The Role of the National Energy Board in Regulating Access to Pipelines
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Regulation of Access to Oil Pipelines 777
REGULATION OF ACCESS TO OIL PIPELINES 777 THE NATIONAL ENERGY BOARD: REGULATION OF ACCESS TO OIL PIPELINES JENNIFER HOCKING* In the past few years, a number of long-distance oil pipelines have been proposed in Canada — Northern Gateway, the Trans Mountain Expansion, Keystone, and the Energy East Project. This article describes the criteria used by the National Energy Board in approving the allocation of capacity in oil pipelines to firm service contracts while requiring that a reasonable percentage of capacity is allocated for uncommitted volumes (common carriage). It explains the economic theory related to regulation of access to major oil pipelines. It reviews and analyzes relevant NEB decisions, which show that the NEB supports well- functioning competitive markets, but will exercise its discretion to resolve complaints where markets are not functioning properly. The article also explains the economic significance of the proposed long-distance oil pipelines to Canada and Alberta despite the current low price of crude oil. The article concludes with recommendations for a written NEB policy regarding access to capacity in oil pipelines. TABLE OF CONTENTS I. SIGNIFICANCE OF PROPOSED OIL PIPELINES TO THE CANADIAN ECONOMY ................................. 778 A. PIPELINES NEEDED DESPITE LOW PRICE OF OIL ............... 780 B. SHIPPING OF OIL BY RAIL ................................ 781 II. OIL PIPELINES AS COMMON CARRIERS ........................... 781 A. THE NATURE OF COMMON CARRIERS ....................... 781 B. COMMON CARRIAGE OBLIGATION SUBJECT TO REASONABLENESS TEST ............................... 783 C. WHY WERE OIL PIPELINES ORIGINALLY DESIGNATED AS COMMON CARRIERS? ................................. 784 III. MAJOR LONG-DISTANCE OIL PIPELINES TODAY ................... 785 A. ENBRIDGE PIPELINES .................................... 786 B. TRANS MOUNTAIN PIPELINE .............................. 787 C. SPECTRA ENERGY EXPRESS-PLATTE ....................... -
ABOUT PIPELINES OUR ENERGY CONNECTIONS the Facts About Pipelines
ABOUT PIPELINES OUR ENERGY CONNECTIONS THE facts ABOUT PIPELINES This fact book is designed to provide easy access to information about the transmission pipeline industry in Canada. The facts are developed using CEPA member data or sourced from third parties. For more information about pipelines visit aboutpipelines.com. An electronic version of this fact book is available at aboutpipelines.com, and printed copies can be obtained by contacting [email protected]. The Canadian Energy Pipeline Association (CEPA) CEPA’s members represents Canada’s transmission pipeline companies transport around who operate more than 115,000 kilometres of 97 per cent of pipeline in Canada. CEPA’s mission is to enhance Canada’s daily the operating excellence, business environment and natural gas and recognized responsibility of the Canadian energy transmission pipeline industry through leadership and onshore crude credible engagement between member companies, oil production. governments, the public and stakeholders. TABLE OF CONTENTS 1. Canada’s Pipeline Network .................................1 2. Pipeline Design and Standards .........................6 3. Safety and the Environment ..............................7 4. The Regulatory Landscape ...............................11 5. Fuelling Strong Economic ................................13 and Community Growth 6. The Future of Canada’s Pipelines ................13 Unless otherwise indicated, all photos used in this fact book are courtesy of CEPA member companies. CANADA’S PIPELINE % of the energy used for NETWORK transportation in Canada comes 94 from petroleum products. The Importance of • More than half the homes in Canada are Canada’s Pipelines heated by furnaces that burn natural gas. • Many pharmaceuticals, chemicals, oils, Oil and gas products are an important part lubricants and plastics incorporate of our daily lives. -
OIL PIPELINE SAFETY FAILURES in CANADA Oil Pipeline Incidents, Accidents and Spills and the Ongoing Failure to Protect the Public
OIL PIPELINE SAFETY FAILURES IN CANADA Oil pipeline incidents, accidents and spills and the ongoing failure to protect the public June 2018 OIL PIPELINE SAFETY FAILURES IN CANADA | Équiterre 2 Équiterre 50 Ste-Catherine Street West, suite 340 Montreal, Quebec H2X 3V4 75 Albert Street, suite 305 Ottawa, ON K1P 5E7 © 2018 Équiterre By Shelley Kath, for Équiterre OIL PIPELINE SAFETY FAILURES IN CANADA | Équiterre 3 TABLE DES MATIÈRES Executive Summary ........................................................................................................................................................... 4 A. Introduction .................................................................................................................................................................... 6 B. Keeping Track of Pipeline Problems: The Agencies and Datasets ..................................................................10 C. Québec’s Four Oil Pipelines and their Track Records .........................................................................................15 D. Pipeline Safety Enforcement Tools and the Effectiveness Gap .......................................................................31 E. Conclusion and Recommendations .........................................................................................................................35 Appendix A .........................................................................................................................................................................37 OIL PIPELINE -
Canadian Pipeline Transportation System Energy Market Assessment
National Energy Office national Board de l’énergie CANADIAN PIPELINE TRANSPORTATION SYSTEM ENERGY MARKET ASSESSMENT National Energy Office national Board de l’énergie National Energy Office national Board de l’énergieAPRIL 2014 National Energy Office national Board de l’énergie National Energy Office national Board de l’énergie CANADIAN PIPELINE TRANSPORTATION SYSTEM ENERGY MARKET ASSESSMENT National Energy Office national Board de l’énergie National Energy Office national Board de l’énergieAPRIL 2014 National Energy Office national Board de l’énergie Permission to Reproduce Materials may be reproduced for personal, educational and/or non-profit activities, in part or in whole and by any means, without charge or further permission from the National Energy Board, provided that due diligence is exercised in ensuring the accuracy of the information reproduced; that the National Energy Board is identified as the source institution; and that the reproduction is not represented as an official version of the information reproduced, nor as having been made in affiliation with, or with the endorsement of the National Energy Board. For permission to reproduce the information in this publication for commercial redistribution, please e-mail: [email protected] Autorisation de reproduction Le contenu de cette publication peut être reproduit à des fins personnelles, éducatives et/ou sans but lucratif, en tout ou en partie et par quelque moyen que ce soit, sans frais et sans autre permission de l’Office national de l’énergie, pourvu qu’une diligence raisonnable soit exercée afin d’assurer l’exactitude de l’information reproduite, que l’Office national de l’énergie soit mentionné comme organisme source et que la reproduction ne soit présentée ni comme une version officielle ni comme une copie ayant été faite en collaboration avec l’Office national de l’énergie ou avec son consentement. -
Economic Impacts from Operation of Canada's Energy Transmission
Economic Impacts from Operation of Canada’s Energy Transmission Pipelines A Special Report Prepared for the Canadian Energy Pipeline Association By Angevine Economic Consulting Ltd. April 2016 The Economic Impacts from Operation of Canada’s Energy Transmission Pipelines | April 2016 Economic Impacts from Operation of Canada’s Energy Transmission Pipelines Table of Contents Introduction ..................................................................................................................... 1 Results of I-O Model Simulations A. Impacts from operation of crude oil, natural gas liquids and refined petroleum products transmission pipelines ................................................................................. 1 B. Impacts from operation of natural gas transmission pipelines ................................... 4 C. Impacts from operation of all transmission pipelines………………………………….. 6 D. Impacts of two proposed pipelines ……………………………………………...............7 E. Impact summary……………………………………………………………………….….10 Detailed Methodology…………………………………………………………………….…11 Energy Pipelines Included in the Analysis……………………………………………...12 The Economic Impacts from Operation of Canada’s Energy Transmission Pipelines | April 2016 Introduction This report summarizes key findings obtained from using the current (2010) version of the Statistics Canada Interregional Input/Output (I-O) Model to estimate the economic impacts from operation of the energy transmission pipelines currently operating in Canada as well as from two proposed but not yet approved -
