Enbridge Inc. has announced its Board of Directors has committed up to Cdn$ 600 million to expand Enbridge Gas Distribution's (EGD) natural gas distribution system in the Greater Toronto Area (GTA) to meet the demands of growth in the GTA and continue the safe and reliable delivery of natural gas to current and future customers. The estimated capital cost is contingent on finalisation of the scope of the project. The target for construction of the upgrade project is in 2014 and 2015. The project is subject to approval by the Ontario Energy Board (OEB).
"Over the last 20 years, EGD has almost doubled its total number of customers across Ontario from 1.1 million in 1992 to 2 million in 2012," said Guy Jarvis, President, Enbridge Gas Distribution. "We're well positioned to benefit from continued strong population growth in the GTA making us not only one of the largest, but also one of the fastest growing, natural gas distribution companies in North America. The proposed upgrade project will enable us to serve current and anticipated growth in our customers' needs, enhance our flexibility to avoid customer impacts due to disruption of physical supply, and provide options to access additional supply sources for our customers."
The proposed GTA Project will consist of two segments of pipeline and related facilities to upgrade the existing distribution system that delivers natural gas to the municipalities of Toronto, Brampton, Mississauga, Vaughan, Richmond Hill and Markham. The new lines would provide sufficient internal delivery capability within the GTA to allow EGD to meet the needs of its growing base of customers.
Enbridge expects to file an application with the OEB in the coming months. OEB approval is required before any construction can take place.
Earlier this year, as part of the OEB's "Leave to Construct" process, Enbridge hosted public open houses in communities near the potential pipeline routes to share information about the project with the public and to gather feedback to incorporate into its application.
Adapted from press release by Cecilia Rehn.