CGL Files Additional Evidence in Jurisdictional Review
Coastal GasLink (CGL), the $6.2bn (US$4.7bn) pipeline to deliver gas from northeastern BC to LNG Canada’s natural gas liquefaction terminal on BC’s northern coast, on January 25 filed additional evidence in the National Energy Board’s (NEB’s) jurisdictional review of the pipeline.
In the 18-page document, CGL – currently majority owned by TransCanada – reiterates that it will provide service only to the five joint venture partners in the LNG Canada project, and, as a non-rate-regulated subsidiary of TransCanada, will not be a part of TransCanada’s rate-regulated Nova Gas Transmission Limited (NGTL) system.
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The expectation that CGL would, in fact, become part of the NGTL system is the key basis on which BC environmentalist Michael Sawyer filed a request with the NEB last summer asking that the federal regulator review the issue of whether CGL should fall under federal jurisdiction.
“CGL is non-rate-regulated,” CGL says in its evidence. (TransCanada) separates management of its non-rate-regulated subsidiaries, such as CGL, from its rate-regulated subsidiaries, such as…NGTL and the TCPL Mainline.”
That separation, CGL adds, is reinforced by written codes of conduct, which cover a number of matters including separation of management.
When the 670-km CGL pipeline is operational, its only purpose will be to transport natural gas within BC – gas that is owned by LNG Canada’s five joint venture participants. It is not expected to be integrated with any upstream pipeline, and it will not be possible for any person to contract with CGL for interprovincial or cross-border transportation.
“The only service available on Coastal GasLink is transportation within BC,” CGL says, adding that CGL’s function will remain as a merchant pipeline for the dedicated use of the LNG Canada joint venture participants, “transporting gas within BC.”
Other parties to the NEB’s jurisdictional review, including Sawyer, now have until February 15 to file their own additional evidence to the board, either in support of or rebutting CGL’s evidence. Information requests carry a February 26 deadline, while responses to those information requests must by filed by March 12. CGL then has until March 19 to file any reply evidence.