Energy East Pipeline Project
WhenEnergy the pipeline East: spills... Previous ruptures along TransCanada’s Mainline – part of the planned Energy East pipeline project. Photos by the Transportation Safety Board of Canada. Cover photos Pipeline Investigation Report P09H0074 Top left: Aerial Photo of the Englehart Occurrence Site, from , Transportation Safety Board of Canada. Available at http://www.tsb. gc.ca/eng/rapports-reports/pipeline/2009/p09h0074/p09h0074.aspPipeline Investigation Report P11H0011 Top right: Downstream line-break section of Line 100-2, from , Transportation Safety Board of Canada. Available at http://www.tsb. gc.ca/eng/rapports-reports/pipeline/2011/p11h0011/p11h0011.aspPipeline Investigation Report P09H0083 Bottom: Aerial photo of the Marten River occurrence site, from , Transportation Safety Board of Canada. Available at http://www.tsb. gc.ca/eng/rapports-reports/pipeline/2009/p09h0083/p09h0083.aspEnergy East: When the pipeline spills... is published under the Creative Commons licence Attribution-NonCommercial- ShareAlike 4.0. Images used within this document remain copyrighted by their respective owners except where specifically indicated. Energy East: When the pipeline spills... TransCanada’s Energy East pipeline project would convertIt would an up be to the40-year-old largest oil natural pipeline gas inpipeline North to America, carry crude oil from Saskatchewan to Ontario, connecting it with new pipeline through Quebec and on to Saint John, New Brunswick. transporting 1.1 million barrelsif of oil every day. when where how much When it comes to pipelines, it is not a matter of a pipeline spills, it is a matter of , and it spills. NL AB SK MB Edmonton Hardisty Regina ON QC PE Winnipeg Thunder Bay Quebec City NB Montreal NS North Bay Saint John Ottawa Selective memory: TransCanada’s safety record. -
The Case of the Canadian Province of Alberta's Oil Sands
Project Document A sub-national public-private strategic alliance for innovation and export development: the case of the Canadian province of Alberta’s oil sands Annette Hester Leah Lawrence Economic Commission for Latin America and the Caribbean (ECLAC) This background document was prepared by Annette Hester and Leah Lawrence, Consultants of the Division of International Trade and Integration, Economic Commission for Latin America and the Caribbean (ECLAC), within the activities of the study “Public-private alliances for innovation and export upgrading“, coordinated by Robert Devlin and Graciela Moguillansky with the financial support of SEGIB, through the project “Alianzas público-privadas para la Innovación y el Desarrollo Exportador: Casos Exitosos Extraregionales y la Experiencia Latinoamericana”. Some of their preliminary findings were formerly presented at ECLAC, in Structural Change and Productivity Growth 20 Years later: Old Problems, New Opportunities, (LC/G.2367 (SES.32/3)), Santiago de Chile, 2008, chapter VI, pages 231 to 299.. The paper benefited from the support and comments of Inés Bustillo, Clement Bowman, and Eddy Isaacs, as well as the research assistance of Timmy Stuparyk and Michael Bagan. Annette Hester and Leah Lawrence are Calgary-based economists and writers. Ms. Hester is a research fellow with the Centre for International Governance Innovation in Waterloo, Canada and a Senior Associate with the Centre for Strategic and International Studies in Washington, DC. The views expressed in this document, which has been reproduced without formal editing, are those of the author and do not necessarily reflect the views of the Organization. LC/W.292 Copyright © United Nations, April 2010. All rights reserved Printed in Santiago, Chile – United Nations ECLAC – Project Documents collection A sub-national public-private strategic alliance for innovation and export… Contents Abstract…………………….............................................................................................................. -
Safety and Security of Energy Pipelines in Canada: a Report to Ministers
