https://www.cbc.ca/news/canada/new-brunswick/province-seeking-fuel-prices-1.6483130
N.B. government seeks energy board's advice on fuel prices
Fuel prices have climbed to historic levels since the war in Ukraine began
Energy Minister Mike Holland says his department has contacted the arm's-length provincial regulator to seek "advice … suggestions or recommendations" about how to soften the impact on consumers.
"It's information they can give us," Holland said. "They can give us information about global trends. They can give recommendations, and then at that point it's up to us to come back and do it."
The EUB's weekly price-setting pushed the maximum price for a litre of regular gasoline up 8.3 cents to $2.196 on Thursday.
'They can give us information about global trends. They can give recommendations,' said New Brunswick Natural Resources and Energy Development Minister Mike Holland. (CBC)
The weekly price-setting is released each Thursday and is based on a formula linked to the global price of oil.
But the board can raise, or lower, the price at other times during the week if the market price changes by six cents in a single day.
Fuel-price misstep
On Wednesday, Premier Blaine Higgs stated incorrectly that that mechanism is only triggered to raise prices, not to bring them down.
"That is used sometimes in terms of raising prices, and I don't understand quite why that can't be used to reduce prices. I don't know whether it's possible or not," he said.
"I know I get accused of putting thoughts out there before they're completely understood, but it's another thought that I just think the EUB has to work both ways. We are asking those questions of the EUB right now."
In fact, the so-called interruption clause does allow non-Thursday price drops.
Premier Blaine Higgs suggested Wednesday that the EUB's interrupter clause could only be used to raise fuel prices. In fact, the clause has been used to decrease prices several times this year alone. (Ed Hunter/CBC)
It has happened three times since the war in Ukraine began driving up the cost of gasoline. The board lowered the per-litre price by 15.7 cents on March 11, 9.3 cents on March 30 and 8.6 cents on May 20.
On Thursday Holland wouldn't comment on the premier's error. He said the point of contacting the EUB was to use their data and expertise.
"We put that forward with a hope that they can come back and just give us more information, because with the full scope of information, it gives us the ability to make decisions."
He acknowledged that in the end there's no way to avoid the world price of oil, but he joined Higgs in blaming federal environmental policies for constricting the supply of crude and contribution to even higher prices.
Government 'scrambling'
Opposition parties say the invoking of the EUB is a sign the government is flailing around for options.
"They're scrambling to be able to say they're doing everything they possibly can," Green Leader David Coon said.
'They’re scrambling to be able to say they’re doing everything they can possibly can,' Green Leader David Coon said. (Jacques Poitras/CBC News file photo)
He said the EUB has no mandate to give governments recommendations, and while seeking more information is fine, "in the grand scheme of things it's not going to make any difference to the price of gas or diesel."
Liberal Leader Roger Melanson also said the EUB has no role to play and accused Higgs of looking to blame others for his own decision not to cut the 10.87-cent-per-litre provincial gas tax.
"There's no international market conditions that regulate or control the provincial gas tax," he said. "That's completely up to the government. They can act, today, at midnight tonight. … I know I sound like a broken record but it's true."
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---------- Original message ----------
From: Gerald Bourque <kisspartyofnb@gmail.com>
Date: Wed, 8 Jun 2022 16:52:36 -0300
Subject: Re: Methinks the news today about Higgy's latest plan is
interesting N'esy Pas René Legacy?
To: David Amos <david.raymond.amos333@gmail.
Thank You for the information.
---------- Original message ----------
From: David Amos <david.raymond.amos333@gmail.
Date: Tue, 7 Jun 2022 12:12:17 -0300
Subject: Methinks the news today about Higgy's latest plan is
interesting N'esy Pas René Legacy?
