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February 05, 2006 Climate Change, Energy, and Pipelines: Year 2001 News, January to May
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News Items from Jan 1, 2001 to May 31, 2001

Port Alberni Generation application submitted to EAO
May 31, 2001
The project was filed by Hydro with the EAO on May 30. Jan Hagen said today that the filing documents will not be available till June 18.
Public will jam rezoning hearings ... PAG.htm
Alberni Environmental Coalition ... website
BC Environmental Assessment Office ... webpage
BC Hydro PAGP ... webpage

It will rain Hydro projects
May 30, 2001
Bernard Landy has given Hydro-Québec a green light to develop any hydro projects it finds interesting to quench the Americans' insatiable thirst for energy.
Le Devoir, May 29, 2001... article
English Translation... article

BP concerned about crossing project
May 30, 2001
A state pipeline safety group and the company that owns BP Cherry Point Refinery have environmental concerns about the Georgia Strait Crossing Project, an 84-mile natural gas pipeline proposed to run through Whatcom County. "...BP has suggested the Georgia Strait pipeline continue in the existing pipeline corridor and two other nearby properties, but Williams rejected all three proposals.
Bellingham Herald, May 29, 2001... article

More pyrotechnics from BC Hydro
May 29, 2001
New sponsors save fireworks spectacle: B.C. Hydro spokesman Wayne Cousins said Hydro is in the midst of negotiations to lend financial support to the show. News announcement Thursday, May 31.
Vancouver Sun, May 29, 2001... article

"The California crunch really is the result of not enough power-generating plants and then not enough power to power the power of generating plants."—George Bush, New York Times, Jan. 14, 2001

Power exports cause jam as electricity flows south
May 29, 2001
This month, the energy trading arm of New York-based investment bank Morgan Stanley Dean Witter & Co. became the latest firm to apply for a licence to export power generated in Canada...
Grant Robertson, Calgary Herald, May 29, 2001... article

Klein, Cheney to meet on oil
May 28, 2001
"Part of the American strategy is to have Canada onside. Jean Chretien is already onside, but I think they want to cement it with all the key players." ...
Tom Olsen, Calgary Herald, May 28, 2001... article

Oilpatch touts merits of U.S. energy strategy
May 19, 2001
Canada's power generators stand to gain substantially from fighting off the U.S. energy crisis... "Clearly, the transmission system has been the major constraint [to date]," said Steve Snyder, president and chief executive of TransAlta Corp. "If we can get the transmission access built, that would certainly encourage generators to build excess capacity with export capability."...
National Post, May 19, 2001... more

This has a bearing on BC Hydro and the natural gas strategy inasmuch as Larry Bell is a director of TransAlta, and of BC Gas, both of which are major energy sector donors to the BC Liberals.  Bell is a former director of BC Hydro and the architect of the privatization of BC Gas; he is a key strategist for the BC Liberals.

Health consequences of natural-gas electricity generation
March 17, 2001
NOx and particulate matter emissions from fuel combustion in powerplants ... create a range of health problems. NOx emissions are respiratory irritants in themselves that also form ozone and small particles through atmospheric chemical reactions. Ozone is a powerful respiratory irritant that ... may lead to chronically reduced lung function. Particulate matter contributes to a range of health problems ...
American Lung Association, March 17, 2001... more

U.S. power plans worry environmentalists
Washington-B.C. border a possible site of new plants

May 21, 2001
U.S. power plans worry environmentalists Washington-B.C. border a possible site of new plants Kate Jaimet Ottawa Citizen OTTAWA - Soaring oil and gas prices are causing a modern-day gold rush in the United States, as energy companies and speculators snap up land in search of a hydrocarb ...
National Post, May 21, 2001... more

Feds decline to pay for Indian rain ceremonies
May 18, 2001
TOPPENISH -- An Indian tribe performed two ritual rain ceremonies aimed at ending the drought in the Northwest -- and then sent a $32,000 bill to a federal agency in charge of selling electricity from dams.
Seattle Post-Intelligencer, May 22, 2001... more

