The provincial government has exempted FortisBC from certain regulations in the company’s bid to construct a natural gas pipeline for Woodfibre LNG.
The province announced Jan. 23 it had assured FortisBC of its certificate of public convenience and necessity review.
The move is “to provide certainty that will support final investment decisions by LNG proponents and large volume natural gas customers and allow FortisBC to move forward in planning the business aspects of LNG projects,” stated a news release from the Ministry of Energy and Mines.
The British Columbia Utilities Commission (BCUC) usually grants the certificate.
“The government has basically just directed the BCUC to allow us to move forward with certain projects,” said Trevor Boudreau, spokesman for FortisBC.
Fortis would usually submit an application to the commission that would include all the information that the company submitted to the EAO and other regulatory bodies for its proposed projects.
“It really doesn’t change the work that we do and the consultation that we undertake for a project,” Boudreau added.
The natural gas delivery company will still have to consult with First Nations and obtain all environmental approvals and other permits.
“The Province is taking the steps needed to establish a liquefied natural gas sector in British Columbia. FortisBC’s proposed investment in their pipeline system will serve new LNG facilities and will help transport B.C.’s natural gas to global markets,” Rich Coleman, Minister of Natural Gas Development, said in the news release.
This announcement came just days after the District of Squamish voted not to grant Fortis a permit to drill test holes in the district’s estuary as part of route decisions for the Eagle Mountain to Woodfibre natural gas pipeline.
“In trying to flog this nearly-dead LNG export horse, this government is short-cutting due process,” My Sea to Sky’s spokesman Eoin Finn commented in an email to The Chief on Monday. “This is not the way a responsible government is supposed to operate. Not even one in a hurry.”
The province also announced it has introduced a natural gas transportation tariff that sets the rate for Woodfibre LNG and other liquefied natural gas proponents and large-volume natural gas customers.
Boudreau said that is big news.
“There is a reference to a rate schedule 50, a large-scale industrial rate – and that is really important for homes and businesses, our regular utility customers, because it establishes a large scale industrial rate for future customers,” Boudreau said. Woodfibre LNG would be part of that rate, according to Boudreau, and Woodfibre would pay for the proposed Eagle Mountain to Woodfibre pipeline.
“That rate includes all the costs of the capital investments, so there is no financial impact to our existing utility customers,” said Boudreau.
