Published: Fri, October 12, 2018
Sci-tech | By April Francis

Gas Pipeline Explosion Could Cause Gas Prices to Spike

Gas Pipeline Explosion Could Cause Gas Prices to Spike

A gas pipeline explosion that led to the evacuation of 100 people on Tuesday is now forcing the residents of British Columbia and the state of Washington to cut their gas consumption as the region faces a shortage until the pipeline is repaired.

The analysts say they expect Enbridge will restore the pipeline to service within a few weeks, given the lack of damage to the parallel line and the high priority of restoring gas to residential markets in the beginning of winter.

The rupture occurred near the city of Prince George in British Columbia's northeast.

"Obviously, we had gas flowing into two large pipelines that were operating at full capacity before the rupture", Stout said.

Gas prices across Greater Victoria have jumped following a pipeline explosion in B.C. that has affected refineries.

Western Washington utilities told their customers Thursday they can return to normal use of hot water and electricity after a shortage of Canadian natural gas that they rely on was resolved.

McTeague said the duration of the spike in prices will depend on the length of time the pipeline is out of service.

"There is a potential impact on Seattle and north of Seattle", he said.

"Unlike Metro Vancouver, and the Lower Mainland, and Vancouver Island which are going to see prices rise, here in the Interior, in Central B.C. and the Okanagan, we will see prices continue to fall".

Restaurants around the province, on the other hand, are looking at ways of using less natural gas.

Thousands of FortisBC customers would be without natural gas without the pipeline.

While everyone got out of the area safely, Teegee said it had been a stressful day that had taken an emotional toll.

Hopefully not. Doug Stout, vice-president of external relations with FortisBC, said there was a risk that 700,000 customers in the Lower Mainland would run out when both pipelines were down, but that risk is lower now that the smaller pipeline is back on.

The University of Victoria said Fortis B.C. has requested that it restrict its use of natural gas.

"We don't know what caused this explosion yet but once we do know, no doubt there will be some lessons to be learned and we will be implementing those as regulators".

Yes. Stout said Fortis' industrial customers in B.C. are now under restrictions.

Pipeline explosion north of Lheidli T'enneh reserve, we have all evacuated!

Like this: