NEBC Connector Pipeline Approved

Summary#

The Governor in Council has directed the Commission of the Canada Energy Regulator to issue Certificate of Public Convenience and Necessity OC-067 to NorthRiver Midstream NEBC Connector GP Inc. for the NEBC Connector Project. The decision was made on December 21, 2023 and accepts the Commission’s recommendation and its 49 conditions.

What it does#

• Directs the CER Commission to issue a certificate allowing construction and operation of the NEBC Connector Project.
• Approves a project made of two parallel small-diameter pipelines of about 215 km carrying natural gas liquids (NGL) and condensate from northeast British Columbia to the Gordondale area in Alberta.
• Makes the approval conditional on the Commission’s recommended 49 conditions covering construction, safety, environmental monitoring, Indigenous consultation and accommodation, species-at-risk protections, and cumulative-effects offset measures.
• Accepts the proponent’s revised offset plan components, including payments into restoration funds and a land securement fund with a changed multiplier (from one-to-one to two-to-one) and other refinements.
• Notes estimated project cost of $350.1 million (2021 dollars) and route details: about 195 km (91%) of the route follows existing disturbance; land is roughly 61.5% private and 38.5% Crown.

Who's affected#

• NorthRiver Midstream NEBC Connector GP Inc. (the project proponent).
• The Commission of the Canada Energy Regulator and federal departments involved in review and conditions (e.g., Environment and Climate Change Canada).
• Indigenous groups and Nations on the Crown consultation list, including Blueberry River First Nations and other Treaty 8 signatories who were consulted.
• Landowners and local communities along the route, especially areas near Fort St. John, Peace River Regional District, District of Taylor, and Saddle Hills County.
• Producers and shippers in the Montney region (who may gain more pipeline options) and trucking companies (who may see reduced demand).
• Wildlife and species at risk identified in the area (for example, the little brown myotis, northern myotis, and bank swallow).
• The general public in the region who may notice construction, changes in local traffic or employment, or environmental monitoring.

Why it matters#

• It adds pipeline capacity to move NGL and condensate from the Montney region, which the Commission found is needed to reduce truck shipments and improve shipping options.
• The government and the Commission say the project could lower road congestion, reduce transportation emissions, and cut costs for producers — with estimated construction labour income of $50.6 million and $800,000 in annual operations labour income. The source lists a direct contribution to GDP of $250.9 million during construction and “$4.6 annually” (the source does not clearly state the units for this latter figure).
• The approval is conditional and includes strict oversight: environmental protections, species-at-risk surveys, Indigenous monitoring and participation plans, and legally binding offset measures to address cumulative effects.
• The decision affects Indigenous rights and Crown consultation: the government says consultation was conducted and concerns were considered and accommodated through conditions, but Indigenous groups remain key stakeholders during implementation.
• Environmental and cultural risks remain a concern: the Commission found some residual effects (for example, medium significance for vegetation and wetlands, and medium cumulative effects on wildlife and traditional land use), so monitoring and the required conditions will shape outcomes on the ground.