, BC Rail Privatization, Basi's Boys, Rail line to Fort Nelson, Omnitrax, Prince Rupert-Superport, Privatization-Foreign Interests-BC, Enbridge-Terasen-Husky Oil

* HUSKY OIL TO SPEND MILLIONS ON WHITE ROSE OIL FIELD
* Link to "DIVERSIFICATION UNDERWAY AT PORT OF PRINCE RUPERT" (2001)
* Huge $200m gas project hits ‘critical milestone’ December 13, 2004
* Quebec begins major LNG project
* "Ridley Terminals, a federal Crown corporation" -- financing mentioned
* Enbridge of Calgary, a part owner of Gaz Metropolitain -- Gaz de France -- WestPac has agreement with Ridley Terminals, a federal Crown Corporation
* Jackie Jura: Husky ranks among Canada's top producers of crude oil, natural gas and recovered sulfur.
* Better bet for B.C. -- Oil sands pipelines, LNG terminals hold more immediate promise than offshore oil and gas development; Enbridge, Terasen in tight race -- Is Ridley Island owned by the federal Crown Corp's Ridley Terminals
* Petroleum News: Forecasting a Mackenzie gas footprint -- Arctic environmental watchdog reviews possible scope of gas exploration, development and pipelines in Northwest Territories
* Venezuela's Chavez pledges support for Chinese oil exploration
* Super port concept will not benefit city, Krusel -- Prince Rupert
* Philanthropy of the highest order, indeed. What does philanthropy buy?
* Tycoon to create $1.2B charity -- Hong Kong tycoon selling CIBC stake -- Money to help less fortunate Canadians

* An Aside: How does all this fit together? Observations and Questions

* Operation Everywhichway

* An Aside Continued: How does all this fit together? Observations and Questions

* A Province for Sale? As B.C. assets shift into foreign hands, some see a big cost: Ability to chart our own economic future -- Terasen used to be BC Gas -- mentions Kicking Horse Canyon upgrade, the Golden Ears Bridge, the Okanagan Lake Crossing, the RAV line, the Sea to Sky Highway upgrade and the Sierra Yoyo Desan Road -- American Accenture, COPE, foreign owners

* Link to "Public Versus Private Ownership and Operation of Airports and Seaports in Canada "

* Who Paid for Liberal Party Memberships in BC? Basi's boys' "influence was largely based on being able to bring in the Indo-Canadian vote" for Paul Martin and his Liberals

* Raiding the BC Legislature
Two former B.C. gov't aides charged -- mentions B.C. Rail, Fort Nelson, Tumbler Ridge
* Have you had enough yet?
* "Who allegedly bought influence?" -- These indictments allege corruption of major government deals. So why the big yawn?
* Link for the "BC Basis' Boys" Section: RCMP-Drugs-Maine-NB Border-Organized Crime, Charges Laid-BC-Basi's Boys & PM's Organizers, Worthington-Sharia-Canada, Arafat's Investments
* Port of Prince Rupert -- mentions "Direct access to CN Rail's high capacity northern mainline and the Trans-Canada Yellowhead Highway"

---

Deal signed for new Prince Rupert port facilities -- LNG

Deal signed for new Prince Rupert port facilities December 13, 2004

PRINCE RUPERT, B.C. - The Prince Rupert Port Authority has signed an agreement with a Calgary company to develop a terminal for liquefied natural gas.

Under the agreement, WestPac Terminals has a 30-year lease and exclusive rights to develop the gas facility. The $200 million proposal involves construction of a storage tank and dock facilities. [. . . . ]

[. . . .] its proximity to gas producing nations. Most of the liquified natural gas imported to North America comes from Indonesia, Australia and the Middle East.

Would anything else be shipped in or out?

". . . allows us specifically to bring in very large LNG ships. . . on the drawing board. . ."

WestPac used to be North American Tungsten Corp Ltd -- NTC on the Vancouver Stock Exchange -- gold and precious metals

WestPac used to be North American Tungsten Corp Ltd -- NTC on the Vancouver Stock Exchange -- gold and precious metals

Terasen Gas (Vancouver Island) Inc. (“TGVI”) and WestPac Terminals -- competition

Terasen Gas (Vancouver Island) Inc. (“TGVI”)
and WestPac Terminals have been in competition and WestPac made a "Request for Intervenor Status WestPac Terminals Inc.has announced plans to develop a LNG importation terminal and related facilities along the west coast of British Columbia. "

One element of the proposed project will be the ability to provide long-term supplies of natural gas to Vanouver Island. Our project can offer alternatives to the proposed TGVI LNG production and storage facility and can provide natural gas supply alternatives to fuel proposed electric power generation facilities on Vancouver Island. Because our project may be materially affected by actions proposed by TGVI or by decisions made by the Commission in the course of its review of the TGVI applications, WestPac Terminals Inc. formally requests that it be designated an “Intervenor” in the proposed hearings related to the TGVI June 2004 Resource Plan hearings and for the Terasen application for a Certificate of Public Convenience and Necessity relating to Terasen’s proposed LNG production and storage facility on Vancouver Island. [. . . . ]

The Competition: Letter Re: Terasen Gas (Vancouver Island) Inc. (“TGVI”) -- June 2004 Resource Plan Filing Certificate of Public Convinience and Necessity Application -- Enbridge "Gateway project and it expects to reach preliminary supply deals with refineries in China" -- Enbridge eyes $2.5 billion pipeline deal for 2005

If you look in the archives from the last week here or in News Junkie Canada's archives, there is a post on an old agrement that Trans Canada Pipeline could build a pipeline. Is this the same or another pipeline? Check.

