Benefits agreement between Kinder Morgan and the Province of British Columbia

In an unprecedented agreement between the Province of British Columbia and a private company, B.C. will receive significant fiscal benefits direct from Kinder Morgan worth up to $1 billion. The company will pay the Province between $25 million and $50 million annually for 20 years. The actual amount paid to the Province each year will depend whether the expanded pipeline is operating at full capacity on its spot market contracts.

Revenues from the Trans Mountain expansion will be dedicated to the new BC Clean Communities program, a source of funding for projects that protect the environment and benefit communities. The BC Clean Communities program will launch once revenues to the Province from Kinder Morgan commence.

When the BC Clean Communities program is fully in place, it will be based on the following principles:
A grant application process will be established, similar to the current gaming grant application process.
Revenues will be dispersed as grants for grassroots, community-led environmental protection or enhancement initiatives.
Grants can be combined with other funding sources that require matching funds, however, BC Clean Communities grants will not require matching funds by applicants.
B.C.’s polluter pay principle will remain paramount. Funds from BC Clean Communities will not be allowed to replace a polluter’s requirement to pay for clean-up and compensation.

Examples of potential projects eligible for funding under the BC Clean Communities program include, but are not limited to:
Purchasing land for parks.
Restoring historic sites
Cleaning up orphaned sites or spills where the polluter is unknown.
Restoring habitat
Controlling invasive species
Cleaning up beaches, rivers or public waterfront property
Establishing and promoting recycling programs in small, rural communities.
Marine conservation and monitoring