WALSH — Ajax letter shows full-steam-ahead approach

By COUN. DENIS WALSH

COLUMN — KGHM Ajax crafted a letter of support and asked a group of local business owners to sign it. By doing so, they took it upon themselves to speak on behalf of KGHM Ajax and the community.

What is particularly disconcerting is the letter, endorsed by 42 pro-Ajax business lobbyists, paints a negative view of our local economy and its future prospects, stating “a number of large employers are laying off employees or closing completely.”

Meanwhile, the Kamloops Chamber of Commerce confirms on its website that the “City of Kamloops’ economy is strong and diverse with a growing population.”

A quick look at building permits for the city supports the chamber’s statement, highlighting an average investment of $180.5 million annually over the past decade, with the value being $187.1 million in 2014 alone.

A quick read of the Venture Kamloops investment-attraction document gives insight into the importance of what Mayor Peter Milobar calls “a wonderfully safe and healthy environment to raise a family.”

A key platform in the city’s economic-development approach highlights the importance of healthy living and the natural environment in conjunction with a favourable economic climate.

Further, KGHM Ajax and business lobbyists highlight $950 million in total lifetime tax revenue from the proposed copper and gold mine south of Aberdeen. However, they fail to mention the vast majority of this revenue will accrue to the provincial and federal governments — the two decision-making bodies for the project.

As outlined in Kamplan, Kamloops taxpayers have invested in considerable infrastructure to accommodate growth in the southwest sector of the city. Any shift in growth to the North Shore would require significant upgrades to existing water and sewer infrastructure crossing the river to the North Shore, where there is currently limited capacity.

In addition, it will leave the city with under-utilized capacity on the South Shore.
Overall, the upgrade to the North Shore would require the City of Kamloops to undertake significant new expenditures with a price tag to taxpayer of more than $100 million.

It would also leave the city with infrastructure it has paid for, but would not be able to utilize. Instead of bringing new revenues to the city, the Ajax project could saddle Kamloops residents with an additional tax burden. This doesn’t include the anticipated early construction of the Singh Street Bridge, currently estimated to cost between $250 million and $300 million.

While these 42 business lobbyists indicate they fully expect the proposed Ajax project will be environmentally sound, the public should have serious concerns. As of April, after three years of controversy, the application information requirements (AIR) document still has yet to be submitted to the B.C. Environment Assessment Office (BCEAO) by KGHM Ajax for approval.

This raises the question as to why the KGHM Ajax petitioner is finalizing the AIR framework and not the BCEAO technical working group. Robyn Allen, economist and former president of ICBC, just resigned from a similar approval board, stating “it’s a rigged game . . . that supports private sector [lobbyists] . . . masquerading as a public-interest review.”

Also concerning is the fact this letter of support for KGHM Ajax relies solely on signatures from just 42 business owners out of more than 1,000 business leaders living in Kamloops. Also of note is the lack of woman signatories, as only one of 42 owners is a woman.

Meanwhile, a survey completed by the Kamloops Voters Society in 2013 with 2,770 respondents showed 69 per cent of women were opposed to the proposed copper and gold mine, only 26 per cent were in favour and the remainder were unsure.

According to a KGHM Ajax spokesperson, the letter was “never intended for public release” and the company has for some time been having an “ongoing” series of private meetings recruiting various members of our business community. I find this very concerning given KGHM Ajax has openly stated on its website its “commitment to transparency” — yet its backroom antics demonstrate otherwise.

Dust for dollars with unacceptable risks for residents or KGHM Ajax’s “zero harm” statement that includes some jobs over any environmental concerns — these are clearly the two conflicting and highly divisive issues for Kamloops residents to contemplate.

The stakes are high, but these 42 business lobbyists are apparently ready, confident and willing to roll the dice on our behalf. They have sent this letter unabashedly supporting the proposed mine prior to KGHM Ajax filing the permit application and prior to an EAO ruling. This letter communicates a full-steam-ahead attitude with no cautionary concerns for negative environment impacts. It’s another questionable KGHM Ajax tool, intended to lobby, leverage and influence the B.C. cabinet, which has final approval on the project.

This project started off on the wrong foot and now it’s looking even more questionable, crafty and unsavoury. It appears KGHM Ajax is more concerned about winning the prize than how it plays the game. It’s now up to the many fine strong Kamloops business people and professionals, including the general public and environmentalists, to speak up and voice their legitimate concerns to the decision-makers.

It’s not about mining. It’s about location and politics. The question is, why is this mine even being considered given its proximity to the community?

It’s too big. It’s too close. It’s simply too risky.

Coun. Denis Walsh can be contacted ad dwalsh@kamloops.ca.

EDITOR’S NOTE: Robyn Allen withdrew from the National Energy Board’s review of the Trans Mountain pipeline expansion. She was an intervenor in the pipeline application review. The NEB is not involved in the Ajax review. The above column was published Monday in Kamloops This Week and is published here with permission from Coun. Walsh.