Mr. Speaker, this is both timely and important because, as the Minister of Natural Resources noted earlier this week, the contracts for this pipeline expansion have already been awarded, and the economic development benefits for the project will be felt right across the country, including in the member opposite's home province of Saskatchewan, which I'm sure he is very pleased to hear this evening.
It will include a contract that ensures that almost 75% of the steel, or about 250,000 tonnes of pipe, will come from Regina. This is one of the reasons this government decided that the Trans Mountain expansion pipeline is in Canada's national interest, as it will create thousands of good jobs.
However, this is not the only reason. As the Minister of Natural Resources has outlined on more than one occasion, by moving more Canadian oil to export markets, our producers will have greater access to new global markets and higher prices. That could add billions annually to the value of our oil exports.
In addition, the construction and operation of the pipeline is expected to generate billions in new federal government and provincial government revenues. Those are new tax dollars to pay for our hospitals and schools, to build new roads and safe bridges in our communities, and to fund our cherished social programs that extend to every Canadian in this country.
This is all while our government is also making unprecedented investments to enhance environmental protection and indigenous participation, investments that include the historic world-leading $1.5-billion oceans protection plan, which will strengthen the eyes and ears of the Canadian Coast Guard, enhance our response capabilities, and build meaningful partnerships with indigenous people.
The Prime Minister has called the TMX project a “vital strategic interest to Canada”, and he instructed the Minister of Finance to initiate formal financial discussions with the pipeline's proponent, Kinder Morgan.
Last week the finance minister updated Canadians on the status of those discussions by noting that our government is “prepared to indemnify the project against any financial loss that derives from [B.C.] Premier Horgan's attempts to delay or obstruct the project.” The finance minister also said that “The indemnification would allow Kinder Morgan to finish what they started, what they received federal and B.C. approval to do.” Furthermore, our government is prepared to extend the indemnification to another interested party should Kinder Morgan decide not to proceed with the expansion, and we will make sure that the support we provide is sound, fair, and beneficial to all Canadians.
We want and expect to see this pipeline built, and we are doing so with an approach that is sound and sensible for Canada and for all Canadians.
I want to thank the member for his question and I certainly want to thank the members of our government, who have worked very hard in leading this initiative to where it is today.