Premiers, Alaska governor agree to push gas pipeline project forward

VANCOUVER, B.C. — Premiers of Canada's western provinces and Alaska's governor have agreed to push forward with plans for the Alaska Highway natural gas pipeline project.

After a meeting hosted by British Columbia Premier Gordon Campbell, the group agreed to have their energy ministers develop a strategic action plan aimed at preventing delays in the long-discussed pipeline, which they said was crucial to North American prosperity and energy security.

In a prepared statement, they called for good-faith negotiations in Canada between the North Slope producers and Canadian pipeline operators to ensure speedy construction of the line.

"I'm extremely pleased that my colleagues and I are working cooperatively and collectively to ensure the success of the project," said Yukon Premier Dennis Fentie, who chaired the meeting.

Campbell, who noted 25 percent of the project will be within British Columbia, said working together creates an opportunity to coordinate regulatory approvals with Ottawa more effectively.

"It is important that we work together to help ensure the expeditious and effective development of these pipelines and we think that Alberta's existing natural gas export hub provides the most economic means of getting natural gas to multiple markets," he said.

Alaska Gov. Frank Murkowski said Monday's meeting was part of the effort to ensure a "coordinated expeditious process for the project in Canada."

"The best way to avoid delay in Canada is to resolve regulatory, aboriginal and operational issues with Canadian pipeline operators," he said.

Work on the project has been largely stalled since last spring on the Mackenzie gas part of the pipeline project over oil companies' complaints they were being asked to pay hundreds of millions of dollars for social programs and land rights they claimed governments should be covering.

Observers worried the obstacles could delay the project by two years, costing consumers billions of dollars due to higher natural gas prices.

The Mackenzie pipeline consortium is to let regulators know in November whether they'll be able to proceed to the next stage.