Safety and Security of Energy Pipelines in Canada: A Report to Ministers Energy and Mines Ministers’ Conference Sudbury, Ontario August 2014 Safety and Security of Energy Pipelines in Canada: A Report to Ministers Energy and Mines Ministers’ Conference Sudbury, Ontario August 2014 Aussi disponible en français sous le titre: La sûreté et la sécurité des pipelines au Canada : rapport aux ministres ISBN 978-1-100-24528-7 (Online) Cat No. M134-34/2014E-PDF Safety and Security of Energy Pipelines in Canada: A Report to Ministers Table of Contents Executive Summary .................................................................................................... 1 Context and Methodology ......................................................................................... 3 Introduction ............................................................................................................... 4 Survey Results and Analysis ....................................................................................... 6 I) Prevention .........................................................................................................................................................7 Safety Culture and Standards ............................................................................................................................7 Maintenance, Testing, Inspections and Audits .................................................................................................9 Spill Data ...........................................................................................................................................................9 -
The Northern Gateway and Keystone XL Pipelines: a Framework for Analyzing Interjurisdictional Pipeline Disputes
University of Calgary PRISM: University of Calgary's Digital Repository Graduate Studies Master of Public Policy Capstone Projects 2013-09 The Northern Gateway and Keystone XL Pipelines: A Framework for Analyzing Interjurisdictional Pipeline Disputes Mirkovic, Natasha Mirkovic, Natasha. (2013). The Northern Gateway and Keystone XL Pipelines: A Framework for Analyzing Interjurisdictional Pipeline Disputes ( Unpublished master's thesis). University of Calgary, Calgary, AB. http://hdl.handle.net/1880/51621 report Downloaded from PRISM: https://prism.ucalgary.ca MASTER OF PUBLIC POLICY CAPSTONE PROJECT The Northern Gateway and Keystone XL Pipelines: A Framework for Analyzing Interjurisdictional Pipeline Disputes Submitted by: Natasha Mirkovic Approved by Supervisor: Dr. Jack Mintz Submitted in fulfillment of the requirements of PPOL 623 and completion of the requirements for the Master of Public Policy degree Capstone Executive Summary The purpose of this capstone report is to establish a framework for analyzing interjurisdictional pipeline disputes. This is an important issue to examine because pipeline transportation has become of key importance in the oil and gas industry, given its cost-effectiveness and ability to reach difficult to access, unconventional sources of oil. However, when pipelines cross multiple jurisdictions disputes may arise, and these disputes may be of an economic, legal or political nature. This report sets up the framework by using the Northern Gateway pipeline and Keystone XL pipeline disputes as examples. The economic importance of both projects is discussed, followed by discussion on how feasible it is to substitute the pipeline projects with alternative means of transportation. It becomes evident that the economics of pipelines boils down to netbacks, which is essentially revenue going to producers minus all costs associated with getting a barrel of oil to market. -
Pacific Northwest Gas Market Outlook Natural Gas Supply, Prices, Demand Calgary
Fort Liard Fort Nelson Western Canadian Sedimentary Basin Fort St. 2020 John Pacific Northwest Gas Market Outlook Natural Gas Supply, Prices, Demand Calgary and Infrastructure Projections Vancouver Avista Utilities Cascade Natural Gas Intermountain Gas through October 2029 Victoria Sumas North Kingsgate FortisBC Energy NW Natural MONTANA Puget Sound Energy This report, compiled by the Northwest Gas Association Seattle Spokane Wenatchee FortisBC System (NWGA), provides a consensus industry perspective on Enbridge BC Pipeline TC Energy GTN the current and projected natural gas supply, prices, TC Energy NGTL Williams Northwest Pipeline demand and delivery capabilities in the Pacific Northwest Other Pipelines Portland through the 2028/29 heating year (Nov-Oct). Rocky Mountain For purposes of this report, the Pacific Northwest includes Basin I D