667:
system where an isolated community is located must get approval for the pricing and costs associated with providing energy to those communities. In order to develop an LNG fueled power plant in remote communities, utility companies need to follow a robust approval process established by the AUC. During this procedure, the utility companies are required to follow an intensive nine step process involving public consultations, hearings, appeals, and a final decision from the AUC. As part of the process, community support is required before proceeding with energy projects. In the nine step approval process, the first step is public consultation, which involves the applicant addressing concerns from various stakeholders. Next, the utility company is required to make an official application to the AUC. Then, the AUC issues a notice of hearing to any members of the public who wishes to participate in the approval process. The fourth step involves interested parties making submissions or objections to the application. The next step is an opportunity for consultation and negotiation. Shortly after, the AUC holds public hearings and makes the decision to either deny the project, approve it, or put conditions on the approval. The final two steps involve an appeal process for dissatisfied participants and the ultimate construction and operation of the LNG facility.
659:(AUC). The AUC is an independent and quasi-judicial agency that regulates transmission lines, electric substations, power generation facilities (i.e. power plants including wind turbines), and gas utility pipelines. According to the AUC Act (SA 2007), the Commission is made up of nine members appointed by the Lieutenant Governor in Council and each hold terms of up to 5 years. In Section 8(5), the Act outlines that the commission may make an order on appeals relating to disputes and are responsible for holding hearings and determining if utility projects are in the public interest. Ultimately, the approval for any LNG plant or project needs approval from the AUC.
642:(NEB) has received 48 applications for LNG import/export facilities in Canada. Of those applications, 24 LNG export projects were approved to service the Asian market demand. Canada's first LNG export to China occurred on November 22, 2017 by True North Energy, which transported 17 tonnes of LNG from Fortis BC's Tilbury plant in Vancouver. Because most of Canada's LNG export proposals are greenfield projects, the upfront capital costs are high compared to other international projects. However, small-scale LNG facilities are finding opportunities in Canada's domestic markets.
127:
663:
permits, and licenses. Additionally, the commission may demand modifications to the plans, specifications, or locations for LNG plants, before allowing a project to proceed. If the applicant wants to make minor alterations to a power plant, then the corporation must submit a Letter of
Enquiry containing the need for the project, timing of construction, and environmental impacts. These provisions are specified in the Hydro and Electric Energy Regulation (409/83) under Section 12.
195:
353:
32:
300:. The facility includes a liquefaction system, vaporization system, and storage tank and is connected to the main transmission line via two pipeline spurs. The primary use of the facility is for peak shaving storage, to ensure a steady supply of gas and maintain lower costs during peak demand periods for local customers.
666:
The
Isolated Generating Units and Customer Choice Regulation (165/2003) enables Alberta to govern the provision of energy to areas separate from the interconnected electric system, as well as isolated communities. In Section 2, the regulations clearly state that the owner of the electric distribution
377:
In 2016 natural gas was used to provide 35% of all energy in Canada, double the amount supplied by electricity. Electricity generated by natural gas was 8.5% of the nation's total. Natural gas is used to supply 50% of space heating, and 65% of water heating in homes, similarly 80% of businesses use
308:
The FortisBC Tilbury Island LNG facility is located in Delta, British
Columbia and began operations in 1971. It has the capacity to liquefy 5,000 GJ of gas per day and stores up to 600,000 GJ. Expansion is underway to increase the liquefaction and storage capacities by 34,000 GJ and 1.1 million GJ,
662:
Another important statute in
Alberta is the Hydro and Electric Energy Act (RSA 2000). Under Section 11 of the Act, the AUC must approve the construction and operation of any LNG plant before production can begin. Section 19 explains that the AUC is responsible for granting or denying approvals,
442:
has one natural-gas run power plant which until recently was sourced locally from the Ikhil gas well in the
Mackenzie Delta. The transition to LNG occurred in 2014 as production ceased in the well. The LNG was initially transported over 3,500 km from the Delta Tillbury plant. Today, Ferus’
456:
Industrial consumers use LNG to smooth or peak shave the sudden lower/higher demand periods that arise due to extremely cold or warm weather. The
Tilbury LNG FortisBC facility currently operates as a peak shaving facility in Western Canada. LNG is also used in heavy drilling, mining machinery
428:
In Canada there are approximately 188,525 people residing in 265 remote communities with a combined total annual electrical usage of 1,850 GW. The majority of these communities rely on diesel with a total annual fuel consumption of approximately 289 million L. Today, two of Canada's remote
781:
Chen, Z.; Shuai, Y.; Osadetz, T.; Hamblin, T.; Grasby, S. (2015), "Comparison of biogenic gas fields in the
Western Canada Sedimentary Basin and Qaidam Basin: implications for essential geological controls on large microbial gas accumulations",
378:
natural gas for space and water heating. The industrial sector uses natural gas as a source of process heat, as a fuel for the generation of steam and as a feedstock in the production of petrochemicals and fertilizers. Provincially,
1004:
159:
Biogenic gas is produced at shallow depths by microbial activity. The most prolific biogenic gas deposit in
Western Canada is the Southeast Alberta Gas Field (SAGF), which is located in southeastern Alberta and southwestern
1495:
511:
purchased two hybrid (diesel-LNG-battery) ferries in 2017 to add to its fleet of vessels which deliver cargo from mainland
Vancouver to Vancouver Island. LNG for Seaspan Ferries is also supplied by FortisBC's Tilbury
284:, Alberta in May 2014. This facility can currently produce 50,000 gallons of LNG per day with an expansion capacity of 250,000 gallons per day. The facility receives lean gas from a nearby industry host plant.