Enbridge eyes $2.5 billion pipeline deal for 2005 or here 13 Dec 2004

CALGARY - A Calgary company says it could have an oil pipeline built across northern British Columbia by the end of the decade.

Enbridge says says there is a lot of international interest in its Gateway project and it expects to reach preliminary supply deals with refineries in China sometime next year.

Enbridge says the best way to connect supply and demand is through an oil pipeline between northern Alberta and the B.C. north coast.

The company is proposing to build a 1,200-kilometre pipeline and a tanker facility at either Prince Rupert or Kitimat to ship the oil overseas.

[. . . . ]


'Big things' in store for Prince Rupert -- "un-named investor" -- Husky Energy Inc.

'Big things' in store for Prince Rupert Dec. 2, 04

VICTORIA (CKNW/AM980) -- Premier Gordon Campbell let slip today that a major investor is looking to spend what he calls "enormous amounts" of money on the port.

"I can't tell you the name of the investor, but I can tell you that there is a lot of interest in China with regard to Prince Rupert and opening it up as a major gateway into British Columbia, into Canada, into the continent...it's 30 hours closer to the Asian markets (than Vancouver)."

Campbell adds the un-named investor is urging the government to do more to expand the port. He's hoping to convince Ottawa to get on board, saying Prince Rupert could become a major interchange for the entire continent in the next 20 years.

[. . . . ] According to Ralph Klein, quoted in the Globe and Mail, the Chinese company is oil giant Husky Energy Inc.

[. . . . ]


Jackie Jura: Husky oil

Jackie Jura: Husky oil



Enbridge May Offer China Oil-Sands Pipeline Stake -- Terasen, Husky's 'Tucker' and 'Sunrise' mentioned

Enbridge May Offer China Oil-Sands Pipeline Stake December 23, 2004, Jeffrey Jones

Note the date. Did you read much news the day before Christmas eve?

CALGARY, Alberta (Reuters) - Enbridge Inc. may offer an equity stake in a Canadian oil sands pipeline to a Chinese investor, but is concentrating efforts on attracting shippers for the C$2.5 billion ($2 billion) proposal, a spokesman said on Thursday.

[. . . . ] There is potential for Enbridge to hive off a stake in the 400,000-barrel-a-day Gateway project, targeted for start-up after 2009, spokesman Ian La Couvee said.

But he would not confirm a New York Times report on Thursday that the company, best known as operator of the main crude oil export pipeline to the United States, was in talks to offer 49 percent of the pipeline to a Chinese energy company. [Husky?]

[. . . . ] Early this month, Terasen Inc. said it was aiming for Asian refiners with a planned expansion of its 250,000 bpd Trans Mountain pipeline system, and was looking for expressions of interest from potential shippers.

The BC government privatized BC Hydro -- it became BC Gas, was sold to Terasen, which started out as North American Tungsten Corp Ltd. In addition, shares in oil producer and refiner Husky Energy Inc. surged in November on speculation that its majority owner, Hong Kong magnate Li Ka-shing, was in talks to sell out to a Chinese oil company, the Chinese government.

Husky is planning two large Alberta oil sands projects, called 'Tucker' and 'Sunrise'.




Any connections? The articles which follow mention: the PM, BC Rail Privatization, Basi's Boys, Rail line to Fort Nelson, Omnitrax, Prince Rupert-Superport, Privatization-Foreign Interests-BC, Enbridge-Terasen-Husky Oil, and Newfoundland



Think about Newfoundland's disagreement with the federal government about oil revenues. There are several mentions on this site and on News Junkie Canada. See articles on the flag.

HUSKY OIL TO SPEND MILLIONS ON WHITE ROSE OIL FIELD U.S. & FOREIGN COMMERCIAL SERVICE AND U.S. DEPARTMENT OF STATE, 2001

SUMMARY: Husky Oil . . . . its White Rose oil field, 350 km offshore Newfoundland. . . . using a floating production, storage and off-loading (FPSO) system . . . . Husky plans to develop the field using 15 subsea wells tied back, via manifolds, flowlines, and flexible risers to the FPSO [. . . . ]

On the same site is a link to this article.

DIVERSIFICATION UNDERWAY AT PORT OF PRINCE RUPERT Cheryl Schell, 07/04/2001

The Port of Prince Rupert also boasts the deepest harbor in North America and is ice-free year round. The Port of Prince Rupert is also the northernmost railhead on the continent, and as result, it is linked to major cities across the continent by rail, road and air. [. . . . ]

Huge $200m gas project hits ‘critical milestone’

Huge $200m gas project hits ‘critical milestone’ Leanne Ritchie, Prince Rupert Daily News, December 13, 2004

[. . . . ] WestPac Terminals has signed an agreement that gives them exclusive rights for LNG development on 250 acres of industrial land on Ridley Island.

