Province Speeding Up LNG Approval Process
Saturday, November 9, 2013 @ 4:07 AM
Prince George, B.C. – The province is taking steps to streamline environmental assessments and permitting for liquefied natural gas projects by reducing duplication and improving timeliness.
The BC Oil and Gas Commission and the Environmental Assessment Office regulate many of the same projects in the oil and gas sector. They have signed a Memorandum of Understanding which will see the two agencies manage a single, predictable regulatory regime for LNG projects, from inception through closure.
"Under this memorandum, the Environmental Assessment Office and the BC Oil and Gas Commission will work together to reduce duplication and shorten the time it takes to get an approved project up and running," Environment Minister Mary Polak said. "At the same time, by strengthening compliance and enforcement efforts, they will maintain and even enhance environmental protection."
"Developing a globally competitive liquefied natural gas industry is a priority for our government," Natural Gas Development Minister Rich Coleman said. "With these changes, we will ensure both a rigorous and timely review of applications in British Columbia."
The two bodies will begin implementing the memorandum immediately, including communicating with the industry and others about the implications for current and future LNG developments in the province. A copy of the memorandum is available at: http://www.eao.gov.bc.ca/EAO_OGC.html
Comments
This LNG is just a pet project from the highest levels of our BC govt. They are rushing to saturate an already saturated market. I see corners being cut in the process and environmental problems in our future. I also think it is supposed to be called a “review” process and not an “approval” process, which would indicate that all proposals will eventually get approved.
“an “approval” process, which would indicate that all proposals will eventually get approved.”
I never did understand the notion that there is an implication that an approval process would eventually end up in approval.
Sort of like saying that a University’s admission process implies that every applicant will eventually be admitted.
Review, on the other hand, merely states that something will get reviewed. Then the reviewer will eventually complete the review and will send back a very formal letter saying “thank you for letting us review your report; we found it very interesting. Keep up the good work.”
The Provincial Government needs to approve the type of Front End Loader it wants to use to remove all the BS emanating from this LNG fiasco.
We are presently in the process of seeing how the mantra **BS Baffles Brains** works.
The only way any LNG projects will go forward in BC is if those people who want to build them can get the.
a. Financing
b. 30 Year Contract from end users.
c. Approval from various levels of Government.
Without a, and b, there is no need for c. We know that the Governments will give approval at the drop of a hat.
The Liberals will use the so called benefits of the LNG right up to the next election. They came so close to losing the last election, that they will be in election mode for the next 4 years.
If we get a couple of LNG projects great, as this will be good for the economy, however we have to look beyond export projects to keep this Province afloat.
We need to build gas operated electrical generating plants around the Province. Lets say in the following areas.
1. Southern BC (Kelowna, Penticton)
2. North Central BC (Prince George)
3. Northern BC (Ft St John, Dawson Creek)
4. Greater Vancouver Area (Surrey)
One of these plants can be built for a third of the cost of Site C, and generate the same amount of electricity.
By building four plants, we have created a market in BC for our natural gas, should be able to produce cheap electricity for industrial growth, and population increases, have our surplus power continue to be sold to the USA, and eliminated the need to build Site C which is a waste of time and energy. (Pun intended). Natural Gas Electric Generating Plants would also allow us to stop paying the high price we presently pay for the (stupid) run of the river projects.
Cheap natural gas would also be available for industries to expand.
By going this route we get it all. LNG Plants, Electricity, Natural Gas (cheap) for local consumption, plus all the related jobs.
Seems to me this would be a win, win. Does the present Government have the wherewithal to see this potential??
PS. We could also have a 5th plant built in the Terrace, Kitimat, area.
Hmmm… there is an LNG port already being built in Kitimat along with the Haisla.
Natural gas is not ‘cheap energy’ – hydro electric is ‘cheap energy’, educate yourself please
Slinky. Seems you don’t know much about the Energy business. A natural gas plant that will produce the same amount of electricity as Site C can be built for 1/3 of the cost, and I doubt if they took into consideration the cost of the loss of electricity by transmitting it hundreds of miles.
The LNG Plant being built in Kitimat is freeze natural gas so that it can be loaded into vessels. An entirely different **Plant** than the one in Fort McMurray that was built to produce electricity for the oil sands.
Educate yourself please.
Slinky. Considering that all natural gas is owned by the Provincial Government I am sure that we could get it for a pretty good price if we chose to.
Palopu, if there was no future in LNG as you constantly proclaim, companies wouldn’t be spending millions trying to develop it.
JohnnyBelt. I didn’t say there was no future in Natural Gas. In fact there appears to be enough around to supply all our needs, and exports for the next 100 years.
What I am saying is that the Provincial Government doesn’t like to mention that there is some pretty stiff competition out there for LNG. Borneo, Malayasia, Austrailia, Russia, to name a few. So to assume that all we need to do is build the LNG plants is ludicrous. These companies need 30 year contracts before they will build anything.
In addition I am saying that we need to use some of this surplus gas to generate industry and jobs in BC.
Do we really want to export it all like we do for coal, concentrates, lumber, logs, etc; etc:?
Lets build up our own manufacturing capacity by using cheap gas, and cheap electricity,. Having these commodities cheap would go a long way to keeping people and business in the North.
