Prime Minister Carney Suggests B.C. Has Veto Power Over Pipeline

Prime Minister Mark Carney has indicated that the government of British Columbia (B.C.) may have a significant say in the approval of a proposed oil pipeline from Alberta to the north coast. During a session in the House of Commons on October 27, 2025, Carney suggested that any pipeline project would require the consent of both B.C. and the Coastal First Nations, raising questions about the federal government’s role in such infrastructure projects.

Carney’s remarks came in response to a question from Conservative leader Pierre Poilievre, who sought clarity on the timeline for the pipeline initiative. The Prime Minister emphasized the importance of cooperation among different governmental levels, stating, “The memorandum of understanding we’re negotiating with Alberta creates necessary conditions, but not sufficient conditions. Because we believe in cooperative federalism. We believe the government of British Columbia has to agree. We believe that First Nations right holders in this country have to agree in support.”

The anticipated memorandum of understanding between Carney and Alberta Premier Danielle Smith is scheduled for unveiling on Thursday. It is expected to include provisions related to federal environmental regulations and exemptions concerning the existing moratorium on coastal oil tankers. Smith has expressed her intention to leverage this agreement to attract private investment for the pipeline, which is projected to transport oil from Alberta’s oilsands to the northern coast.

While pipelines crossing provincial borders fall under federal jurisdiction, this matter is complicated by Carney’s recent statements, which appear to grant B.C. more leverage than typically afforded. Tim Hodgson, the federal Minister of Natural Resources, later reiterated in Parliament that Ottawa retains the authority to override provincial and First Nations concerns in the name of national interest, as demonstrated by the federal government’s intervention in the Trans Mountain pipeline expansion in 2019.

These developments come shortly after B.C. Premier David Eby voiced strong opposition to the pipeline plan. Eby contended that the project could jeopardize First Nations’ consent related to liquefied natural gas (LNG) and mining initiatives on the coast. He described Alberta’s pipeline proposal as “imaginary” and lacking economic viability. Eby further criticized the lack of consultation with B.C. on the memorandum of understanding, expressing discontent over Ottawa’s negotiations occurring without provincial input.

The implications of Carney’s comments could lead to heightened complexities in the approval process for the pipeline, as it seems to require a consensus that may prove challenging to achieve. The ongoing dialogue highlights the intricate balance between federal ambitions for energy infrastructure and provincial rights, particularly in environmentally sensitive regions. As the situation evolves, stakeholders from various sectors will be closely monitoring the outcomes of these negotiations.