NEB & Environment Canada post GSX draft terms of reference
May 18, 2001
Hull - May 15, 2001 - The public is invited to comment on a draft agreement to establish a joint review panel for the environmental assessment of the GSX Canada Pipeline project, the Canadian portion of an international pipeline proposal to transport natural gas to Vancouver Island. The Canadian Environmental Assessment Agency will receive comments from the public until June 15, 2001.
News Release, May 15, 2001... release
Draft of Agreement, May 2001... full text

An open letter to the American people
May 18, 2001
Scientists for a Sustainable Energy Future published this letter out of grave concern with the turn the nation’s energy policy has taken... more

Methane Madness: A natural gas primer
May 18, 2001
The stakes are high; 70% of new homes are heated with natural gas, and the nation’s electric utilities have wagered $100 billion that it is the “fuel of the new millennium.” But what if they are wrong? Was this winter’s crisis a passing anomaly, or the tip of an iceberg? This Natural Gas Primer examines the past, present, and future of our most versatile fuel.
Randy Udall, Steve Andrews, CORE, May 18, 2001... pamphlet

The George Bush energy plan is bad smoke
May 18, 2001
In California, Gov. Gray Davis (D) accused the administration of "turning a blind eye to the bleeding and hemorrhaging that exists in this state." He excoriated Bush for refusing to cap wholesale energy prices. "We are literally in a war with energy companies, many of which reside in Texas," Davis said. (Ed. and one in BC?)
From the Washington Post
White House Outlines New Energy Policy, May 16, 2001... article
Bush Places His Bet on Energy Industry, May 17, 2001... article
Misinformation and Scare Tactics, Jimmy Carter, May 17, 2001... article
Former President Carter says "No energy crisis exists now .... Exaggerated claims seem designed to promote some long-frustrated ambitions of the oil industry at the expense of environmental quality."
Bush Orders Quicker Power Plant Approvals, May 18, 2001... article
Critics of the plans appear from some unexpected corners
The Full Policy ... PDF
Highlights ... article

B.C power production threatened
May 16, 2001
A severe water shortage in British Columbia is threatening hydro power production
Globe and Mail, May 16, 2001... article

Actually, a water shortage is revealing management problems in BC Hydro.  In January, BC Hydro assured British Columbians that they were NOT overselling domestic hydro capacity for quick bucks from California. Now, it appears that greed got the upper hand - BC is short of water, California customers have defaulted on up to $300 million worth of electricity debt to Hydro, and Hydro is saying they've created a crisis.

Calpine to Acquire Power Plants From Westcoast Energy
May 15, 2001
Calpine will acquire Island Cogeneration in Campbell River, from Westcoast Energy. Calpine is also BC Hydro's partner in the proposed Port Alberni Generation Project. Calpine is also 80% owner of Sumas Energy 1, and bills itself as the nation's leading power producer.
Excite news, May 15, 2001... article
Vancouver Sun, May 16, 2001... article

Question: whatever happened to the deal that Westcoast Energy announced in September 2000 that they were selling ICP to Trans Canada Power (parent Trans Canada Pipelines)? release

Squeezing safety into pipelines
May 14, 2001
A section of 16-inch pipeline near Renton ruptured under the force of a high-pressure test conducted by the owner, Olympic Pipe Line Company. As odd as it sounds, hooray for Olympic. Better to have 4,000 gallons of tainted water gushing through yards, than the lethal alternative.
Editorial, Seattle Times, May 14, 2001... more

Note that Williams, Hydro's partner in the GSX pipeline project, has the worst inspection and testing record in this recent Washington State report

Liberals' power plays
May 14, 2001
DEREGULATION AFOOT: A labour leader warns that if Liberals tamper with B.C. Hydro, British Columbians will pay higher prices.
Jim Sinclair, Vancouver Sun, May 14, 2001... more

Calling the tune for Sumas Energy 2
May 13, 2001
check out who's the lead lobbyist for the Sumas plant in B.C.: None other than the president of the West Vancouver Liberal riding association and a member of the party's provincial council! He was hired by National Energy Systems Co. of Kirkland, Wash. (NESCO) to grease the rails for Sumas in British Columbia. There's more...
Michael Smyth, The Province, 14 Sept ,2000... more
The GSX top five energy donors ... more
BC Fed Liberal Donor page ... more