[. . . . ] The $200 million project will comprise of, at minimum, a 180,000 cubic-metre storage tank, dock facilities and re-gasification plant. LNG will be transported to the terminal in large ocean tankers where it will be off-loaded and stored in the tank in its cooled liquid state.

[. . . . ] WestPac will be the terminal operator only, responsible to receive, store and deliver LNG to shippers who contract capacity at the WestPac Terminal. The shippers will be responsible for the purchase of LNG and its delivery to demand centres on B.C. and North American markets.

[. . . . ] WestPac had previously signed an agreement with Ridley Terminals [crown corp.] to use part of their facilities however an increasing world demand for coal has prompted a rise in the use of that facility, prompting the new agreement with the port.

Quebec begins major LNG project -- "Ridley Terminals, a federal Crown corporation" -- "financing" mentioned

It might be useful to find out more about Ridley Terminals.

Alexander's Gas and Oil Connection website. The link is below; scroll down or search.

The company’s financing for the project will come with agreements for shippers to use the terminal’s capacity. “Before any construction takes place, long-term supply agreements have to take place and thus financing agreements have to be in place before a shovel hits the ground,” said Krusel [. . . .] Kitimat is also supporting a proposed LNG terminal 13 kilometres south of their community. Privately held Galveston LNG has already begun the environmental assessment for that $300-million project which is anticipated to be operation by the end of 2008.

[. . . . ]



Quebec begins major LNG project -- Enbridge of Calgary, a part owner of Gaz Metropolitain -- Gaz de France, specialist in LNG -- Rabaska project -- WestPac has agreement with Ridley Terminals, a federal Crown corporation

Quebec begins major LNG project

04-07-04 Quebec's dominant natural gas distributor has embarked on an ambitious project to import LNG so the province won't be entirely dependent on Alberta as its sole source of natural gas.

Gaz Metropolitain has chosen its two partners for the project that would cost more than $ 2.7 bn, and has picked a site for a deepwater port and gas terminal near Quebec City. Enbridge of Calgary, a part owner of Gaz Metropolitain, and Gaz de France, the leading gas utility in that country and a specialist in LNG, are the other partners in the Rabaska project.

Gaz de France would be responsible for the $ 2 bn cost of securing contracts with suppliers, building LNG terminals at the supplier and providing four tanker ships to bring the liquid gas to the port on the St Lawrence River.

This is globalization. Why are Canadian companies not doing this? Why is France involved?

[. . . . ] Calgary-based WestPac Terminals said it has entered into an agreement with Ridley Terminals, a federal Crown corporation, to build an LNG terminal at the port of Prince Rupert, BC. Also expected to reach completion by 2009, the Prince Rupert terminal would receive LNG from the Middle East, Indonesia and Australia for natural gas markets in western North America. [. . . .]

Is it the "receiving" or what is going to be "shipped out" that is so important?



Jackie Jura: Husky ranks among Canada's top producers of crude oil, natural gas and recovered sulfur.

Jackie Jura: Husky ranks among Canada's top producers of crude oil, natural gas and recovered sulfur.

With Husky in its control, China could cushion the blow of oil price hikes with rising profits at the Calgary company... Over the long term China hopes to import unrefined oil from Husky's fledgling oil sands projects in Alberta.

Imagine a western nation so dumbed down and corrupted that news of a vital oil producer being sold to the Communist Chinese results in a rise on the stock-market. This reinforces a statement I heard awhile back, ie that "Canada's not a country, it's a corporation". And I might add, its citizens aren't shareholders. ~ Jackie Jura

[. . . . ]



Better bet for B.C. -- Oil sands pipelines, LNG terminals hold more immediate promise than offshore oil and gas development; Enbridge, Terasen in tight race -- Is Ridley Island owned by the federal Crown Corp's Ridley Terminals

Better bet for B.C. Gary Park, Week of January 09, 2005, Petroleum News Calgary Correspondent

[. . . . ] Enbridge and Terasen are in the thick of a contest to build a pipeline link from the oil sands of northern Alberta to a deepwater terminal at Prince Rupert or Kitimat, while two little-known companies are vying for rights to build a liquefied natural gas receiving terminal in the same area.

[. . . . ] Terasen, in setting a Jan. 26 deadline for “expressions of interest,” is equally certain it is the front-runner because of the options it is offering — a view that Credit Suisse First Boston analyst Dominique Barker endorses because of the opposition she expects Enbridge will encounter from aboriginal groups along its right of way in British Columbia.

[. . . . ] Enbridge focus is Gateway

Enbridge is pinning its hopes on the Gateway project, a 400,000 bpd system costing C$2.5 billion, with 75-80 percent of the volumes destined for Asia (likely China) and the rest to California.

. . . interim agreement with Nexen and OPTI Canada. . . .

That also requires expansion of Enbridge’s 330-mile Athabasca pipeline. . . . which links Fort McMurray with the Enbridge mainline at Hardisty in central Alberta. . .

Also on Enbridge’s drawing boards is a 270-mile Waupisoo pipeline from the Fort McMurray area to Edmonton refineries and upgraders — a C$300 million undertaking to offer 600,000 bpd of space by 2008.

