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    Canadian Regulator Approves NGTL Plan


Recommendation to approve must still be accepted by federal government

by: Dale Lunan

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Canadian Regulator Approves NGTL Plan

The commission of the Canada Energy Regulator (CER), the national regulatory agency that replaced the National Energy Board (NEB), said November 19 it had recommended approval of TC Energy’s Edson Mainline expansion project in Alberta.

The recommendation has been forwarded to the federal cabinet of prime minister Justin Trudeau for final approval.

The Edson Mainline project, which carries a capital cost of about C$509mn (US$390mn), will add about 85 km of new pipeline loop, in two sections, on TC Energy’s Nova Gas Transmission Limited (NGTL) system. It is designed to move more gas from the Peace River Project Area to growing markets in central and southern Alberta.

As part of its recommendation to the federal cabinet, the CER included conditions related to matters impacting indigenous communities, construction activities, safety measures and standards and environmental monitoring.

The project is expected to contribute a total of C$285mn to Alberta’s gross domestic product (GDP), with another C$85mn of GDP going to other provinces and territories. It will generate an estimated C$175mn of labour income in Alberta, where the employment impact of Covid-19 has been significant, especially in the energy and construction sectors.

Pending approval from the federal cabinet within the mandated 90-day timeframe, construction would begin in Q3 2021, with the new facilities in-service by Q2 2022.