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Lethbridge Herald Newspaper Archives

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The Lethbridge Herald (Newspaper) - January 22, 1974, Lethbridge, Alberta The Uthbridae Herald VOL. LXVII 34 LETHBRIDGE. ALBERTA, TUESDAY. JANUARY 22. 1974 24 Pages 10 Cents PM's reminder: We're all part of one family9 Princess Anne, Mark to visit Ottawa Friday OTTAWA (CP) A visit by Princess Anne and her husband, Ca.pt. Mark Phillips, to the national capital region this weekend is to include some meetings with the people. The 50-hours-and-45-minutes stay begins at p.m. EST Friday when the royal couple arrive aboard a Canadian Forces Boeing 707 carrying military per- sonnel and families home from duty at Lahr, west Germany. Lougheed refuses to yield an inch OTTAWA (CP) Prime Minister Trudeau went into the federal-provincial energy conference of the most important ever held among the first ministers of calling on his provincial counterparts to act on behalf of the entire Cana- dian family. The provinces own their natural resources, he said in a statement, and are entitled to benefit from them. But the current energy crisis "must also concern the nature of our Canadian community, and the purposes which join us in our confederation." "It is this concept of com- mon purpose, this national acceptance of fraternal responsibility, that must be central to our discussions of the critical problems arising from the petroleum crisis." The prime minister repeated the government's aim for Canadian self-reliance in energy, and for similar basic prices in all parts of the country. "We accept that some re- gional differences in oil and gas prices will arise from transportation costs. But the government of Canada does not accept as reasonable any long-term arrangement tolerating major differences in the prices paid by Canadians for is fundamental to everyone's daily life, and to the function- ing of our regional and national economies." "While the federal govern- ment recognizes the legitimate interests of both provincial governments and private companies, we are determined to safeguard the interests of the consumers of Canada." And while the producing province should get a reasonable return on its resources, it was essential that the federal government 'retain "some reasonable por- tion of the new revenue" to invest on the public behalf for energy developments for the future. j- In? meeting our present energy problems, we should make absolutely sure of one thing; .that we do not let so much of the gigantic new revenues accrue in a single that equality of oppor- tunity, and reduction of dis- parity, become impossible in Canada." ALGIERS (AP) Presi- dent Anwar Sadat of Egypt said Tuesday the United States has changed its Mideast policy and added that ''the Arabs, who have cut off oil to the U.S., should reciprocate with a change in theirs. Sadat's statement at a news conference here appeared to confirm speculation that he is trying to persuade Arab oil producers to ease the em- bargo. However, reports in Arab newspapers indicated the ma- jor Arab oil producers such as Saudi Arabia and Kuwait are not budging on the embargo as a result of the separation of the Egyptian and Israeli ar- mies. Sadat did not indicate what Arab leaders have said to him about the embargo during his current tour of Arab countries to explain why he agreed to the disengagement. "I can now sincerely say that the United States had adopted a new policy, that there is a significant, though not total, Sadat told correspondents. Resource control, fair product value OTTAWA (CP) Alberta Premier Peter Lougheed did not budge an inch today from demands made since early his province maintain full control over vast oil and gas resources. He told the federal-provincial energy conference that some arrangements might be worked out with Ottawa on oil pricing. But he stressed that Alberta will not yield in two vital areas. I Inside Classified....... 20-23 Comics............ 8 District............15 Family........ 16, 17 Local News 13, 14 Markets...........18 Sports......... 10, 11 Theatres 7 TV................ 6 Weather........... 3 LOW TONIGHT -5, What's the chances of hot air HIGH WED., 10-15; as a fuel CLOUDY, COOL. At conference opening Alberta Energy Minister Don Getty, left, federal Trade Minister Alastair Gillespie and Premier Peter Lougheed chat prior to the opening of the Ottawa energy conference today. Petrofina bids to build oil sands recovery plant Uproar forces Ulster assembly to adjourn BELFAST (AP) The new- Northern Ireland legislative assembly adjourned in tur- moil today after fighting between moderate and mili- tant Protestants. The delegates were meeting for the first time since the Christmas holiday. Their ses- sion lasted three minutes. Fighting broke out when for- Seen and heard About town Early riser Stan Matkin returning to bed after shaving, eating breakfast and enjoying his morning coffee at a.m. because his alarm clock rang early two-year-old Russell Murdoch using his drapery pull cords as a make believe telephone to call his uncle Glen Lambert. mer prime minister Brian Faulkner led members of his executive commission that governs Northern Ireland into the assembly chamber at Stormont. They found the government benches occupied by hard-line Protestant opponents of Faulkner's policy of sharing power for the first time in Northern Ireland's history with the minority Roman Catholics. The militants repeatedly re- fused speaker Nat Minford's order to vacate the benches and fighting broke out. Min- ford then suspended the ses- sion but in the uproar it was not immediately clear whether this was