[. . . . ] Terasen offering options

[. . . . ] plans for an initial “anchor loop” on the Trans Mountain pipeline from Edmonton to British Columbia’s Lower Mainland, spending C$570 million to hike volumes to 300,000 bpd from 225,000 bpd by 2008, offering tolls of C$1.40 per barrel.

From that phase, Terasen is pitching either a Southern Option or Northern Option.

[. . . . ] The Northern Option proposed more than 600 miles of new pipe to offer 500,000 bpd of heavy and light crude space to either Prince Rupert or Kitimat, which Enbridge says would accommodate 250,000-metric ton tankers, compared with the limit of 80,000 metric tons at Lower Mainland ports, as well as a much shorter ocean route to Asia.

Two firms have LNG terminal plans

[. . . . ] two privately held Calgary firms are stepping up their attempts to build LNG receiving terminals.

WestPac Terminals, in partnership with Moneta Capital Partners, has just entered a 30-year lease with the Prince Rupert Port Authority and Galveston LNG has raised C$50 million, about one-tenth of what it estimates is needed to construct a terminal.

WestPac’s lease gives it exclusive rights for an LNG project on 250 acres of industrial land on Ridley Island near Prince Rupert.

Is Ridley Island owned by the federal government's Ridley Terminals, a crown corporation? How precient of somebody to get this island, was it not? With a crown corporation involved, even peripherially, WestPac Terminals . . .

It opens the way for WestPac to move forward on other aspects of its C$200 million venture to ship LNG from possible sources in the Middle east, Australia, Indonesia and Russia. Plans call for daily volumes of 300 million cubic feet per day, starting in 2009.

[. . . . ] Galveston has also filed for regulatory approval and claims to have the backing of the Town of Kitimat, where residents are more interested in its chances of an economic infusion than mounting environmental opposition.

Check here for petroleum news


Forecasting a Mackenzie gas footprint -- Arctic environmental watchdog reviews possible scope of gas exploration, development and pipelines in Northwest Territories

Forecasting a Mackenzie gas footprint -- Arctic environmental watchdog reviews possible scope of gas exploration, development and pipelines in Northwest Territories Gary Park, Petroleum News Calgary Correspondent, Week of January 16, 2005 (must register/pay)

More than 600 exploration wells, 530,000 miles of seismic lines, 2,300 miles of trunk and feeder pipelines — that’s just part of the infrastructure a Canadian Arctic environmental watchdog thinks will be needed to keep the Mackenzie Gas Project operating at capacity until 2049. [. . . . ]

Venezuela's Chavez pledges support for Chinese oil exploration

Venezuela's Chavez pledges support for Chinese oil exploration or here Dec. 25, 05 (15 posted on 01/05/2005 11:12:27 PM PST by hedgetrimmer)


Note that Christmas date for this news item.

[. . . . ] Emphasizing that bilateral energy partnerships have a "bright future," Chavez, who is visiting China, said the Venezuelan government would grant Chinese companies production permits to explore oil in Venezuela's oil-bearing blocks, the Xinhua news agency said.

He also promised to support Chinese companies' involvement in exploring off-shore natural gas fields in Venezuela [Xinhua . . . ]

Noting that Venezuela was planning to form a state-owned petrochemical corporation, Chavez said Venezuela also "welcomes China to help build this plant."

The two countries can also join hands to construct an oil pipeline reaching ports along the Pacific, he said.

During his visit, Chavez witnessed the signing of a package of energy cooperation agreements between the two countries, said Xinhua. Details were not given.

[. . . . ] Chavez also invited Chinese companies to invest in his country's agriculture, railway, mining, housing, tourism and telecommunications industries.

China is making deals with Venezuela, one of our top oil suppliers and member of the Organization of American States which will become the supra-governmental agency that oversee the FTAA.

(16 posted on 01/05/2005 11:16:09 PM PST by hedgetrimmer)



Super port concept will not benefit Prince Rupert, Krusel

Super port concept will not benefit city, Krusel Leanne Ritchie, The Prince Rupert Daily News, January 13, 2005

While there is benefit to be had from having B.C.’s ports toe the same line, the CEO of the Prince Rupert Port Authority doesn’t think the concept of bringing them together as a super port will help the ship sail any more smoothly.

The idea of amalgamating all the ports of the Lower Mainland, Nanaimo and Prince Rupert into one super port, was put forward in a recent consultation paper on transportation for the B.C. Progress Board.

[. . . . ] “While this idea needs further consideration, the idea of creating a Pacific Super Port could help Canada become a more significant gateway between North America and Asia.”

[. . . . ] For example, Krusel explained there are five grain terminals in the Lower Mainland and one in Prince Rupert and none of them are functioning to their fullest capacity. Yet in the Lower Mainland, they continue to seek valuable waterfront land for expansion of their growing markets.

Were Prince Rupert and several other grain terminals to be used more effectively, it could free up land in the Lower Mainland for other developments, he said.

Philanthropy of the highest order, indeed. What does philanthropy buy?