1640:
505:
in 2015 to supply 300,000 GJ of LNG annually to fuel three new passenger ferries equipped with dual fuel capacity (natural gas and diesel). The LNG is transported from the
Tilbury facility by truck.
837:
Grace, J.; Collett, T.; Colwell, F.; Englezos, P.; Jones, E.; Mansell, R.; Meekison, J.P.; Ommer, R. (2008), "Energy from gas hydrates - assessing the opportunities and challenges for Canada",
92:
327: cu ft/d) of gas and even more within the boundaries of the individual provinces. The construction of new natural gas pipelines is controversial. RCMP enforcement actions against
691:
372:
956:
1589:
292:
FortisBC's Mt Hayes facility is located near Ladysmith, Vancouver Island. The facility was completed in 2011 and is owned in a limited partnership between FortisBC,
186:
are two areas which have undergone extensive exploration drilling and studies. The gas hydrate deposits in these regions are estimated to hold up to 11×10 m of gas.
118:
in the country. By contrast, the share of fuel-based energy production from natural gas in 2013 was 17.0%, indicating a growth rate of approximately 1.06% per year.
224:
There are four LNG plants that serve Canada's domestic demand. Two additional LNG facilities are in the planning stages, with Stolt LNGaz slated to open in 2018 in
478:
began a pilot LNG project at their Fording River operation in 2015. Two hauling trucks were converted to dual diesel/LNG engines and LNG was provided by FortisBC.
85:
1436:
585:; in 2006, 9.9 billion cubic feet (280,000,000 m) per day. In 2018, Canada's annual net exports of natural gas totaled 57.5 billion cubic meters.
1908:
1567:
1516:
681:
564:
took part in North America's first pilot study using two hybrid (LNG-diesel)powered locomotives from 2012-2013 and in 2015, which transported freight from
336:
203:
78:
1411:
808:
Chen, Z.; Zhang, S.; Grasby, S.E.; Shuai, Y. (2015), "Biogenic gas accumulations in Canada and China: geological characteristics and new insights",
145:
1641:"Western Canada's first large-scale liquefied natural gas fuelling station will help reduce B.C.'s greenhouse gases by over 3,500 tonnes a year"
1734:
1757:
765:
1461:
1005:"FortisBC partners with Stz'uminus (Chemainus) First Nation and Cowichan Tribes in the ownership of Mt. Hayes natural gas storage facility"
1305:
Arriaga, M.; Cañizares, C.A.; Kazerani, M. (2014), "Northern lights: Access to electricity in Canada's northern and remote communities",
635:'s 2017 World LNG Report, Canada received 0.06 and 0.18 metric tonnes per annum (MTPA) from Norway and Trinidad, respectively, in 2016.
174:
are pure methane deposits formed at low temperature and high pressure conditions. They are typically found in the shallow sea in arctic
676:
165:
1939:"Rule 007 Applications for Power Plants, Substations, Transmission Lines, Industrial System Designations and Hydro Developments"
1662:
418:
1541:
982:
2039:
1030:
436:
purchases excess electricity from a natural gas-fueled power plant operated by Imperial Oil that taps into its field for gas.
1109:
1802:
516:
21:
472:
mining operations In 2017, Caterpillar Inc. released a dual fuel (LNG-diesel) retrofit kit for their 785C mining truck.
752:
628:
356:
293:
41:
1832:
957:"Ferus Natural Gas Fuels makes Canadian energy history by commissioning the first merchant LNG facility in Canada"
317:
Across Canada, interprovincial pipelines have the capacity to carry over 1.3 billion cubic metres per day (46
2002:
Province of Alberta. Isolated Generating Units and Customer Choice Regulation: Alberta Regulation 165/2003; 2018.