for the day or a longer period. Shortly before the assembly met, the Protestant-based Ul- ster Unionist party that ruled Northern Ireland for half a century elected Henry West, a former Ulster minister, as its leader in place of Faulkner. MONTREAL (CP) Petro- fina Canada Ltd. and a number of other companies announced today they nave fil- ed for approval to start on .a project to recover crude from the Athabasca oil sands of Alberta. The application to the Alberta Energy Resources Conservation Board is for initial operation on the Daphne Block. It also in- cludes preliminary plans for operation of satellite mining and extraction facilities on other leases to supply a central bitumen upgrading facility at Daphne. The project will produce barrels a day of syn- thetic crude oil and 832 long tons of sulphur. The primary upgrading process will be fluid coking and the resulting coke will be burned to generate process steam and electrical energy. Five companies share in the leases: Petrofina 35.337 per cent; Pacific Petroleums Ltd. 32.713 per cent; Hudson's Bay Oil and Gas Co. Ltd. 14.588 per cent; Murphy Oil Co. Ltd. 10.487 per cent; and Candel Oil 6.875 per cent. Petrofina, which will be operator of the project, said the schedule calls for a period of pilot testing and other work through mid-lS77. Final engi- neering design will start in 1977 and major construction in 1978. Initial production is scheduled for 1962. Great Canadian Oil Sands Ltd., owned by Sun Oil Co. of the United States, has been operating in the oil sands since 1967. Syncrude of Canada Ltd., a consortium of Canadian subsi- diaries of Exxon, Gulf, Atlan- tic Richfield and Cities Ser- vice in partnership with the Alberta government, is plann- ing a plant that could be ready by 1977. Shell Canada Ltd. and Shell Explorer Ltd. hope to have a plant operating by 1980. British coal miners continue tough talk LONDON (AP) The union leader of Britain's coal miners warned today there may be an all-out strike if the government continues to block the miners' demand for higher wages. Joe Gormley, president of the National Union of Mine workers, said union leaders will meet Wednesday to con- sider holding a vote among the miners on whether to call a strike. The miners now are refus- ing to work overtime and dur- ing weekends. Their action has cut Britain's coal supplies by more than 30 per cent and ted to a shortening of the work week to conserve energy supplies. Prime Minister Edward Heath's cabinet is reported split over his refusal to give in to the coal miners' pay demands and end the cut in coal production which the government blames for Britain's electric power crisis. Political correspondents of London newspapers said Heath's ministers are also di- vided over whether he should call a general election next month. The election would test whether the three-day work week he ordered for the country Jan. 1 has swung the majority of the voters to his Conservatives or to the miners' backers in the Labor party. Alberta would insist on fair value for its resources and on recognition of its ownership in control of resources. Premier Lougheed said the federal export tax on domestic oil is a clear viola- tion of provincial ownership of resources. "We view the federal export tax on Alberta oil as contrary to both the spirit and intent of Confederation." Premier Lougheed said he welcomes- the federal com- mitment to extend the crude oil pipeline to Montreal from Sarnia, Ont. But he added that before Al- berta agrees to commit addi- tional oil to the pipeline, the province must gain "a corre- sponding commitment of a longterm assured market for Alberta production in the Montreal area." This was essential to replace any reduction in Alberta's present market, .which is mainly the U.S., the premier said. Although he said he did not want 'to list them as con- ditions, Mr. Lougheed, outlin- ;ed other steps he wants Ot- tawa to take as part of any plan for national self- sufficiency in oil. This would include a trans- portation arrangement to make it economical to ship coal from Western Canada to Ontario Hydro and to other Central Canada industries now dependent on U.S. coal. Alberta has huge reserves of coal but says it has difficul- ty selling it in Eastern Canada because of high freight rates. It also would include con- struction of the Mackenzie Valley pipeline for natural gas from the Arctic, subject to "environmental and native rights consideration." Another factor should be a contingency plan for storage facilities in the Atlantic provinces "in the unfortunate event that oil and natural gas are not discovered in economic quantities off the shore of the Atlantic provinces." On a provincial basis there are sharply-differing interests between the producing and consuming provinces. The object of this conference is to try to bridge these interests. Premier Gerald Regan of Nova Scotia said the subsidiz- ed price of energy should be as close as possible to the cost of domestic Canadian oil one year ago. Premier Ed Schreyer of Manitoba called for greater public ownership of energy. "I would like to advance the concept of energy as a public he said. Barrett proposes sale share OTTAWA (CP) Premier Dave Barrett of British Columbia proposed today that Alberta and Saskatchewan turn over half the value of increases in their oil and gas prices to a fund designed to stabilize energy prices across the country. This would be based on the price of oil and gas the two provinces sell to the United States. The B.C. plan, outlined to the federal-provincial energy conference, also includes a restructuring of federal in- come and'Corporate taxes. The NDP premier said the changes