FERC issues May 25 intervenor deadline in GSX review
May 10, 2001
Persons who desire to register as intervenors must do so by May 25, as required in FERC's Notice Of Application. Parties wishing to submit comments or opinions to the Commission should do so as soon as possible.
Bellingham Herald, May 8, 2001 ... article
FERC Document 2149106, May 4, 2001 ... notice
FERC RIMS (Document System) ... website
GSX material is filed under Dockets CP01-176/177/178/179.
WARNING! FERC websites are often not available, or are slooowwww.
FERC Home Page ... website

Experts Pessimistic about Long-Term Supply from Canada
May 10, 2001
Producers and analysts sent up red flags yesterday at GasMart/Power 2001 in Tampa, FL, about future gas supply potential north of the border. Currently known resources appear to be inadequate and at the current rate of production would be depleted in little more than a decade. Furthermore, the common belief that new sources of supply will be adequate to replace rapidly depleting reserves may be mistaken, the experts said
NGI Intelligence, May 10, 2001 ... article

BC Hydro's pipeline proposal damages environment and economy
May 10, 2001
British Columbia's political leaders must order BC Hydro to back off its plan to build two new gas plants on Vancouver Island supplied by a pipeline across the Georgia Straight, said the David Suzuki Foundation.
David Suzuki Foundation, News Release, April 25, 2001 ... article

Port Alberni planners reject Hydro plant
May 4, 2001
The city's advisory planning commission has rejected B.C. Hydro's plan to locate a natural gas-burning electrical generator on Tebo Avenue They are joining the Alberni Chamber of Commerce, and the Alberni-Clayoquot Regional District (see) in rejecting the highly-visible, in-town siting for the proposed plant.
Times-Colonist, May 4, 2001 ... article

Williams pays $8 million for price manipulation
May 1, 2001
The Federal Energy Regulatory Commission accepted the settlement in which Williams Cos., of Tulsa, Okla., will refund the state's grid operator $8 million for power sold at more than 10 times what it otherwise would have cost.
Kate Berry, Orange County Register ... more
FERC Investigation ... pdf
Williams history of pipeline inspection and testing in Washington State is the worst reported with 17% of their pipe inspected and only 11% tested, compared to the 100% record of other operators.
Washington State Pipeline Inspection and Integrity Review ... report
BC Hydro's subsidiary Powerex was investigated for electricity price fixing in Alberta, but no charges were laid.
Edmonton Journal ... more
Competition Bureau decision ... release
Calpine, BC Hydro's partner in Port Alberni Generation Project, resorts to questionable promotional tactics for their power projects
Integrity and Advertising, SqWALK! ... more
The Company You Keep, SqWALK! ... more

Pipeline Moratorium on GSX route in Whatcom County
May 2, 2001
The Whatcom County Council voted Tuesday to continue a moratorium on applications for any new natural gas or petroleum transmission pipelines until it writes rules dictating where such lines can go
Ericka Pizzillo, The Bellingham Herald ... more
And just in case you were being lulled by an absence of news, into a false impression that pipelines in your backyard are safe... 
Gas Odor Missing Before Explosion, Albuquerque Journal ...
more
Gas line explosion sends flames hundreds of feet high ... more

Dick and Dubya: dim lights in Washington
May 2, 2001
Committing America to unabated consumption of fossil fuels, and laying out a plan for military threat to those who interfere with the agenda, vice president Dick Cheney and president George Bush deal one-two blows to the world's progressive forces. Hope fades that mankind might ease up a bit on our abused earth.
What Cheney said ... more
CBC webposting report ... more
Energy Amnesia, Marjorie Williams, Washington Post, May 2, 2001
his words are sleight-of-hand, clever distractions from the truth that no one, least of all the Bush administration, is talking about conservation ... article
What Bush said, Washington Post ... more
New Era Not Here Yet, Washington Post ... more