Li Ka-shing Sells CIBC Stake for About C$1.2 Billion (Update1)

Tycoon to create $1.2B charity -- Hong Kong tycoon selling CIBC stake -- Money to help less fortunate Canadians Stuart Laidlaw

Hong Kong billionaire Li Ka Shing, . . . plans to set up Canada's second-largest charitable foundation worth up to $1.2 billion dedicated to helping the country's less fortunate.

[. . . . ] His initial purchase of Husky was deemed to not be a foreign takeover because Li's son, Victor Li, took out Canadian citizenship and bought another 9 per cent to give his father control of the company.

The family bought Nova's share in 1991 and merged Husky with Renaissance Energy Ltd. in 2000.

Last year, Victor Li backed out of a $650 million deal to help Air Canada come out of bankruptcy, saying the airline's unions weren't agreeing to enough cuts.

In Hong Kong, the Li family dominates the property market, operates a major electrical utility, controls a major mobile-phone network, owns a supermarket chain and runs the biggest network of pharmacies, among other enterprises.

Li's companies are known for their hardball tactics. [. . . . ]

An Aside: How does all this fit together? Observations and Questions

There has been mention in articles that the port of Vancouver is inadequate.

See the information on BC Rail below, in the articles on 'Basi's boys' -- information about rail privatization in BC. "A drug investigation led to apprehension of Basi's Boys."

There are more observations and questions below the next article.




Operation Everywhichway

Former B.C. Liberal government aides charged-- concerns the privatization of BC Rail Dec. 22, 04

VANCOUVER - Two former aides of B.C. government ministers are facing multiple charges in connection with a breach-of-trust investigation that led the RCMP to raid offices in the provincial legislature one year ago.

[. . . . ] The charges against Basi and Virk are related to the privatization of B.C. Rail. . . . charged jointly with two counts of fraud of more than $5,000 in connection with the privatization, and are also accused [of] putting at risk the bidding process for B.C. Rail by leaking confidential information to interested parties.

A third government employee was also charged, and has been suspended. Aneal Basi, a public affairs officer on leave from the B.C. Ministry of Transportation, was charged with one count of fraud and one count of breach of trust by a public officer.

Court documents allege that he laundered money accepted by David Basi.

Scroll down for "Who Paid for Liberal Party Memberships in BC? Basi's boys' "influence was largely based on being able to bring in the Indo-Canadian vote" for Paul Martin and his Liberals" below.

[. . . . ] Following the raids on the offices in the B.C. legislature last Dec. 28, Basi was fired early in 2004 from his job as an aide to former finance minister Gary Collins, and Virk – an aide to former transportation minister Judith Reid – was suspended with pay.

[. . . . ] David Basi and Virk were Young Liberals together at the University of Victoria. They and their associates later became known as "Basi's Boys," campaigning for Prime Minister Paul Martin's leadership bid in British Columbia's Indo-Canadian community.

The 2003 raids grew out of a separate police drug investigation. Basi also faces drug charges involving marijuana [. . . . ]

An Aside Continued: How does all this fit together? Observations and Questions

* The Ports Police have been disbanded by the government(s) (Liberal). Some known criminals are employed at Canada's ports; as criminal activity rises, security is sheer luck.

* Only a small percentage of containers are checked. The rest come in on a wing and our prayers.

* It has already been demonstrated that drugs are imported in the most unique of ways--even attached to the hull of the Prime Minister's--now his sons'--CSL ship, the Sheila Anne. That ship is undergoing work--a keel repair, I think, at a shipyard in China, in Shanghai perhaps. I wonder if he should check whether there has been a false hull added by way of which drugs could be hidden. As PM, he and his family must be careful their ships are not used.

* The federal Liberal government underestimated its budget surplus -- stating it was $1.9-billion when it was really $9.1-billion. In an election year, do you suppose some of this could advance infrastructure construction -- or related projects like ports/port facilities or rail lines that would lead to ports?

* The ports have been privatized--e.g. Prince Rupert--along with the airports--e.g. Pearson. Now, if business booms which seems likely given our PM's push for "partnerships" with Asia/China, particularly Asian, who stand to make money? What "initiatives" must be undertaken with that miscalculation--surplus billions--by the Department of Finance?





A Province for Sale? As B.C. assets shift into foreign hands, some see a big cost: Ability to chart our own economic future -- Terasen used to be BC Gas -- mentions Kicking Horse Canyon upgrade, the Golden Ears Bridge, the Okanagan Lake Crossing, the RAV line, the Sea to Sky Highway upgrade and the Sierra Yoyo Desan Road -- American Accenture, COPE, foreign owners

A Province for Sale? As B.C. assets shift into foreign hands, some see a big cost: Ability to chart our own economic future. Jan. 14, 2005, Claudia Cornwall or TheTyee.ca

. . . 1979 . . . Premier Bill Bennett. . "B.C. is not for sale."

. . . .Today B.C.’s forest industry and some other big chunks of the provincial economy are shifting into foreign hands, often American hands.

[. . . . ] Today, of the three top forestry companies operating in B.C., Weyerhaeuser, Canfor, and Abitibi, only one, Canfor, is based in B.C. . . .

Twenty-five years after. . . , the current government not only enourages sales of Crown corporation assets, it seeks advice from foreign corporations and is willing to award major contracts to non-Canadian businesses.