1938:
1861:
561:
550:
1485:
Matt Manson. Stornoway To Proceed With Liquefied Natural Gas (LNG) Power Plant For Renard Diamond Project; 2013.
519:, BC owns a fleet of 65 LNG transport tractors, some of which were purchased from a failed LNG pilot project by
1618:
686:
402:
390:
332:
891:
632:
531:
393:
in favour of less polluting alternatives for electricity generation by 2030. In response, companies such as
46:
538:, BC), own LNG transportation vehicles in their fleet and are supplied by FortisBC's Tilbury LNG facility
126:
494:
Some Canadian organizations have begun to transition away from diesel and gasoline and towards LNG fuel.
1775:
1517:"Seaspan Ferries Corporation Announces Arrival of Second New Liquefied Natural Gas (LNG) Fuelled Vessel"
1384:
639:
66:
1134:
225:
114:'s third largest source of energy production in 2018, representing 22.3% of all energy produced from
61:
1256:
1205:
1031:"ENGINEERING, PROCUREMENT, AND CONSTRUCTION CHALLENGES OF THE MOUNT HAYES LNG PEAKSHAVING FACILITY"
716:
696:
482:
469:
194:
352:
1347:
1322:
1083:
1412:"SHELL CANADA & CATERPILLAR SIGN AGREEMENT EXPLORING LNG FUELLING OPTIONS FOR MINING TRUCKS"
328:
873:
761:
444:
2011:
ATCO Electric. SHAPE the conversation: Fort Chipewyan Third Lake Generation Unit Maintenance.
1993:
Isolated Generating Units and Customer Choice Regulation: Alberta Regulation 165/2003; 2018.
1314:
817:
791:
523:. Vedder refuels their fleet using a private station which is supplied with LNG by FortisBC.
461:
457:
operation, and fueling gas-fired electrical generating stations in remote mining locations.
183:
153:
280:
Ferus Natural Gas Fuels Inc. (Ferus NGF) began operation of their merchant LNG facility in
1788:
1397:
1152:
624:
520:
297:
854:
Majorowicz, J.A; Osadetz, K.G. (2001), "Gas hydrate distribution and volume in Canada",
656:
612:
554:
475:
409:. This transition is expected to increase overall domestic consumption of natural gas.
240:
51:
134:
As of 2017, Canada's gas reserves were estimated 30.8 trillion cubic metres (1.09
2033:
1713:
1178:
655:
The public agency governing the energy and electrical distribution in Alberta is the
604:
582:
569:
398:
1687:
1326:
465:
433:
179:
171:
161:
1230:
2024:
508:
406:
364:
106:
1966:
Alberta Utilities Commission. Alberta Utilities Commission Act: c A-37.2; 2007.
265:(formerly Gaz Metro) natural gas liquefaction, storage and regasification plant
1810:
1283:
795:
717:"Electricity from fuels, annual generation by electric utility thermal plants"
594:
546:
498:
481:
Stornoway Diamond Corporation has developed an LNG fueled power plant for the
175:
1496:"FortisBC finalizes LNG supply agreement with BC Ferries to fuel new vessels"
1318:
911:
821:
1375:
Standing Senate Committee on Energy, the Environment and Natural Resources.
620:
616:
542:
394:
268:
262:
382:
is the largest consumer of natural gas at 3.9 billion cubic feet per day.
839:
Report of the Expert Panel on Gas Hydrates, Council of Canadian Academies
600:
565:
535:
502:
281:
257:
251:
206:
in the world with a total of 473 million cubic metres per day (16.7
527:
379:
233:
229:
149:
1735:"ENN Canada Marks Important Milestone with New Chilliwack LNG Station"
1568:"Why Vedder Transport jumped at opportunity to buy Bison's LNG trucks"
754:
Canada's role in the global LNG market : energy market assessment
1153:"NORTH AMERICAN NATURAL GAS MARKET: 2015-2016 HEATING SEASON OUTLOOK"
439:
386:
111:
1462:"Behind the Pilot: LNG Truck Conversion at Fording River Operations"
1370:
1368:
1984:
Province of Alberta. Hydro and Electric Energy Act: RSA 2000; 2017.
1437:"CATERPILLAR TO OFFER DUAL FUEL RETROFIT KIT FOR 785C MINING TRUCK"
1206:"Canada a leader among G20 for plan to phase out coal, says report"
1058:
1376:
351:
193:
125:
178:
regions and continental slopes. In Western Canada, the Mackenzie-
1887:
1141:. National Energy Board - Government of Canada. 7 December 2017.