Time to think outside the box.
I love what the locals have to say about natural gas extraction in this article, in a sense they are us!
http://thetyee.ca/News/2013/06/07/Northern-BC-Transition-Fuel/
Here you go Palopu, this has all been studied before, we are not reinventing the wheel.
http://www.forbes.com/sites/jamesconca/2012/06/24/actual-energy-costs-are-driving-us-towards-a-natural-gas-nation/
Hydro is the cheapest, don’t believe it? What are the prices for electricity across the country? And which are the provinces with more hydro dams than any other? Try NL, ON, QC, BC. Manitoba is almost 100% hydroelectric – what is their rate per kwh? How about Quebec at 97% hydroelectric? Or BC at 88% hydroelectric? Or Ontario at 23%??
http://www.hydro.mb.ca/regulatory_affairs/energy_rates/electricity/utility_rate_comp.shtml
or even here
http://en.wikipedia.org/wiki/Electricity_sector_in_Canada
Ever get a bill from Kootenay Power which is all Hydroelectric?
Check out the GHG section of the wiki…or maybe even here:
http://www.forbes.com/sites/jamesconca/2012/06/10/energys-deathprint-a-price-always-paid/
Like it or not, our economy is based on resource extraction, and the money generated pays for the standard of living we all take for granted.
We need to find a market for our LNG. The US isn’t going to soak it up.
Hoarding our resources with the fantasy that it somehow will generate manufacturing jobs will get us nowhere. If you want to stop moving those jobs offshore, stop buying Chinese made goods. Oops, but we love our cheap goods in Canada, don’t we?
Time to wake up and smell the roses.
How long will your natural gas plant last? Life cycle costs show you will replace that plant at least twice for every dam you build plus you also have the cost of the fuel. The fuel is purchased, even if BC ‘owns’ the resource the cost is still there, don’t kid yourself. Hydroelectric has no fuel costs for the life of the project.
The speeding up of LNG approval is mostly for plants and pipelines used in the export of the product, not ones used to power the nation (although that could be a use of the MOU)
Cheap natural gas would also be available for industries to expand.
By going this route we get it all. LNG Plants, Electricity, Natural Gas (cheap) for local consumption, plus all the related jobs.
Seems to me this would be a win, win. Does the present Government have the wherewithal to see this potential??
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But how would that create manufacturing jobs in China?? There are billions of poor people over there that need the jobs far more than Canadians you know…not to mention that companies wouldn’t pay taxes to Canada and BC….who needs a revenue stream like this in one of the richest countries in the world?
http://commonsensecanadian.ca/fracking-dead-cows-radiation/
No doubt about it, we are going to have to move away from fossil fuels and towards clean green energy.
Palopu a hydro plant once built is dirt cheap to operate and has a fixed operating cost. A gas plant is open to market prices. Metro Vancouver has had a gas plant for decades, burrard thermal and the local nimbys have been trying to get it shut down. It’s rotating mass is required for power system stability down there.
Who finally tells us the nasty chemicals used for shale gas drilling in Western Canada? The US Congress.
Yup, believe it or not, a U.S. Committee On Energy and Commerce disclosed what our very own energy regulators won’t.
http://thetyee.ca/Opinion/2011/04/20/FrackingToxins/
But that’s OK folks, who cares what kind of toxic chemicals they are pumping into our ground under massive pressure.
Don’t ask about it, don’t care about it… nice sheeple.
Aaaaand…DRINK!
This happens sometimes folks, when a person cannot rise to a serious debating occasion they usually turn into trolls! interceptor has turned into one of them⦠all you have to do is DRINK!
A gas furnace puts out heavy metal fall out (fracking fluids make the heavy metals liquid soluble), so that’s the last thing PG needs in its bowl airshed, or anywhere near town and people. That and the transmission loss makes natural gas produced electricity better suited closer to the location where it will be used. 10 years ago we had natural gas and not fracked gas.
That said, I think if a power plant was located on the coast to power an LNG plant, then it makes good sense. LNG exports should not in anyway be subsidized by BC Hydro.
The big money for the LNG exporters is made because they are paying 10x what we are for LNG in Asia. Once they have something as small as a garden hose to Asia, then the Asia price becomes the new market price in North America.
My concern is if the price in North America goes up 5 or 10 times what we pay now, then I can no longer use natural gas to heat my home… I would have to switch to either wood or hydro. My hope is that the province is making some money and that the economy benefits with some jobs, but its not a great deal if the energy reserves of our province are flowing away for a fraction of the benefit potential they represent.
We know Petronas has the financial power of the nation of Malaysia with their national market monopoly in mind for customers… the others I’m sure have done their homework as well.
We have a massive value gap here. The bankers will have a hay day and leverage it for further billions. If they multiply the value of this North American priced resource by factors of five or ten when selling it in Asia….
We should have an export tax if we are to start LNG exports. An export tax based on the going rate in North America. The goal being to ensure an affordable rate for domestic consumers and industry, rather than destructive energy inflation. If industry is located here in BC then they benefit from the lower cost of energy with out the export tax on their fuel… and people could afford to heat their homes too.
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