To: "Holland, Mike (LEG)"<mike.holland@gnb.ca>, "blaine.higgs"
<blaine.higgs@gnb.ca>, Katherine.McBrearty@nbeub.ca,
media-medias@gnb.ca, Newsroom <Newsroom@globeandmail.com>,
"jake.stewart"<jake.stewart@parl.gc.ca>, pm <pm@pm.gc.ca>,
"Katie.Telford"<Katie.Telford@pmo-cpm.gc.ca>, "Ian.Shugart"
<Ian.Shugart@pco-bcp.gc.ca>, "Furey, John"<jfurey@nbpower.com>,
"Petrie, Jamie"<JPetrie@nbpower.com>, "Robert. Jones"
<Robert.Jones@cbc.ca>, "John.Williamson"<John.Williamson@parl.gc.ca>,
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sstoll@airdberlis.com, pzarnett@bdrenergy.com,
leducjr@nb.sympatico.ca, mletson@lawsoncreamer.com,
DaMurphy@nbpower.com, SWaycott@nbpower.com, George.Porter@nbpower.com,
BCrawford@nbpower.com, jean-claude.d'amours@gnb.ca,
francine.landry@gnb.ca, jacques.j.leblanc@gnb.ca,
benoit.bourque@gnb.ca, gilles.lepage@gnb.ca, "guy.arseneault"
<guy.arseneault@gnb.ca>, daniel.guitard@gnb.ca, rene.legacy@gnb.ca,
denis.landry2@gnb.ca, isabelle.theriault@gnb.ca, eric.mallet@gnb.ca,
keith.chiasson@gnb.ca, Mike.Comeau@gnb.ca, hugh.flemming@gnb.ca,
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Cc: motomaniac333 <motomaniac333@gmail.com>, gkfellow@ucalgary.ca,
policy@ucalgary.ca, GKFellows@gmail.com,
RCAANC.media.CIRNAC@canada.ca, jennifer@migmawel.org
https://www.cbc.ca/news/
Higgs talks shale gas revival, but global price spike may not last
Experts say investment is a gamble without long-term purchase agreement
CBC News · Posted: Jun 07, 2022 7:00 AM AT
Premier Blaine Higgs has been flirting with the notion of having more
shale gas extraction in the province, but the long road ahead could
hamstring those hopes. (Ed Hunter/CBC)
Premier Blaine Higgs says he'll tread carefully with public opinion as
he encourages the revival of shale gas development in New Brunswick.
But his toughest opponent may be the uncertainties of the world market.
"The big question mark is, we've got a big price spike now, but is
that going to continue for the next couple of years or couple of
decades?" said Kent Fellows, an economist who studies the gas market
at the University of Calgary.
The premier has been talking for weeks about whether the war in
Ukraine, and the need for Europe to find new supplies of natural gas
to replace what it bought from Russia, warrants a new push for shale
gas extraction here.
Significant anti-shale gas protests occurred in Elsipogtog in 2014. (CBC)
It is a politically delicate subject, given the confrontations between
the RCMP and anti-fracking protestors near Elsipogtog First Nation in
2013.
"There's a lot to this. Believe me, I don't want to relive 2014, or
'12. I don't want to go through any of that," Higgs said recently.
"So we would need to work with communities, First Nations, and have a
general understanding of, 'Can we be of assistance here to ourselves
and others, and is the time right to do that?'"
Higgs said he's not planning to repeal a Liberal moratorium on
exploration, but wants to instead find a way to satisfy the five
criteria in that legislation, including public acceptance.
"We'd have to address those," he said.
Unstable view of gas
The bigger challenge, however, may be the hesitation of gas companies
to invest in development that may not be as lucrative in the long term
as it would be today.
Add to that the lengthy regulatory approval process and it's virtually
impossible to move quickly for short-term gain.
"There is a long lead time on getting this infrastructure in place and
it comes with a high capital cost, so you need long-term expectations
to make it pay off," says Fellows.
Should the war in Ukraine end quickly with a deal that allows Russian
gas back into Europe, prices would drop again and the business case
for a New Brunswick industry could evaporate.
That's the same question looming over another gas project Higgs is
touting: the conversion of Repsol's Saint John LNG import terminal to
allow the liquefaction and export of Canadian natural gas to Europe.
Economist Kent Fellows says while the war in Ukraine has spiked fuel
prices, there's no guarantee the prices will stay that high. (CBC)
Todd McDonald, president of Halifax-based gas trading firm Energy
Atlantica, said Repsol is unlikely to spend the money required without
a 10 or 20-year agreement to lock in a fixed price on natural gas.
And that's a commitment European politicians may hesitate to give, he adds.
An end to the war, and a return of cheaper Russian gas, might anger
consumers stuck with a locked-in higher price for Canadian gas.
"If you're in office and you say 'I've got an election in two years,
do I want to be the guy who signs up for 20 years right now?'"
McDonald said. "It's a tough call."