360:
243:
as of 2018, and one more is slated to begin operations in 2018:
115:
1758:"How railways can be part of Canada's climate change solution"
608:
464:: An agreement was announced in 2013 between Caterpillar and
247:
Elmworth, Alberta LNG facility - Ferus Natural Gas Fuels Inc.
1909:"Canada's first LNG export to China on its way by container"
228:
and Northeast Midstream planning two liquefaction plants in
1135:"NEB – Provincial and Territorial Energy Profiles – Canada"
931:
1348:"Power shift: Electricity for Canada's remote communities"
429:
communities use natural gas as their primary fuel source.
443:
Elmworth facility supplies LNG to Inuvik, as well as the
1285:
Natural Resources Canada, Remote Communities Database
607:, which opened in 2009, is Canada's only large-scale
168:
and holds an estimated 1.42×10 m of recoverable gas.
932:"Énergir | Entreprise québécoise, leader en énergie"
581:A large portion of Canada's gas is exported to the
572:. As of 2018, the project has not yet been adopted.
1619:"LNG replacing diesel? Not for a long, long while"
373:List of natural gas-fired power stations in Canada
130:Proved natural gas reserves in Canada (1980-2013)
983:"Ferus LNG plant in Elmworth a first for Canada"
1932:
1930:
271:'s Hagar LNG plant, the first to open in Canada
2025:Natural Resources Canada, Natural Gas Division
1756:Railway Association of Canada (May 31, 2016).
1341:
1339:
1337:
1335:
468:to test new LNG hybrid mining trucks in their
1803:"Canadian Association of Petroleum Producers"
892:"Marketable Natural Gas Production in Canada"
389:announced the goal of phasing out the use of
86:
8:
1855:
1853:
878:Canadian Association of Petroleum Producers
692:History of the petroleum industry in Canada
682:List of countries by natural gas production
1278:
1276:
746:
744:
742:
740:
738:
736:
331:hereditary chiefs in 2020 and 2021 at the
93:
79:
17:
1833:"Natural Gas Annual Trade Summary - 2018"
1590:"1 year & 1,000,000 LNG miles later."
1110:"Canada's Pipeline Transportation System"
239:Three LNG facilities are in operation in
198:Canada natural gas production (1980-2012)
677:List of power stations in Canada by type
534:, BC) and Arrow Transportation Systems (
144: cu ft), 72% of which is from
1204:Naidu-Ghelani, Rajeshni (21 May 2019).
708:
651:Alberta Legislation and Public Agencies
401:began planning the conversion of their
337:wide spread protests across the country
20:
1980:
1978:
1976:
1974:
1972:
1784:
1773:
1393:
1382:
856:Bulletin of Canadian Petroleum Geology
849:
847:
832:
830:
810:Bulletin of Canadian Petroleum Geology
784:Bulletin of Canadian Petroleum Geology
615:facility. The plant receives LNG from
530:, BC), Sutco Transportation Services (
1937:Alberta Utilities Commission (2017).
545:) owns three LNG fueling stations in
204:fifth largest producer of natural gas
7:
447:, which uses natural gas generators.
1737:. Birkshire Hathaway. Business Wire
751:National Energy Board (July 2017).
611:terminal. The plant functions as a
1839:. Government of Canada. 2019-03-15
14:
1688:"Liquid natural gas powers Sutco"
1566:Menzies, James (August 4, 2015).
1231:"Coal-to-Gas Conversions Project"
760:. Canada: National Energy Board.
1860:International Gas Union (2017).
981:Turner, Jocelyn (Oct 28, 2014).
589:LNG export and import facilities
220:Liquefied Natural Gas Production
166:Western Canada Sedimentary Basin
30:
1377:"Powering Canada's Territories"
1084:"Tilbury LNG expansion project"
419:Liquefied natural gas in Canada
1307:IEEE Power and Energy Magazine
1108:National Energy Board (2016).
557:which service trucking fleets.
216: cu ft/d). in 2017.
182:and the continental slope off
1:
1946:Alberta Utilities Commission
1733:Gao, Aaron (April 3, 2014).
657:Alberta Utilities Commission
541:ENN Canada (a subsidiary of
1617:Bakx, Kyle (Jan 25, 2016).
385:In 2018, the government of
359:was converted from burning
202:As of 2017, Canada was the
2056:
1352:Conference Board of Canada
592:
416:
370:
357:Brandon Generating Station
796:10.2113/gscpgbull.63.1.33
562:Canadian National Railway
501:signed an agreement with
403:coal-fired power stations
391:coal-fired power stations
1319:10.1109/MPE.2014.2317963
1038:Gas Technology Institute
822:10.2113/gscpgbull.63.1.1
687:Arctic methane emissions
623:and redistributes it to
148:tight gas formations in
1837:Canada Energy Regulator
1257:"Dual-Fuel Flexibility"
1179:"Natural Gas: A Primer"
1059:"Mt Hayes LNG Facility"
633:International Gas Union
294:Stz'uminus First Nation
1783:Cite journal requires
1663:"Tilbury LNG Facility"
1392:Cite journal requires
985:. Daily Herald Tribune
368:
348:Electricity generation
199:
131:
22:Electricity generation
2040:Natural gas in Canada
1863:2017 World LNG Report
912:"Northeast Midstream"
640:National Energy Board
601:Canaport LNG facility
526:Denwill Enterprises (
371:Further information:
355:
288:FortisBC Mt Hayes LNG
250:Mt Hayes Ladysmith -
197:
129:
1714:"Trucking solutions"
1346:Knowles, J. (2016).
721:www150.statcan.gc.ca
515:Vedder Transport of
509:Seaspan Ferries Corp
343:Domestic consumption
304:FortisBC Tilbury LNG
1888:"True North Energy"
1288:, 12 September 2016
697:Shale gas in Canada
631:. According to the
483:Renard diamond mine
1542:"Marine Bunkering"
1159:. 19 November 2015
1029:Stobart, Matthew.
555:Grande Prairie, AB
445:city of Whitehorse
424:Remote communities
369:
276:Ferus Elmworth LNG
200:
132:
1185:. 18 January 2011
1139:www.neb-one.gc.ca
767:978-0-660-08993-5
226:Becancour, Quebec
103:
102:
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1809:. Archived from
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805:
799:
798:
778:
772:
771:
759:
748:
731:
730:
728:
727:
713:
638:Since 2010, the
599:As of 2018, the
462:Caterpillar Inc.
434:Norman Wells, NT
335:pipeline led to
333:Coastal Gas Link
323:
322:
234:Thorold, Ontario
212:
211:
184:Vancouver Island
154:British Columbia
140:
139:
95:
88:
81:
34:
33:
18:
2055:
2054:
2050:
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2048:
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2016:
2015:
2010:
2006:
2001:
1997:
1992:
1988:
1983:
1970:
1965:
1961:
1951:
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1866:
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1840:
1831:
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1826:
1816:
1814:
1813:on 23 July 2007
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1599:
1597:Bison Transport
1592:
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1571:
1565:
1564:
1560:
1550:
1548:
1540:
1539:
1535:
1525:
1523:
1515:Press Release.
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1416:Shell Canada
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1356:. Retrieved
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1183:Nrcan.gc.ca
1157:Nrcan.gc.ca
938:(in French)
407:natural gas
405:to burning
365:natural gas
363:to burning
107:Natural gas
57:Natural gas
1843:2019-09-23
1719:2018-04-05
1643:. FortisBC
1621:. CBC News
1501:2018-04-05
1358:2018-03-15
1292:2018-03-15
1266:2020-01-24
1241:24 January
1215:27 January
942:2018-04-08
917:2018-03-15
897:2018-03-15
816:(1): 1–3,
726:2020-01-24
703:References
595:LNG Canada
593:See also:
551:Merrit, BC
517:Abbotsford
499:BC Ferries
485:in Quebec.
452:Industries
440:Inuvik, NT
296:, and the
190:Production
176:permafrost
1893:April 15,
1235:TransAlta
961:Ferus Inc
621:Caribbean
543:ENN Group
512:facility.
470:oil sands
395:TransAlta
313:Pipelines
269:Union Gas
24:in Canada
2034:Category
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1872:16 April
1766:16 April
1741:16 April
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1667:FortisBC
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1088:FORTISBC
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671:See also
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566:Edmonton
536:Kamloops
503:FortisBC
367:in 2018.
282:Elmworth
258:FortisBC
252:FortisBC
122:Reserves
1952:1 April
1913:Reuters
1807:Capp.ca
1521:Seaspan
1119:1 April
528:Burnaby
380:Alberta
263:Energir
230:Nipigon
164:in the
150:Alberta
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1237:. 2019
1210:cbc.ca
1189:4 July
1163:4 July
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387:Canada
112:Canada
1942:(PDF)
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1921:2018
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1874:2018
1819:2018
1789:help
1768:2018
1743:2018
1700:2018
1674:2018
1649:2018
1627:2018
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1473:2018
1466:Teck
1448:2018
1423:2018
1398:help
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1217:2020
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