U.S. may provide subsidies for Alaskan pipeline

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OTTAWA, Ont. — Another trade war is brewing with the U.S. as Washington inches closer to approving an energy bill that would subsidize a proposed Alaskan pipeline through Western Canada.

Canada has favored an all-Canadian Mackenzie Valley pipeline which could be built for a fraction of the cost.

It’s expected the House of Representatives and the Senate will vote on the energy bill before Congress recesses Nov. 5 for mid-term elections. The controversial bill includes price and loan guarantees for the Alaskan pipeline.

“Our position is that we be route-neutral and let the private sector determine through economic basis what is the route,” says Canada’s Natural Resources Minister, Herb Dhaliwal.

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