But he added in a statement that the association is "deeply concerned" that the government felt it had to purchase the project "to assert federal jurisdiction" and allow it to be built.
The reference case asks the courts whether the province has the right to regulate heavy oil transportation across B.C.
Once the sale is complete later this summer, Canada will continue construction on its own.
Michael Ferguson's report found there were fundamental failures of project management and oversight in implementing the Phoenix pay system; that Indigenous people had been let down yet again by their government; and that delays in decision-making by the public-private partnership building the Champlain Bridge replacement in Montreal had cost $500 million - money that, it turns out, could have been spent buying roughly 127 km of pipeline for the government.
The federal Liberal government announced Tuesday that it will spend $4.5 billion to buy Trans Mountain and all of Kinder Morgan Canada's core assets.
The stock rose to $18 in early trading on the Toronto Stock Exchange but fell back to $16.58, down a penny, by 11:40 a.m. ET.
One institutional investor in NY, who spoke on condition of anonymity, said that if the pipeline is built he expects the federal government to make $2 billion in profit when it eventually sells the asset. Shares were halted on Tuesday pending the announcement, and the company was due to hold a call after Morneau announcement.
It expects its approximately 30 per cent share of after-tax proceeds to be about $1.25 billion.
The Trans Mountain expansion would nearly triple capacity to 890,000 barrels of oil on a line running from Alberta to a terminal near Vancouver.
"This is a great day for Canada, for our customers, for our employees", Kinder Morgan Canada CEO Steve Kean said on a morning conference call.
"We are able to pursue this project with confidence, because we know that we are upholding the trust Canadians have placed in us to both grow our economy and protect our environment".
Kinder Morgan will continue to manage a portfolio of strategic infrastructure across Western Canada.
The transaction is expected to close in August 2018.
The Alberta government has agreed to cover any unexpected costs that arise during construction.
However, Calgary-based GMP FirstEnergy Capital said the buyout was negative for future Canadian investment prospects.
Canada loses $15 billion every year on the sale of oil because the US remains its only export customer, resulting in a lower price, Prime Minister Justin Trudeau argues.
The caveat, obviously, is whether the pipeline will be built. A lack of capacity in pipelines or in rail cars to ship oil produced in Alberta is also hurting Canada's energy sector.
The Trans Mountain expansion is needed for increased access to other markets, however, the government's move to nationalize the project was surprising, he added.
"If you think about the dozens of pipelines that exist for crude oil, natural gas liquids, natural gas itself, petroleum products, all throughout the USA and Canada - and we track this stuff - I'm not aware of a single one that's owned by any government entity. not on this scale".
"It does change it from a federally approved project to a federally undertaken project".