Whose side are they on?

The sea change in official attitudes raises concerns . . . . Weyerhaeuser took over MacBlo. . . making its case on softwood lumber became radically different. B.C.’s big gun was no longer reflecting B.C.’s interests.”

There is a ripple effect. . . . Canadian IWA voted to merge with the United Steelworkers of America . . . . an international campaign going against Weyerhaeuser. . . .

Four B.C. locals, however, didn’t see it the same way. In the Prince George local,. . . . Frank Everitt, president of that local . . . . If you do your research, if you know the business that you’re bargaining with, then you can do a good job for the membership. . . . the steel stud versus wood. . . . if the two products come close in price, there’s an issue.”

Like Helliwell, Everitt also mourns the loss of political autonomy. . . .

Terasen drops the ‘B.C.’

As more public and private B.C. corporations transfer into American hands, the conflicts of interest Helliwell notes are likely to increase. One case in point may be Terasen.

In 1988, the B.C. government appeared to share Helliwell’s concerns about foreign control of our businesses. That year, the Crown corporation, BC Hydro, sold its gas division. But the government imposed restrictions on the new company which came to be known as BC Gas. It limited the number of directors who could live outside the province, the percentage of shares that could be owned by one entity (10 percent), the percentage of shares that could be owned by foreigners (20 percent) and the location of the company headquarters. (It had to be in B.C.)
But BC Gas recently took the ‘BC’ out of its name, becoming ‘Terasen’ instead. . . . Now, a non-Canadian can acquire a controlling interest in Terasen—B.C.’s 7th largest corporation in 2004, with assets of nearly $5 billion and about 2,000 employees.

‘Americanization can be felt’

[. . . . ] Ear for foreign advice

Not only foreign business owners, but foreign advisors, command increasing influence with B.C.’s government. A document published on the Ministry of Transportation website called “The Coquihalla Project Consultant Cost Summary” is revealing. There we see that the doomed project cost the B.C. taxpayers $4,222,688 in consultants’ fees. $1,157, 016 went to a Swiss company called KPMG International, $845,023 went to the British AMEC, $266,794 was paid to another UK-based corporation, Halcrow, and $206,593 went to the American OPUS, who are design-build specialists.

Major construction contracts are being tendered to non-Canadian corporations. While public protest halted the Coquihalla, six other projects are either underway or planned. Like the Coquihalla, they are all private public partnerships or P3’s: The Kicking Horse Canyon upgrade, the Golden Ears Bridge, the Okanagan Lake Crossing, the RAV line, the Sea to Sky Highway upgrade and the Sierra Yoyo Desan Road in northern B.C. On Oct. 21, the Ministry of Transport and Partnerships BC announced that three consortia had been selected to bid on the Kicking Horse Canyon project. Each consortia is composed of several other companies. It is entirely typical of the P3 way of doing business that out of the 17 firms involved in this bid, only four are B.C.-based.

Search: "BC Hydro and the American Accenture", "COPE, the union representing the workers at Accenture"

". . . A lot of our work has been shipped out to New Brunswick. If you call Terasen about a problem with your gas bill, you may be talking to someone in New Brunswick.”

Formerly, Accenture was named Anderson Consulting, if my memory serves. It was hired by then-Premier Frank McKenna to do work for the NB government--most unsuccessfully. Subsequently, Anderson morphed into Accenture. It was based in Florida, if I remember correctly. Frank McKenna did a lot of travelling with this line, "NB is open for business"; unfortunately, not much came of it except some call centers -- and closings after he was gone. Now he is Canada's Ambassador to Washington and associated with the Carlysle Group and the PowerCorp-Desmarais family. How did he move up the political line? What did he accomplish?

[. . . . ]Since contracting their customer relations out to Accenture, both BC Hydro and Terasen have ‘tightened’ up their collection processes.[. . . . ]

“The government has placed a lot of emphasis on luring foreign investment in place of a creative industrial strategy,” says Marc Lee, an economist with the Canadian Centre for Policy Alternatives in Vancouver. “We would be better off with a made-in-B.C. approach to economic development rather than slashing our regulations, lowering our tax rates, and hoping foreign investors will come and create our jobs for us. If you can align investment decisions with public policy, then you’re better off. Local firms aren’t always going to behave that way but they are more likely to.”

According to a Statistics Canada report, in 2002, 14.5 per cent of B.C.’s corporations were controlled by foreign owners. The U.S. had the biggest share of the pie—5.6 per cent.

[. . . . ]

I would guess that the US percentage is going to change.



Public Versus Private Ownership and Operation of Airports and Seaports in Canada

See also, Public Versus Private Ownership and Operation of Airports and Seaports in Canada David Gillen and Douglas Cooper


Extremely informative -- lengthy. This excerpt is from the summary only.

[. . . . ] The public sector has failed to price in an efficient manner what it owns and operates.

[. . . . ] In comparing the advantages of public versus private provision of infrastructure, distribution issues as well as allocative efficiency must be considered. The losers from privatization will be organized labour and, to some extent, landowners.

