Ontario Energy Board report critical of Energy East pipeline project

THUNDER BAY -- Ontarians need a better balance between environmental and economic impacts if a proposed pipeline snakes through the province.

The Ontario Energy Board released a report Thursday to provincial energy minister Bob Chiarelli saying that the risks are greater than the rewards for a proposed $12 billion Energy East pipeline project that would carry diluted bitumen from Alberta New Brunswick, passing through Kenora to Cornwall along the way.

The report also cautions that the project could increase natural gas prices in the province. Local Council of Canadians chapter chair Ruth Cook said the report highlights concerns her group has had all along. 

"They made several points that I think vindicate our position," she said.

"I think all of those arguments say this is not a good deal for Ontario."

Cook said while the report wants the project to find a balance, rather than outright opposition like the Council of Canadians, it still highlights a number of environmental concerns that a majority of people in Ontario who were consulted for the report seem to have.

Northern Development and Mines Minister Michael Gravelle said the report consulted people who would be most impacted should the project go ahead.

"I think these are important considerations," he said. "You need to find a balance."

Gravelle said the report will be used when the project heads to the National Energy Board.