Higgs has linked the two gas scenarios, suggesting shale gas from New
Brunswick could be shipped via Repsol to help Europe reduce its
reliance on Russia.
"I talk about it because it's another possible solution right now,"
the premier said last week.
But McDonald said while a supply of New Brunswick-produced gas could
help clinch Respol's decision, it's unlikely to come online fast
enough.
Gas extracted in New Brunswick would be cheaper for Repsol to export
because it would travel a much shorter distance than gas coming to
Saint John from Alberta or the U.S. and be subject to much lower
pipeline tolls.
But New Brunswick's regulatory regime moves much slower than its
Alberta counterpart, said McDonald.
And Repsol's been stung before by abrupt changes in the global market.
The company opened its import terminal, known as Canaport LNG, in
2009, in partnership with Irving Oil.
Commissioned in 2008, the Canaport LNG terminal, Canada’s first
liquefied natural gas terminal, is on the north shore of the Bay of
Fundy at Saint John. (Nick Hawkins)
At the time, importing foreign gas looked like a solid bet. But the
shale boom in the United States led to a glut of cheap North American
gas on the market, making imports unattractive.
"So that facility largely sits unused for 80 to 90 per cent of the
year because of that exact equation," McDonald said.
Repsol, which bought out Irving Oil's stake in the terminal last year
and renamed it Saint John LNG, would not comment in detail.
"The company will look at any/all business that enhances or creates
value at Saint John LNG, including the potential to add liquefaction
capabilities [for gas exports] to the existing facility," spokesperson
Mike Blackier said in an email.
Buy-in
Higgs emphasized repeatedly last week that he doesn't want to take a
hard line and will be sensitive to public opinion.
"It isn't a matter of enforcing options, it's a matter of discussing
options," he said.
The Opposition Liberals say Higgs has yet to meet the five conditions
they attached to lifting the moratorium while in power:
A "social licence," or public acceptance, through consultations.
Clear information on potential impacts on air, public health and
water so that proper regulations can be in place.
A plan to lessen impacts on public infrastructure and deal with
issues such as disposal of waste water from fracking.
A consultation process with Indigenous people.
A "proper" royalty structure to ensure New Brunswick benefits from
development.
"There's nothing suggesting we have social acceptance," said Liberal
natural resources critic René Legacy.
"The premier seems to think that because of the geopolitical situation
in the world, we can toss aside environmental needs."
Jennifer Coleman, spokesperson for Mi'gmawe'l Tplu'taqnn Inc., which
represents Mi'kmaq chiefs, said the organization "has not received any
recent outreach from the provincial government on shale gas."
The Higgs government carved out a small exemption to the Liberal
moratorium in 2019 for the area in Penobsquis where Corridor Resources
was already extracting gas.
Liberal natural resources critic René Legacy says it doesn't appear
the province is close to getting "social acceptance," something
thought to be necessary before a fracking moratorium can be lifted.
(Jacques Poitras/CBC)
But so far, the company, now known as Headwater Exploration, has not
taken advantage of that exemption to explore for more gas.
Even so, McDonald said Higgs is right to relaunch a conversation on
shale gas. He says it's hypocritical that voters want quality health
care and education, but oppose the gas development that would help pay
for them.
McDonald says he believes there's a better-than-50-percent chance
European nations will eventually sign deals for North American gas.
"Yeah, I think they'll sign on the dotted line, if I were a gambling
man, for a long-term contract," he said, whether it's with Repsol or
another supplier.
"Whether Higgs can rally the public to say 'hey there is social
licence,' I just don't know. That's a tough one. That, I don't think
I'd bet on, because I've been in the business 20 years and I used to
be an optimist about that, but I've just been wrong too many times."
CBC's Journalistic Standards and Practices
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The School of Public Policy, University of Calgary
906 8th Avenue S.W., 5th Flr
Calgary, Alberta T2P 1H9
Phone: 403-210-3802
Email: policy@ucalgary.ca
Leadership Team
Dr. Jennifer Winter
Program Director
Associate Professor of Economics and Scientific Director, Energy and
Environmental Policy Research Division, The School of Public Policy,
University of Calgary
jwinter@ucalgary.ca
Dr. Robert Mansell
Senior Scientific Advisor
Emeritus Professor of Economics, University of Calgary
rmansell@ucalgary.ca
Dr. G. Kent Fellows
Associate Program Director
Assistant Professor of Economics, The School of Public Policy,
University of Calgary
gkfellow@ucalgary.ca
https://gkfellows.github.io/
http://www.energyatlantica.
