B.C. premier calls special session to consider LNG tax legislation

(Vancouver Sun; June 23) – B.C. Premier Christy Clark's government is recalling the legislature for a rare summer session to pass key legislation enabling a liquefied natural gas project. The government will reconvene the legislature July 13, Finance Minister Mike de Jong announced June 23. The intention is to pass enabling legislation that will allow the government to enter into a project development agreement with Pacific NorthWest LNG, which is proposing an export terminal near Prince Rupert.

Pacific NorthWest LNG announced last month a conditional final investment decision on the multibillion-dollar project, dependent on legislative approval of the tax-certainty bill, as well as federal environmental approval and some type of agreement with local First Nations. De Jong said he's not sure how long it will take to pass the legislation, but if approved it would allow the government in the future to make similar LNG agreements with other developers using cabinet approval.

The entire project development agreement with Pacific NorthWest LNG will be made public, de Jong said. It protects the project from future targeted taxes. Malaysia’s state-owned Petronas is the lead partner in the LNG plant, marine terminal and gas pipeline.