Enbridge has been facing constant scrutiny in the past couple of years ever since they announced the development plans that would exploit aboriginal territory and cross through their lush forests. This debate has been a hot topic and is extremely complex, from the economic pros and cons to the social and environmental impacts towards the citizens of Kitimat, BC.

Protests have been ongoing since the commencement, and the public outcry has only increased due to the widespread of negative publicity. To overcome these issues, Enbridge hired Jim Prentice, the premier of Alberta and well-loved figure by the BC aboriginal community, to give insight towards how to resolve these conflicts. He revealed the severity of resistance coming from the coastal communities and suggested Enbridge to relocate their production, at which they should have further political success. The Northern Gateway Project, despite putting up a good fight, is now a “total non-starter”.

Industry forces and key trends strongly affect the Enbridge’s business model for this particular project. The coastal nations of BC, one of the key stakeholders of Northern Gateway, are fiercely objected to the development that will inevitably destroy the natural environment and the traditional communities. Their opposition leads to complications in Enbridge’s business model, especially when one of their key partners prevents them from conducting their key activity of transporting resources.  The societal and cultural trends of BC demonstrate the increasing amount of support towards environmental causes and aboriginal empowerment, which only further reduces the probability of the construction of the Northern Gateway Pipeline.

In business, it is easy to forget about the stakeholders who seem external to the task at hand. However, they remain an important component to the big picture. If Enbridge had hired someone like Jim Prentice to survey the communities before they decided on the venture, there would not be quite as grave a situation as they have now.