Energy Atlantica
1521 Grafton St., Suite 203
Halifax, NS
B3J 2B9
Phone: 902-422-6331
After Hours:
Todd McDonald at (902) 233-8576
Paul MacQueen at (902) 402-1145
On 12/30/21, David Amos <david.raymond.amos333@gmail.
> NEW BRUNSWICK ENERGY AND UTILITIES BOARD
>
> IN THE MATTER of New Brunswick
> Power Corporation and Sections
> 113(2) and 113(3) of the Electricity
> Act, SNB 2013 c.7.
>
> NOTICE OF APPLICATION
>
> TO: New Brunswick Energy and Utilities Board
>
> AND TO: All persons identified in Appendix “A” to this Notice of
> Application
>
> WHEREAS
>
> (1) New Brunswick Power Corporation (“NB Power”) is required, pursuant
> to Section 113(3) of the Electricity Act, SNB 2013, c. E-7, as
> amended, (the “Act”), to make application to the New Brunswick Energy
> and Utilities Board (the “Board”) at least once
> every three years for approval of its Transmission Revenue Requirements;
>
> (2) NB Power may, pursuant to Section 113(2) of the Act, apply to the
> Board for approval of changes to the provisions of the approved New
> Brunswick Open Access Transmission Tariff (the “NB OATT”);
>
> (3) NB Power has filed evidence with the Board in support of this
> Application.
>
> NOW THEREFORE NB Power applies to the Board for the following:
>
> (1) An Order approving NB Power’s Transmission Revenue Requirement of
> $125.2 million for Transmission Service.
>
> (2) An Order approving rates for Transmission Service contained in
> Schedules 7, 8, and Attachment H of the NB OATT and as set out in
> Table 5.0.2 below.
>
> (3) An Order approving the revenue requirement of $15.6 million for
> Schedule 1 of the NB OATT at rates set out in Table 5.0.2 below.
>
> (4) An Order approving the non-Capital Support Charge Rate of 5.03 per
> cent as contained in Schedule 9 of the NB OATT and set out in Table
> 5.0.2 below.
>
> (5) An Order approving the revenue requirement of $5.9 million for
> Schedule 2 of the OATT at rates set out in Table 8.1.1 below.
>
> (6) An Order approving the rates contained in Schedules 3, 5, and 6 of
> the NB OATT as set out in Table 9.1.1 below.
>
> (7) An Order approving changes to the NB OATT as set out in Attachment
> 1 of the accompanying evidence (“List of Proposed Changes to the NB
> OATT”).
>
> (8) An Order approving the Transmission Real Power Loss Factor
> (“TRPL”) value of 3.3 per cent, as well as a change in the calculation
> methodology for the TRPL.
>
> (9) Directions with respect to the schedule for the full hearing of
> this Application, and any other preliminary or procedural matters; and
>
> (10) Such other Orders and/or directions with respect to any other
> matters as the Board sees fit.
>
>
> ---------- Original message ----------
> From: "Higgs, Premier Blaine (PO/CPM)"<Blaine.Higgs@gnb.ca>
> Date: Wed, 8 Dec 2021 13:19:42 +0000
> Subject: RE: Methinks folks should study Bill 77 ASAP N'esy Pas?
> To: David Amos <david.raymond.amos333@gmail.
>
> Hello,
>
> Thank you for taking the time to write.
>
> Due to the volume of incoming messages, this is an automated response
> to let you know that your email has been received and will be reviewed
> at the earliest opportunity.
>
> If your inquiry more appropriately falls within the mandate of a
> Ministry or other area of government, staff will refer your email for
> review and consideration.
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> Merci d'avoir pris le temps de nous écrire.
>
> En raison du volume des messages reçus, cette réponse automatique vous
> informe que votre courriel a été reçu et sera examiné dans les
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> If this is a Media Request, please contact the Premier’s office at
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>
> S’il s’agit d’une demande des médias, veuillez communiquer avec le
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> Office of the Premier/Cabinet du premier ministre
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> Canada
> Tel./Tel. : (506) 453-2144
> Email/Courriel:
> premier@gnb.ca/premier.
>