[. . . . ] The value of privatization or some form of defederalization is dependent upon competition. Without competition, the gains from privatization or corporatization will be smaller since the risks will remain in the public sector while the rents will accrue to the private sector. A key issue, therefore, in assessing the shift away from the public sector is the extent to which a competitive market exists. If it does not, the restraints on the exercise of monopoly power must rely on some form of corrective regulation. It is not clear that this offers significant improvements over public ownership.

There is considerable debate as to the monopoly power of airports and ports. Changing technologies, intermodalism, and network strategies by carriers have all led to a diminution of market power. Nonetheless, where monopoly power may be troublesome, corrective regulation may be required. It should be noted, however, that regulation is not without its own problems.

Perhaps the most important outcome from moves to corporatization and privatization is that of removing investment and pricing decisions from the hands of politicians and bureaucrats, who have some grand notion that building airports, ports, roads, and railroads will somehow provide a panacea for the economic ills of a region or nation. What has generally happened is that government has not only provided the capacity but has underpriced it as well. It should be remembered that transportation is a derived demand and neither investments in capacity nor policy initiatives will alter economic activity in a substantive way. This simple notion seems to be lost to the proponents of public ownership. In their view, privatizers fail to see the "market failures," including the need for government to provide public services. The "publicizers" see government as wise, disinterested, and technically competent. The evidence is far from compelling for this view, particularly when government intervenes to try to direct markets. Government failure has done more harm than has market failure. Privatization, or at the very least corporatization, provides a superior solution.

Who Paid for Liberal Party Memberships in BC? Basi's boys' "influence was largely based on being able to bring in the Indo-Canadian vote" for Paul Martin and his Liberals

Police Investigation Rattles B.C.'s Liberal Party Posted by CN Staff on January 12, 2004 -- or here Mark Hume, Source: Globe and Mail

[. . . . ] Their influence was largely based on being able to bring in the Indo-Canadian vote. And they often played rough in doing it.

"It broke my heart," a former Liberal scrutineer said of watching how Mr. Basi and his colleagues took over one Vancouver Island riding in 1997. Allan Warnke, a former Liberal MLA, said typically they would sweep in with an overwhelming number of new members. He said the party turned a blind eye to this kind of political swarming, but he thought it was wrong.

He said Basi's Boys mostly worked in ridings around Victoria, but they were active provincially and helped the party's soaring membership numbers at the federal level during the drive to build support for Mr. Martin's leadership bid. The size of the federal party in B.C. grew from 4,000 members in February, 2002, to more than 37,000 last fall. About 40 per cent are Indo-Canadian.

"Concentrate on the memberships," Mr. Warnke said, sounding like the unnamed Liberal organizer who felt the key to the case was the money trail.

"There is cash around that had to cover those memberships. In the old days the purpose of memberships was to raise funds, but in this case you had a lot of loose cash kicking around. You create a membership and then you have the money covering the membership. Now, where did the money come from?

"Where did all this spare change come from?" he asked. [. . . . ]

Raiding the BC Legislature

template -- Raiding the BC Legislature

[. . . . ] The starting point was a drug investigation . . .

RCMP - investigating marijuana smuggling, money laundering and police corruption

BC Rail - crown corporation - sold for $1 billion to CN Rail

Gary Collins - BC minister of finance

David Basi - owned rental house used as a marijuana grow operation - home and office raided - fired - $54,000 severance - aide to finance minister/government house leader Gary Collins - organized Indo-Canadian community for Martin - his political operatives, Basi's Boys, specialized in taking over BC ridings by recruiting members in the Indo-Canadian community which now makes up 40% of the membership - federal Liberal membership in B.C. grew from 4,000 to 43,000, $400,000 in memberships and $600,000 in donations - Basi's Boys took over Herb Dhaliwal's riding.

Bob Virk - . . . aide to transportation minister Judith Reid - brother-in-law to Basi

Virk and Basi are backroom Liberal operators, both organizers for Paul Martin, and both worked on the privatization of BC Rail

Judith Reid - transportation minister - removed from cabinet

Christy Clark - Deputy premier, Education minister, married to Mark Marissen

Pilot House Public Affairs Group Inc. - lobbyists

OmniTRAX - U.S. company - unsuccessful bidder for BC Rail - hired Pilot House

Erik Bornman - partner Pilot House Public Affairs - communications director of BC federal Liberals - former president of B.C. Young Liberals - Paul Martin's B.C. director of operations - lobbied Gary Collins, Judith Reid, Premier Gordon Campbell for OmniTRAX

Brian Kieran - partner Pilot House Public Affairs - lobbied for OmniTRAX

Bruce Clark - office searched - employed by Pilot House Public Affairs - brother of Deputy Premier Christy Clark - B.C. fundraiser for Paul Martin

Mark Marissen - visited by police - Paul Martin's B.C. campaign manager - married to Christy Clark

Federal Environment Minister David Anderson - had employed both Erik Bornman and Mark Marissen

Constable Ravinder Dosanjh - suspended without pay by Victoria Police Department [. . . . ]

Two former B.C. gov't aides charged

"The 1,600-kilometre B.C. Rail main line runs from North Vancouver to Fort Nelson, including the resource-rich northern community of Tumbler Ridge."