A H O British Columbia (BC), Idaho, Oregon and Washington. Bend Boise O R E G O N W Y O M I N G Additional information can be found at www.nwga.org. Pocatello Medford Malin Klamath Falls Salt Lake City C A L I F O R N I A N E V A D A U T A H NORTHWEST GAS ASSOCIATION 2 0 2 0 O U T L O O K OVERVIEW The Value of Natural Gas in the Pacific Northwest This Outlook contains two new What does natural gas offer to the region? sidebars exploring the timely • Warmth and comfort to 10 million people topics of RNG and carbon • Efficient and affordable space heating, water heating, and heat for cooking and laundry (gas emissions. The RNG sidebar heat is about one-third the cost of electric heat) summarizes current regional efforts • More than half of the total energy consumed in the region – either used directly for space and to capture renewable gas sources water heat or in industrial processes, or as gas-generated electricity. -
National Energy Board Report
Summary of Recommendation Canadian public interest The National Energy Board (NEB or Board) finds that the Trans Mountain Expansion Project (Project) is in Canada’s public interest, and recommends the Governor in Council (GIC) approve the Project and direct the Board to issue the necessary Certificate of Public Convenience and Necessity (CPCN) and amended CPCNs. Should the GIC approve the Project, the associated regulatory instruments (Instruments) issued by the Board would come into effect. Should the GIC approve the Project, the Board considers it necessary that the CPCNs and Instruments be subject to 157 conditions.2 These conditions would address issues such as safety, protection of the environment and other considerations that are identified throughout this NEB Report. To set the context for its recommendation, the overarching consideration for the Board’s public interest determination was: can this Project be constructed, operated and maintained in a safe manner. The Board found the Project would meet this threshold. While this initial consideration was fundamental to the Board’s determination, a finding that a pipeline can be constructed, operated and maintained in a safe manner does not mean it is necessarily in the public interest - there are other considerations that the Board must weigh in coming to its public interest determination, as discussed below. However, the analysis would go no further if this fundamental question were to be answered in the negative; an unsafe pipeline can never be in the public interest. If constructed, the Project would approximately triple the capacity of the Trans Mountain Pipeline system in Western Canada. Together, the current and expanded pipeline would ship oil from Edmonton, Alberta, to Burnaby, British Columbia. -
Pipelines Energy in Oklahoma the Fourth Annual Tulsa Pipeline Expo
VOLUME 40 | JULY 2012 ine for P gaz ipe a lin M e e r h s PIPELINERS T HALL of FAME N E W S w m w w o .p .c ipelinejobs The Utica Shale Success in the Utica Shale Could Bring Need for More Pipelines Energy In Oklahoma The Fourth Annual Tulsa Pipeline Expo PIPELINERS HALL of FAME N E W S VOLUME 40 JULY 2012 Published by STAFF H. M. “Ike” Stemmer Founder Universal News, Inc. Publisher Courtesy of David Dixon, Snelson Companies, Inc. Tina Bostic President / Editor 10 The Utica Shale [email protected] Success in the Utica Shale Could Bring David Bostic Need for More Pipelines Vice President [email protected] 34 Energy In Oklahoma Bridget Withoff Circulation Manager The Fourth Annual Tulsa Pipeline Expo [email protected] Shannon Solko Raff Circulation DEPARTMENTS EVENT CALENDAR 5 Latest Job Reports Juan Fitzmaurice Marcellus and Utica Art Director 12 Proposed Projects & Updates Infrastructure Summit [email protected] 36 Heard On The Line Pittsburgh, PA July 10-12, 2012 Advertising Representative 41 Pipeline Photos www.pmaconference.com Tina Bostic 830/935-3167 46 Obituaries 50 Business Directory Editorial & Production Offices Pipeline and Safety Regulation Universal News, Inc. Houston, TX P. O. Box 227 July 23-24, 2012 Fischer, TX 78623 www.pmaconference.com Phone 800/790-5551 Fax 325/202-2925 NACE Central Area Conference August 26 – 29, 2012 www.pipelinejobs.com Chicago, IL Contact: NACE International, Postage paid at Midland, Texas. Send your comments, stories and pipeline photos ph (281)228-6200 to [email protected] www.nace.org PIPELINERS HALL OF FAME NEWS is edited for companies and individuals involved in the pipeline Cover Photo Courtesy of construction industry worldwide.