By OGJ editors
HOUSTON, Jan. 3 -- Williams Cos. Inc. unit Williams Northwest Pipeline, Tulsa, and British Columbia Hydro & Power Authority—cosponsors of the proposed $209 million Strait of Georgia natural gas pipeline crossing—have agreed to discontinue development of the project.
The US Federal Energy Regulatory Commission and Canada's National Energy Board both had approved the project, which was to serve electric power generation facilities on Vancouver Island, BC, but the decision on whether to proceed with the 84-mile pipeline has been on hold since September 2003, pending a regulatory review of energy needs on Vancouver Island.
Citing "the Canadian regulatory process," BC Hydro said it would "pursue other alternatives to meet short-term energy needs" and now plans to replace aging electric transmission cables.
Under terms of an agreement with Williams, BC Hydro has assumed full responsibility for the entire $34 million project development costs expended to date.