Port of Vancouver's jet-fuel pipeline approval surprises minister

OTTAWA — The Port of Vancouver has apologized to the federal government for not giving Transport Minister Marc Garneau advance notice that it was issuing a permit for construction of a jet fuel pipeline to the Vancouver International Airport.

But the mea culpa from the port’s president, Robin Silvester, doesn’t resolve the inherent conflict of interest of the port conducting the environmental reviews of projects proposed for its land, according to critics.

Silvester was among several officials who offered their “personal apologies to government” for the “oversight” in late February, port spokeswoman Julia Ren said in an email Tuesday.

Joe Peschisolido

The port issued the project permit to the Vancouver Airport Fuel Facilities Corp. to start construction of a 13-kilometre pipeline to the airport, and associated infrastructure, on parts of the port’s land.

Liberal MP Joe Peschisolido subsequently complained that the Liberal government was “shocked” by the port’s move on a controversial project that has been criticized from those who fear the jet fuel facility threatens Fraser River salmon habitat.

The MP for Steveston-Richmond East said Tuesday he and other MPs are pressing Garneau to conduct a review to determine if the port, granted authority in the 1990s to conduct its own environmental reviews, should retain that power.

I have concerns that this is making the port less efficient.  These infrastructure projects have to have the support of the community.  

A spokesman for Garneau confirmed that the protocol breach annoyed the minister, though the statement also didn’t challenge the port’s authority to make the February decision.

“The Port of Vancouver followed every step required for them to be able to issue the permit to Vancouver Airport Fuel Facilities Corporation, the proponent of the jet fuel project,” said Marc Roy.

“This being said, the minister was surprised and unhappy that the Port of Vancouver acted they way that they did with the permit issuing to the VAFFC, without giving a heads-up to all relevant stakeholders.”

Ren said the failure to notify the minister and other stakeholders was an aberration.

“The port authority regularly provides an appropriate heads up on permitting decisions for large projects to all interested government stakeholders,” she said. “In this case, the fact that the minister was not given that courtesy was an unfortunate oversight and not in our normal course of business.”

Construction is expected to start this spring despite concerns from some citizens that the 14-kilometre pipeline and associated infrastructure pose a threat to Fraser River salmon.

Vancouver Airport Fuel Facilities Corporation’s proposed marine terminal on the South Arm of the Fraser River where jet fuel would arrive before being put into a 13 km pipeline to Vancouver International Airport.

“They do their own reviews, issue permits, and then collect the revenue because some of the developments are on their own land,” Langer said Tuesday. “Nowhere else in the world would you say that’s an acceptable way to do business. It’s a total financial conflict of interest.”

Silvester issued a statement to the media last week challenging that assertion.

He explained that the port is an “agent” of the federal government with a legislated mandate to both collect rents and protect the environment.

“To suggest some inherent self-interest is influencing the authority’s permitting decisions, or that those decisions are not based on thorough environmental assessments, is failing to recognize the port authority’s federal mandate and obligations.”

On Tuesday in the House of Commons Tory MP Todd Doherty, the MP for Cariboo-Prince George, called Peschisolido’s intervention part of a Liberal trend to oppose economic development.

poneil@postmedia.com

Twitter: poneilinottawa