would be designed to recover profits now being made by the oil industry in ex- cess of a "fair rate of return" and tof educe income taxes by granting a personal exemption of to every wage earner supporting a family. Mr. Barrett's proposals for price subsidization differ from Saskatchewan's, which would have regions contributing a share based on their ability to pay. Premier Alex Campbell of Prince Edward Island called for federal help in off-setting soaring electricity costs from power stations which depend intirely on oilm There must be federal help for provinces so dependent on oil, said Mr. Campbell. He was among premiers giving strong support to a proposal for a one-price crude oil system. Premier Robert Bourassa of Quebec said "it is not only fair but realistic to fix oil prices in Canada in order to achieve parity for all Cana- dian consumers." But he also asked for a strong provincial priority in the development of energy resources. MR. Bourassa said a one- price system would involve a big enough subsidy to the im- porting provinces in the East to place them on a par with other Canadian consumers. JOB LOSS FEARED Premier William Davis of Ontario said that if oil increases to a barrel, it might result in the loss of 000 jobs in Ontario and reduce the gross provincial product by three per cent. The province's economic outlook had weakened because of energy shortages. While Mr. Trudeau said the over-riding concern of the conference must be the national good, a key issue in the negotiations is money. 'Pass folks tell Calgary Power 'find another route for your line' By WARREN CARAGATA Herald Staff Writer BLAIRMORE Should the physical environment of an unspoiled mountain pass be given higher consideration than the wishes of people? That was the question posed here Monday as the Energy Resources Conservation Board opened public hearings into an application made by Calgary Power to .run a line through the Crowsnest Pass. The tran- smission line would connect with a B.C. Hydro line of similar voltage at the provin- cial border. The application was oppos- ed by all the municipalities in the 'Pass area, the local tourist association, the historical society, the Oldman River Regional Planning Commission, and several residents. They say the line should follow another route through the mountains. Calgary Power is proposing to build the high-voltage line from Brocket to the border, with the section through the 'Pass set on 110-foot-high metal pylons which one resi- dent described as "giant coat- hangers." None of the briefs presented disputed Calgary Power's contention that the connection is necessary E J. MacLeod, director of system planning for the com- pany, said while there is no urgency in construction, the tie-in would improve service to Southern Albertans by securing an emergency source of supply in event of a break- down in the Alberta power grid. The link would be the equivalent of building a 150 million-watt generating sta- tion in the southern part of the province, he said, but at a much lower cost. The tran- smission line, if built along the route Calgary Power suggests, would cost about million and take about nine 'months to complete. The route proposed by the company follows, with little deviation, the Crowsnest River, running through the most populated areas of the 'Pass. Most submissions criticized the proposal on three grounds: that tourist potential in the area would be destroyed by an "unsightly" high-tower tran- smission line, that another utility corridor would further frustrate rational land use planning in the narrow pass, and that a line running across the Frank Slide area would "disfigure" an important historic site. Municipalities of Frank, Coleman, Blairmore, and Bellevue all suggested in briefs to the ERCB that the proposed route would hinder industrial or residential development in the respective towns. The petroleum shortage, ac- cording to a brief from the Town of Coleman, will mean increased development of coal reserves and the need for more residential projects in the 'Pass. Calgary Power had suggested alternative routes through the 'Pass, but at a meeting Jan. 11, Crowsnest residents decided to ask the board to reject the company application completely. A letter from Andre Pohomolec, an area rancher, noted there would be no direct benefit to 'Pass communities if the power line was approved, yet Crowsnest residents would haye to give up valuable land, and lose some tourist potential so Calgary Power could achieve the cheapest possible inter- connect with B.C Hydro. Mr. Pohomolec, and other residents, proposed the com- pany forget the 'Pass tran- smission line and look for another route further north, between Blairmore and Banff. But company officials ex- pressed little sympathy with that view. While not ruling out the possibility of a northern inter- ,connect, Mr. MacLeod said the Crowsnest Pass because easier terrain would result in lower construction costs. Also, he said, Calgary Power has several major customers in Southern Alberta who would be better served if the tie-in was as far south as possible. "And no matter how thin you cut the 'Pass is one of the only natural corridois through tHe Rockies, Mr. MacLeod said following the meeting. But the other reason Calgary Power decided on the 'Pass was that little additional environmental damage would be done. Service roads must be built alongside the right-of- way, he said, and there is lit- tle sense cutting up a wilderness area when there is already an existing corridor. The hearings are expected to finish today, but a decision on the application will prooably not be made for several months. AMittoMl report on Page 11 ;