Canada PM to act on pipeline crisis in days to come -province

The head of a Canadian provinceopposed to a planned pipeline expansion on Sunday met PrimeMinister Justin Trudeau for crisis talks and said Trudeau hadmade clear he would act soon to ensure the project went ahead.

Trudeau had called British Columbia Premier John Horgan toOttawa for an emergency meeting to tackle an escalating disputeover Kinder Morgan Canada Ltd's plans to almost triplethe capacity of its Trans Mountain pipeline.

Horgan said afterwards he had not changed his position thatthe risks of a spill from the pipeline were too great.

"He (Trudeau) said the federal government will be movingwith legislative and financial measures in the days ahead,"Horgan told reporters but did not give details.

Trudeau was not immediately available for comment but isscheduled to speak later Sunday.

Kinder Morgan Canada, part of Kinder Morgan Inc , isthreatening to abandon the project unless it receives sufficientclarity about the path ahead on May 31. Alberta Premier RachelNotley also attended the meeting, which Horgan said was veryfrank.

Although Trudeau's Liberal government could invoke emergencypowers to ensure the project goes ahead, that would most likelyanger voters in British Columbia and cost the Liberals supportin a federal election in October 2019.

But Trudeau is under increasing pressure from the businesscommunity and opposition politicians to take action amid fearsthe dispute could hit already flagging foreign investment.

Both the federal and Alberta governments have suggested theycould take a stake in the project.

"There are enough determined parties that a solution will bereached. It won't be easy – it's not an easy issue, none of thisis," a senior government official said ahead of the meeting.

Horgan wants Ottawa to refer the matter to the Supreme Courtbut the Liberals are not interested, saying it is already clearthe federal government has jurisdiction over the project.

He also said he would ask the courts in British Columbia tomake clear how much powers the province had to protect theprovincial environment. Federal officials complain this is atime-wasting tactic.

(Reporting by David LjunggrenEditing by Nick Zieminski and Lisa Shumaker)