The Pacific Northwest LNG Pipeline is a huge subject of controversy in recent news. This project plans to transport 19 millions tonnes of liquified natural gas across the province of BC each year, creating thousands of jobs and boosting the Canadian economy. In his COMM101 business blog, Ansel Hartanto analyzes the federal government’s recent decision to conditionally allow the project to move forward.
Ansel emphasizes the Canadian government’s responsibility to protect against global climate change, and suggests that the pipeline is not in the environment’s best interest. While it is important for the environment to be conserved, there also needs to be an understanding of the balance between two necessities for a prosperous society: the environment and economic development.
The key lies in compromise, finding a way so that the environment is not significantly impacted and prosperity increases for society. In this situation, the federal government has used the limitations on the project to balance these two forces.
On the one hand, I acknowledge that this project will be a big contributor to greenhouse gas emissions. As with many other residents of BC, I am concerned about the declining state of our environment. However, we need to be realistic about our expectations and the cost of meeting those expectations. Even as the popularity of this project declines, the demand for services and goods that run off natural gas increase. People expect more advanced goods at a faster pace and higher quality, which naturally impacts the environment.
It also needs to be considered that this project is going to provide 4500 jobs during the actual construction of the project, and 630 workers for the actual running of the factory. Not only this, but it will generate billions of dollars in revenue and investments. This is an unparalleled amount of jobs and will be a huge benefit to the unemployed population in Canada. This project is subject to 190 legally bringing conditions that will ensure that the impact on the environment is minimal. These conditions include limitations on the level of greenhouse gasses that are emitted from this project.
This entire post ties into the debate on what the definition of corporate social responsibility is. According to Freeman, it is equally important that the general view of the project by the public is positive, than the profit maximize revenue. While some may argue that this operation is mainly in the benefit of shareholders, the services and products that run on LNG are hugely beneficial to the consumers and society. In sum, the project will be a benefit for all of the stakeholders involved, and while there is environmental impact, the severity is minimized by the conditions set by the government.
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