Cape Breton Now Guaranteed Access to Natural Gas

Cape Bretoners will be among the first Nova Scotians to have the choice of using Sable natural gas, says Petroleum Directorate Minister Manning MacDonald.

"The approval of a lateral pipeline across the Strait of Canso will mean ample and early access to natural gas for people in the Strait area and the rest of Cape Breton," said the minister.

The National Energy Board recently approved an application by Maritimes and Northeast Pipeline to build a 59-kilometre pipeline from Goldboro, Guysborough Co., to Point Tupper. The line will initially supply natural gas to the Sable Offshore Energy Project gas fractionation plant, Stora and Canadian Gypsum in Point Tupper. Those contracts will consume about 21 per cent of the line's capacity, allowing for widespread access to natural gas throughout the remainder of the island.

The remaining capacity of the lateral is enough to provide gas for up to 175,000 homes. There are slightly more than 60,000 residences on Cape Breton.

"The provincial government fought to ensure natural gas would get to Cape Breton, and this lateral assures all four counties will have the same level of energy choices as the rest of Nova Scotia," said Mr. MacDonald.

Applicants for the provincewide distribution franchises will reveal their rollout schedule for providing natural gas service in applications they must file with the Utilities and Review Board by the end of the month.

The Utilities and Review Board will conduct hearings on gas distribution starting in the spring and will make recommendations to government by the summer.

Government regulations compel any eventual franchise holder to provide natural gas to all 18 counties within seven years. Mr. MacDonald said he is confident service to industrial Cape Breton will be provided in the early stages of the seven-year program.