The National Energy Board has turned down an application from Maritimes and Northeast Pipeline for approval of a new pipeline service and toll.
Maritimes and Northeast offered a load retention service and discounted rate to Irving Oil in exchange for a 13-year commitment to use the pipeline to ship up to 68,759 gigajoules per day of natural gas from the Canada/U.S. Border in St. Stephen to the Irving Oil Refinery and cogeneration facility in Saint John.
The NEB says Maritimes and Northeast offered the service to Irving Oil in response to a competing offer from the Emera Brunswick Pipeline.
The regulator says it turned down the application because it was premature, noting the natural gas market in the Maritimes is facing a period of uncertainty around current and future natural gas supply and markets.
