First Nations chiefs blast Higgs over report he is prepared to frack without their consent
Premier quoted as saying, 'We gotta get on with it'
Mi'kmaw and Wolastoqey communities in New Brunswick are slamming comments reportedly made by Premier Blaine Higgs indicating that he's prepared to go ahead with fracking without their approval.
They say his recent comments "again show his complete disregard" for the rights of First Nations.
Higgs, who's at an international hydrogen summit in the Netherlands, told an online business publication, allNewBrunswick, that the clock is ticking for the province to take advantage of willing partners in Europe for natural gas.
"We've gotta get on with it," he said.
Premier Blaine Higgs spoke to the online business publication allNewBrunswick about the future of fracking in the province. (Ed Hunter/CBC)
"I want First Nations to be part of this, but there comes a time when you've just gotta find a way to move on, if I can't have any meaningful discussion to make it happen," he was quoted as saying.
A joint statement from the chiefs of Mi'gmawe'l Tplu'taqnn Inc., which represents Mi'kmaw communities in New Brunswick, said the comments show the premier's "disinterest to address any concerns that do not fit within his approach."
"His sudden change of position, without any further dialogue with First Nations, also underlines why First Nations lack trust in the Higgs government," the statement said.
There is no shortcut around a legal obligation to Indigenous consent.
- Allan Polchies Jr., chief of Sitansisk First Nation
The Wolastoqey chiefs were also quick to respond, saying the premier has gone back on his word.
"The oil man cannot be trusted to keep his word or protect the interests of his own province over his own export ambitions," said Chief Patricia Bernard of Matawaskiye (Madawaska) in northwestern New Brunswick.
"There is no shortcut around a legal obligation to Indigenous consent. Higgs needs to go back to his European vacation," said Chief Allan Polchies Jr. of Sitansisk (St. Mary's) in Fredericton.
Chief Tim Paul of Wotstak (Woodstock) said, "Our message to any country or company placing their energy hopes or plans in Blaine Higgs is simple: keep looking.
"This man has repeatedly gone back on his word and attempted to bend our own words against us. He is not a suitable partner for any sort of business."
Chief
Allan Polchies Jr. of Sitansisk, along with other First Nations chiefs,
said in a statement that fracking won't happen without consent. (Jennifer Sweet/CBC)
In a news release on Thursday, the chiefs of Mi'gmawe'l Tplu'taqnn Inc. said the premier wrote them a letter in January promising that natural gas development can only take place "with the support of First Nations and in the context of a business relationship with and involving First Nations."
Comments 'fly in the face' of commitments: chiefs
The chiefs say the premier's latest comments "fly in the face of his earlier commitments, as well as the recommendations of the Commission on Hydraulic Fracturing."
Hydraulic fracturing, or fracking, is the process used to extract shale gas. A mixture of sand, water and chemicals is fired into a shale bed to free gas embedded in the rock.
The chiefs said resource development "will not occur within Mi'gmaq territory without Mi'gmaq consent, which requires community support and a robust consultation and impact assessment process."
To date, that has not happened, they said.
"As a result, there are no active discussions on natural gas development between the Government of New Brunswick and the communities MTI represents."
The statement from the chiefs said the premier's "sudden change of position, without any further dialogue with First Nations, also underlines why First Nations lack trust in the Higgs government."
"This should be a concern for any investor and for all New Brunswickers."
The province was asked to confirm whether there's a plan to pursue a shale gas industry without the consent of First Nations, but a response was not provided by publication time.
In 2017, when a Texas company began testing the viability of such an industry in eastern New Brunswick, Indigenous people were among those who protested throughout the summer. First Nations said they had not been consulted in a meaningful way,
The company, SWN Resources, had said there was a 10 per cent chance of shale gas becoming feasible for the company and finished its exploration work that year.
Higgs pitches First Nations on up to $1.6B in revenue with possible shale gas expansion
Pabineau First Nation Chief Terry Richardson says he's opposed to any new fracking
Premier Blaine Higgs is pitching First Nations on hefty revenue potential if they agree to allow new shale gas development in New Brunswick.
But at least one Mi'kmaw chief is already standing in opposition to any new potential fracking because of environmental concerns and worries that it's being used as a political bargaining chip.
Higgs confirmed in an interview that his government sent all chiefs a letter this month outlining how they could potentially see between $800 million and $1.6 billion in revenue — shared among them over 20 years — if a shale gas reserve near Sussex is further developed.
"The potential opportunity for First Nations is an absolute game changer for every First Nations community in this province," Higgs said.
