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 Volume 6, issue #11 - 18-06-2001

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Enbridge raises white flag in arena of pipeline construction

18-05-01 Enbridge has raised a white flag in the fiercely-competitive arena of pipeline construction and announced it will not intervene against any competitor's proposal for a northern natural gas line. "We have a very long and convoluted regulatory process to go through as it is without being our own worse enemies in the hearing room," Pat Daniels, President and CEO, said in Calgary. "If it happens not to go their way, don't stand up and oppose it."
Enbridge is a contender in the race to bring natural gas from Alaska and Canada's Mackenzie Delta to southern markets, along with TransCanada Pipelines and WestCoast Energy, among others. Enbridge also holds a 21.4 % interest in the Alliance Pipeline which opened a new route into the American Midwest for Canadian producers last fall after almost a year of delays caused by interveners like TransCanada. But a new era seems to be on the horizon of a decade characterized by skyrocketing fuel prices, power crunches across North America, and continental energy policies.

According to TransCanada spokesman Glenn Herchak, developing pipelines to satisfy the thirsty Lower 48 market will require unprecedented levels of cooperation between governments, producers, First Nations and pipeline companies. "We believe a collaborative approach with all stakeholders -- producers, Aboriginal groups and local communities -- will be necessary for a project of this size to be developed," he said.
Fierce debate in recent months has surrounded the two main routes that have been proposed to ship the fuel down: one along the Alaska Highway, known as the southern route, and the northern route running offshore from Prudhoe Bay on to Canada's Northwest Territories and down the Mackenzie River Valley.

Source: Dow Jones via Energy24



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