This week we discuss Enbridge’s proposal to change their Mainline pipeline from 100 percent open for all shippers to 90 percent contracted – leaving only 10 percent available for everyone else. This monumental change is concerning, especially considering that the Mainline makes up 70% of all Canadian oil pipelines and the region is chronically short capacity.
Producers that represent half of all Western Canadian production have written letters to the NEB stating their opposition and concerns about the proposed change , including; Shell Canada, Suncor, MEG Energy, Canadian Natural Resources, ConocoPhillips and the Explorers and Producers Association of Canada (EPAC). And, many more producers filed complaints since the podcast was recorded.
On the podcast we discuss the concerns these producers have, Enbridge’s rationale for proposing the change, and possible next steps.
For more information on this topic, please see our recent blog post: Not So Fast: The Case For Delaying Enbridge’s Mainline Open Season