Higgs
said new shale gas development in an area near Sussex known as the
McCully Field could tap into a reserve containing a trillion cubic feet
of natural gas. (Pierre Fournier/CBC)
The move by the Higgs government signals the premier's latest efforts to reignite the industry after former premier Brian Gallant imposed a moratorium on fracking in 2014 following violent protests.
The process of fracking involves injecting a mixture of sand, chemicals and usually water into the ground under high pressure to break rock and capture natural gas that couldn't be obtained otherwise.
It has drawn opposition over fears it could endanger the groundwater supply and potentially have other harmful environmental effects.
Tax-sharing agreement held hostage: chief
The province's proposal wasn't well received by Chief Terry Richardson of Pabineau First Nation in northeastern New Brunswick, near Bathurst.
That's because it came as he, and other Mi'kmaw chiefs, are months away from seeing an end to tax-revenue-sharing agreements that brought millions to communities annually.
Higgs announced he was ending those agreements in 2021, sparking backlash from both Wolastoqey and Mi'kmaw leaders.
Pabineau First Nation Chief Terry Richardson says he's opposed to the idea of resuming hydraulic fracturing in New Brunswick. (Ed Hunter/CBC)
Now Richardson said he feels like Higgs is "holding this tax agreement hostage" as a way to get approval for fracking.
"I mean that's what he's basically doing, is saying 'Well, I took your tax agreement away, but here, look at all this money you can make by agreeing to fracking,'" Richardson said.
Richardson said he's mainly concerned about potential environmental impacts from fracking, adding he hasn't seen any new information to allay those concerns.
And even if he was on board with lifting the moratorium, he doesn't think it would go over well with his community members.
"I don't think it's gonna fly," Richardson said.
"We have to revisit this in our communities and see what our community's perspective is, but I'm almost safe in 100 per cent saying that … unless the technology has changed, there would be a lack of of support for this."
Shale
gas exploration in eastern New Brunswick prompted protests resulting in
RCMP vehicles being burned and dozens of protesters being arrested in
Rexton in fall of 2013. (Andrew Vaughan/Canadian Press)
Mi'gmawe'l Tplu'taqnn Inc. represents Mi'kmaw communities in New Brunswick. Spokesperson Jennifer Coleman said in an email that staff have submitted a proposal to the province regarding resource revenue sharing.
"Under that proposal, all projects would be subject to a rights impact assessment," Coleman said. "We are still waiting to have a meeting on that proposal."
The Wolastoqey Nation, which represents Wolastoqey communities in the province, declined to comment.
In 2019, Higgs quietly carved out a small exemption to the Liberal moratorium for an area near Sussex where Headwater Exploration, formerly known as Corridor Resources, was already extracting gas.
If the moratorium were to be lifted in order to allow new fracking to take place, certain conditions would have to be met, including setting up a process for the province to meet its duty to consult with First Nations.
Higgs said an area known as McCully Field near Sussex is the only site currently being looked at for expanded shale gas extraction.
With the field containing about a trillion cubic feet of natural gas, he said it could supply domestic markets to off-set the reliance on burning coal for electricity, and it could supply European markets looking to turn away from Russian gas.
'An extraordinary opportunity': energy analyst
The prospect of getting First Nations leaders to agree to expanding shale gas extraction in the McCully Field would be "massive" for New Brunswick, said Todd McDonald, president of Energy Atlantica, an energy consulting and trading firm.
"It's an extraordinary opportunity," McDonald said.
Energy
Atlantica president Todd McDonald says new shale gas developments could
satisfy local markets and the leftovers could be exported to other
countries. (Energy Atlantica)
He's been in the industry for 20 years and said he's seen the highs and lows of market prices for shale gas.
Still, he said the business case for extracting shale gas in New Brunswick is "viable," considering consumers here are paying four times more than consumers in Alberta, where the gas is imported from.
"The first portion of any new natural gas could go to meet our own needs … then as we produce more gas than what we need we would actually have gas to export."
Limited window to acquire 'social license'
While there might be a business case for shale gas right now, that's not guaranteed to last, said Herb Emery, an economist at the University of New Brunswick.
That's because natural gas — while cleaner than other fossil fuels — is supposed to only be a "transitional" energy source to be phased out as green energy sources take precedent, he said.
Economist Herb Emery says it's going to take about a decade to develop the resource and get it to market. (CBC)
That means New Brunswick has a limited window to fulfil its duty to consult First Nations, acquire the "social license" to lift the fracking moratorium, and then obtain federal regulatory approvals.
"In order for it to be viable in New Brunswick you'd need to resolve those three things … probably within a time scale of a few years, not a decade, because you're still going to take about a decade to develop the resource and get it to market," he said.
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