Former premier John Horgan's new job working for a B.C. coal company draws mixed reviews
Horgan, who resigned as Langford-Juan de Fuca's MLA on March 31, has joined Elk Valley Resources
John Horgan is shifting gears from politics to business and not just any business. In what is drawing mixed reactions, the former premier is joining the board of Elk Valley Resources, a British Columbia coal-producing company.
The business, which Teck Resouces announced in February would be spun off of Teck's metal division into its own separate company, will produce metallurgical coal used to make steel.
Horgan, who announced his resignation as Langford-Juan de Fuca MLA on March 31, once served as the B.C. NDP's energy and mining critic.
News of Horgan's decision to work for a coal mining company is sparking discussion around the province.
"Everybody's setting their hair on fire on this one," said Diane Watts, former mayor of Surrey. "He can bring a lot to the table … so I don't have an issue with it at all."
In an interview with the Globe and Mail, Horgan said he is expecting a "knee-jerk" response to his announcement.
He notes metallurgical coal is not the same as the thermal coal used to make electricity and says there are ways other than coal to generate power but limited ways to make steel.
"I've got other things that I am going to be working on that may be more to the taste of those who would kick up some dust, but the people that are kicking up dust, oftentimes, kick it up for the sake of kicking it up," said Horgan in the interview.
Years of experience
Watts says with Horgan's decades of political experience, it's a no-brainer that he was asked to join Elk Valley's board.
"When you build the board of the company, you need one that's diverse. You need people … that have a different skill set," she said.
Moe Sihota, a former president of the B.C. NDP, says the company's environmental promises may have influenced Horgan's decision.
"My suspicion is John [Horgan] was interested in doing this because of the innovation that can occur in this sector particularly," he said, adding Teck Resources is committed to achieving carbon neutrality by 2050.
Sihota notes there was a similar "knee-jerk reaction" when he joined as a consultant lobbyist for Woodfibre LNG Ltd., which he says has gone on to become a leader in partnering with First Nations and trying to achieve net-zero carbon goals.
"Different boards and different entities need opinions like this to drive them to get to conclusions that I think society values," Sihota said.
But Adam Olsen, the B.C. Green Party MLA for Saanich North and the Islands, worries Horgan's move will provide the company unfair access to political resources and relationships.
"If Teck ever wants to have a conversation with anyone, they just have to go to their new board member," he said, adding it was shocking to see Horgan move to a corporate position not even one day after resigning as MLA.
Watts, however, notes that publicly traded companies like Teck Resources won't have easy access to Horgan's connections as there are strict rules and regulations around lobbying.
"There's significant criteria in place. It's just not loosey-goosey like that," she said.
'Terrible environmental record'
Olsen says it's concerning to see Horgan join hands with a company known for its "terrible" environmental record.
Earlier this year, Teck Coal Limited, a subsidiary of Teck Resources, was fined more than $16 million by the B.C. Ministry of Environment for failure to limit emissions of nitrate and selenium into the Fording River.
John Steen, the director of UBC's Bradshaw Research Institute for Minerals and Mining, says selenium emissions leak into waterways when mining for high-grade metallurgical coal.
But he says coal is essential in the production of steel, with no other commercially viable alternative available right now.
"We need steel for all the new buildings that are efficient. We need steel for wind turbines," he said, adding researchers are hoping to find an alternative method using hydrogen.
Given the company's complex history with mining emissions, Steen says he doubts it will find any loopholes around B.C.'s high standards for mining and selenium monitoring, even with the help of its new board member.
"Just because you have a former [premier] on the board of your company doesn't mean that you'll avoid the fine if they have an accident with selenium," he said.
In a statement, Elk Valley Resources board chair Marcia Smith said the company is grateful for Horgan's guidance to establish a "new world-class Canadian company."
"John will bring to the board an incredible depth of experience and belief in responsible mining that creates jobs and economic opportunity, while supporting communities, Indigenous reconciliation and environmental stewardship," Smith said.
Horgan told the Globe and Mail he's looking to join other academic, corporate and philanthropic projects.
Horgan has not responded to CBC's request for comment.
With files from The Early Edition