"The loss of this major project means the loss of thousands of jobs and billions of dollars for Canada, and will significantly impact our country's ability to access markets for our oil and gas", the Canadian Energy Pipeline Association (CEPA) said in a statement.
In the summer of 2016, the National Energy Board's review of Energy East was compromised after it was revealed by the National Observer that former Quebec Premier Jean Charest met the chairman and two commissioners on the National Energy Board while working for TransCanada.
Realizing that Energy East would never be allowed if its full climate impact was accounted for, TransCanada has walked away from the project.
"Given the positive signals the federal government has sent to TransCanada over the last weeks ... we believe it is clear that TransCanada is not proceeding with its application for the Energy East pipeline because recent changes to world market conditions and the price of oil have negatively impacted the viability of the project", Gallant said.
As a result of its decision to end the projects, TransCanada said it is reviewing the project's 1.3 billion Canadian dollar ($1.04 billion) carrying value and expects to record an estimated $1 billion impairment charge in its fourth quarter. The move came after the National Energy Board said its review would now consider indirect greenhouse gas emissions.
The Energy East project was expected to transport over one million barrels of crude oil a day from the provinces of Alberta and Saskatchewan to New Brunswick, on the Atlantic coast, where it would be refined and exported.
The Eastern Mainland project would have built an additional 279km (175 mile) new gas pipeline in Ontario.
The Conseil du Patronat, Quebec's largest employers' group, expressed its disappointment, saying from day one, this project ran into a brick wall of opposition.
Nenshi went on to suggest there were two issues when it comes to moving forward. The company said back then that it wanted to review the National Energy Board's August decision to toughen the pipeline project assessment procedure.
Since Keystone XL was proposed, oil prices have plummeted.
"We're disappointed", she said.
Look at the number of transnational oil companies exiting the oil sands, selling their assets due to the high costs of extraction and production: StatOil, Conoco-Phillips, Royal Dutch Shell. Wall said Coderre's criticism of the environmental risks of the pipeline is hypocritical considering his administration oversaw dumping billions of litres of raw sewage into the St. Lawrence Seaway.
"Some of those same forces that led to the cancellation of Energy East are very much threatening Keystone as well", Scott said.
"We understand that this was ultimately a business decision by TransCanada based on current economic and political realities", reads the statement. "We can't certainly let our guard down at this point, because the search for new energies and fossil fuels will continue because the industry is there".