Two former B.C. gov't aides charged Dirk Meissner, Dec. 21, 04

[. . . . ] Some of the bidders for the spur line sale, which was abruptly cancelled due to a police investigation, included the Vancouver Port Authority, TD Securities Inc. and the B.C. government.

[. . . . ] Basi is charged with using his position in government to accept and demand rewards and benefits that include money, meals, travel and employment "in connection with matters of government business including a bid by Omnitrax Inc. to obtain the operating rights of B.C. Rail from the government of British Columbia."

He is also charged with accepting government rewards and benefits without the proper written government consent.

Another charge alleges Basi pretended to have the influence of a government minister or the government by accepting or demanding a benefit in exchange for offering influence involving the Omnitrax Inc. bid for B.C. Rail.

[. . . . ] The charges against Aneal Virk, who was still working in the Transportation Ministry on [. . . Dec. 21, 04], allege he laundered money and committed fraud or breach of trust by disclosing confidential government documents in the B.C. Rail deal.

CN Rail was named the successful bidder last December.

Transportation Minister Kevin Falcon has maintained that the $1-billion deal with CN was clean despite ongoing police investigations and previous complaints about unfair treatment by failed bidders.

CN Rail and the B.C. government announced the partnership last year that would see CN take over the freight operations of B.C. Rail under a renewable 60-year lease.

[. . . . ] The 1,600-kilometre B.C. Rail main line runs from North Vancouver to Fort Nelson, including the resource-rich northern community of Tumbler Ridge.

The government said it would use the $1 billion from the deal to pay off an estimated $500 million B.C. Rail debt and at least $170 million of the remaining money to spur investment in the province's north.

Have you had enough yet?

Media Watch

And if the alledged corruption relates only to the spur line of the BC Rail to the Point Roberts Superport, why isn't that mentioned in the charges, which appear to take in the entire privatization of BC Rail.

"Who allegedly bought influence?" -- These indictments allege corruption of major government deals. So why the big yawn?

The Tyee: Ho Hum, Criminal Charges for Liberal Aides by Barbara McLintock, Dec. 24, 05

This is the kind of news that comes out on a Christmas Eve; no-one reads it.

[. . . . The] Liberals have insisted that nothing that occurred tainted the deal. The only problematic part, they argued, was the separate sale of the line running to the Point Roberts superport – and the government cancelled that part of the deal once cabinet realized the potential issues.

But that isn't what the criminal charges state. They never mention the separate spur line agreement at all. . . . OmniTRAX did not end up being the successful bidder for those operating rights. (CN Rail was the winning bidder.)

. . . . Basi and Virk demanded and/or agreed to accept as well "money, meals and transportation." . . . .

Aneal Basi. . . . was, . . . working as a "public information officer" in the transport ministry – the main home of the B.C. Rail deal. Although it might sound like one, this was not a civil service job. He was a political appointee, given the post through a cabinet order back in 2002. . . . .

He faces two counts, both of money laundering. . . . helping Dave Basi to commit the offences of fraud and breach of trust, by laundering the money that he took. . . .

[. . . . Where] did the money come from in the first place? And just how was Aneal Basi able to hide and launder it? . . . money actually did change hands, because there was money that needed to be laundered.

Who allegedly bought influence?

That leads to the other interesting question: just who are the persons on the other side of these clandestine handshakes, and why do their names not appear in the criminal charges, even as other potential accused? If Dave Basi was accepting money in return for using, or promising to use, his influence on provincial matters, someone must have been giving him that money.

[. . . . ]


Link posted here Dec. 19, 04 RCMP-Drugs-Maine-NB Border-Organized Crime, Charges Laid-BC-Basi's Boys & PM's Organizers, Worthington-Sharia-Canada, Arafat's Investments or here



Port of Prince Rupert

Port of Prince Rupert

The Port of Prince Rupert's strategic location on international trade corridors makes it an essential link in the global transportation and international trade network. [. . . .] With the deepest harbour in North America and year-round ice-free facilities, the Port of Prince Rupert offers safe harbour and cost-effective advantages to shippers across the globe.[. . . . ] an essential link to the new world economy.

Advantages: (side bar)

North America's closest port to Asia
Shortest sea-rail route to U.S. Midwest
Deepest harbour in North America
Closest port to open ocean
Direct access to deep sea shipping lanes
Ice-free year round operation
Safest harbour on the West Coast

There is also the railway.

Direct access to CN Rail's high capacity northern mainline and the Trans-Canada Yellowhead Highway provide land connections to the rest of North America via the lowest grades through the Rocky Mountains to the west coast. . . .

As the western terminus of CN Rail, the only railroad in North America to cross the continent both east-west and north-south. . . . significant cost and time advantages.

[. . . .] The Port of Prince Rupert is an autonomous port authority established under the Canada Marine Act. It is governed by a local Board of Directors that has full control over all Port decisions. ThePort Authority is responsible for ensuring that the port is competitive, efficient, and structured to respond to customer needs and business opportunities.

Chew on all that for a bit. It could be argued that I am overly suspicious and overly concerned for Canadians' interests -- but someone would have to convince me -- and that would not be easy, given what I have been reading for the last few years. You form your own conclusions; then act, if that is logical -- or even possible at this juncture. NJC