CALGARY�TransCanada PipeLines Ltd. (TCPL), Calgary, and its Alberta natural gas pipeline unit have reached a settlement on tolls on the Alberta transmission system for 2001 and 2002.
The settlement established the NOVA Gas Transmission Ltd. fixed revenue requirement for the next 2 years. This, together with the receipt point specific rate design previously approved by the Alberta Energy and Utilities Board, forms the basis of tolls for the next 2 years.
TCPL said the agreement is the result of a broad consultative process with industry associations, consumer groups, marketers, export groups, and other stakeholders.
The company said the deal provides certainty to shippers and extends the incentive for NGTL to reduce costs. The agreement includes two new services and a commitment by all parties to address additional rate and service issues over the next two years.
TCPL Pres. and CEO Doug Baldwin said the deal is another step toward achieving a common goal for all parties to enhance the competitiveness of the Western Canada Sedimentary Basin and an excellent example of the benefits in working collaboratively with industry stakeholders. TCPL operates 2,361 miles of natural gas pipeline connecting western Canada to major North American gas markets.