The Municipalities of Marathon, Terrace Bay, Schreiber, Manitouwadge and Wawa have been advocating for natural gas service to support economic development and relieve the pressure of high heating and energy costs on residents and businesses in communities located on the North Shore of Lake Superior.
To implement the proposed North Shore LNG Project – a natural gas distribution plan, the Municipalities have proposed and were approved to establish a Local Distribution Company (LDC). The LDC will be regulated by the Ontario Energy Board (OEB) and will manage, build, and operate the systems required to bring liquefied natural gas to customers in their communities. The North Shore LNG Project includes the construction and operation of local gas delivery works in each Municipality, including the distribution mains, service pipes and meters, as well as on-system Liquefied Natural Gas (LNG) storage tanks and associated vaporization systems. Pipeline natural gas will be liquefied at a new plant near Nipigon, Ontario, and trucked to local LNG depots. The LNG will be stored locally at each depot, vaporized back to natural gas, and delivered by underground pipelines to homes and businesses for space and water heating.
Through the North Shore LNG Project, approximately 5,600 potential residential, commercial, institutional and industrial customers will realize an estimated $247 million in energy cost savings and reduced GHG emissions. The project is currently in the development stage, with service expected to begin in 2020.
LNG is simply natural gas in its liquid state. When natural gas is chilled to a temperature of about minus 160° C (minus 260° F) at atmospheric pressure, it becomes a clear, colourless and odourless liquid.
Liquefied Natural Gas is clean, efficient and safe, and will provide significant economic and environmental benefits for Northern Ontario residents and businesses.
Local natural gas distribution facilities will be constructed in each Municipality. Liquefied Natural Gas (LNG) will be sourced from a regional facility that will cool natural gas to -162°C, converting it into a liquid for safe and efficient transportation to the Municipalities by truck. When there is demand for energy, locally stored LNG will be converted to natural gas and sent through an underground distribution system at a desired pipeline temperature and pressure to homes and businesses within the service area. The proposed system design is the same for all five Municipalities, and features high-density polyethylene distribution mains, service pipes and customer meters as well as on-system LNG storage tanks and associated vaporization systems.
Proposed natural gas delivery model for the Municipalities located on the North Shore of Lake Superior.
There are several benefits to choosing natural gas for your home and business; however, until now the high capital cost of constructing pipelines has prevented thousands of homes and businesses in Northern Ontario from accessing these benefits. While customers in more urban and populated parts of Ontario can count on natural gas for heating needs, less than 20% of Ontario’s rural and northern homes and businesses have the same opportunity.
Natural gas will soon be coming to the Northern Ontario Municipalities of Marathon, Schreiber, Terrace Bay, Wawa and Manitouwadge. These Municipalities have a combined population of 11,000, and are located on the North Shore of Lake Superior, along the Highway 17 corridor between Thunder Bay and Sault Ste. Marie.