TransCanada Gas-to-Oil Pipeline Plan Still Hot

摘要

TransCanada's plan to convert some of its west-to-east gas pipelines to carry crude'instead of natural gas is running into opposition from gas distribution companies and industrial gas users in Ontario and Quebec who argue that the conversion will drive up gas prices in Eastern Canada. Not so, says the pipeline giant, pointing out that its main west-to-east pipeline, the venerable Mainline system, has been underused for years, a state of affairs that has driven up tolls while industrial users and distribution companies in Central Canadian look to cheaper gas in nearby US states as an attractive alternative to more distant — and expensive — gas supplies from Western Canada (NGW Apr.8'13).