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Fortis to supply LNG to BC Ferries

Ten-year deal will begin with first vessel in 2016
Ferry

FortisBC will supply BC Ferries with liquefied natural gas (LNG) to fuel three new intermediate class vessels under construction.

“Basically, we’ll provide up to 300,000 gigajoules of liquefied natural gas (LNG) per year (about the same as 7.8 million litres of diesel fuel) for the next 10 years to help fuel BC Ferries’ three new intermediate class ferries,” FortisBC’s Trevor Boudreau told The Squamish Chief by email Monday afternoon.

“We see a huge opportunity for the transportation industry, including marine, to switch to natural gas to reduce costs and emissions,” Boudreau added.

Even though the cost of oil has dropped dramatically, natural gas is cost-effective for the transportation industry, according to Fortis.

The first ship is scheduled to enter service in late 2016, the second vessel by early 2017 and the third ship by mid-2017.

 “BC Ferries has taken the lead as one of the first passenger ferry services in the country to use LNG,” Doug Stout, FortisBC vice-president of market development and external relations, said in a news release. “This abundant, made-in-B.C. energy source can reduce greenhouse gas emissions between 15 to 25 per cent, providing cleaner air for British Columbians.”

According to a news release from FortisBC, the company’s plants at both Tilbury in Delta and Mt. Hayes near Nanaimo will supply the fuel to the ferries by truck while the vessels are not in operation.

FortisBC provided BC Ferries with $6 million in incentive funding for the new vessels to help offset capital costs associated with the use of liquefied natural gas, according to BC Ferries.

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