Another Dick in the White House
May 2, 2001

Laying out a framework for a national energy plan this week, Vice President Cheney touted increased domestic oil drilling in wildlife reserves, an expanded natural gas network, more coal and more nuclear power as paths toward keeping energy prices in check and supplies abundant. Uh-huh. Fortune Magazine tells the story in a different way...
The Skinny, from the brilliant Every Other Weekly ...more
Reduced to hustling energy from ... a third world economy? (ed. that's BC he's referring to, folks) ...more
Every Other Weekly ...website

Exploring the Future of Offshore Oil and Gas
Development in BC: Lessons from the Atlantic
May 2, 2001
2.5 billion barrels of oil and 565 billion cubic meters of natural gas. The commercial value of all the fossil fuel would fill up more than a few of Scrooge McDuck's banks. If it were all burned, it would release 2 billion metric tonnes of greenhouse gases to the atmosphere - approximately equivalent to one year of US greenhouse gases generated from fossil fuels. Informative presentations.
SFU Studies in Science ...website
Paul Scott (CEAA) and others on environmental impacts ...pdf
Michael Whiticar (UVic) on climate change implications ...pdf

Those who pay the piper...
Apr 27, 2001
An impressive amount of money has been given to the BC Liberal Party by the energy sector. Five of the top ten donors are companies with an interest in the GSX pipeline.
The GSX top five ... more
BC Fed Liberal Donor page ... more

Pipeline's cost skyrockets: Natural-gas project's price tag estimated at $260 million
Apr 26, 2001
The cost of the Georgia Strait Crossing, the proposed natural gas pipeline
to Vancouver Island from Washington state, has ballooned to $260 million
from earlier estimates of $180 million.

Malcolm Curtis, Times Colonist ... more

Regional District recommends against PAGP rezoning
Apr 26, 2001
At a regular meeting on April 26 the directors of the Alberni Clayoquot Regional District passed a motion to recommend against rezoning the planned site for the PAGP. This is a significant event that will send a strong message to the city and BC HYDRO that this project is not supported by the surrounding communities. This recommendation echoes the Alberni Chamber of Commerce which has also recommended against the project at the current site.
Keith Wyton ... more

Bellingham Herald reports on GSX Application to FERC
Apr 25, 2001
Developers of the $159 million natural gas pipeline that would run through north Whatcom County and parts of Canada filed an application Tuesday with the Federal Energy Regulatory Commission. ...the 84-mile natural gas pipeline would be a spur off the current Williams Pipeline, which runs from Canada south through Sumas to New Mexico.
Ericka Pizzillo, The Bellingham Herald ... more
Oil & Gas Journal ... more

GSX Pipeline Project applications filed April 24, 2001
BC Hydro has applied to the NEB for the Canadian portion of the pipeline and Williams has applied to FERC for the US portion. No documents were available on the filing date, but will eventually be placed in local libraries along the GSX route, as well as available online. An online documentation site is promised, but may require authorization to access.  The total cost for the project is now estimated at $260 million, up $80 million from last year's estimate of $180 million. Very little information is available as of the filing date.
GSX website ... www.georgiastrait.twc.com
GSX documentation website ... www.gsxreg.com(not ready yet)
BC Hydro ... www.bchydro.com
Williams ... www.williams.com
NEB ... www.neb.gc.ca 
FERC ... www.ferc.fed.us

Burrard Thermal: its essential role in provincial budgets
Apr 24, 2001
This document demonstrates how essential electricity generation is for the provincial treasury, and how strategic Burrard Thermal and proposed natural gas generation plants have become, not for electricity, per se, but for cash. Projections are that Burrard Thermal will put up to a billion dollars a year into the treasury.
Summary ...more
Full report ...download
Environment Minister says Burrard Thermal should be shut down ...more

EFSEC again recommends rejection of the Sumas Energy 2 project, with a caveat
Mar 30, 2001
For the second time EFSEC is recommending that Governor Locke deny the proponent permission to build SE2, a 660 MW generation plant, in Sumas. But, EFSEC has also given NESCO until April 27, 2001 to submit a revised application for consideration. The project as revised would not use diesel backup, would include substantion greenhouse gas offset purchases, and would require long- term electricity supply contracts within the Pacific Northwest.
Press release at EFSEC site... more
Full text of EFSEC report (PDF)... download
SE2-GASP.ORG for more information, and what you can do about SE2... link

Hydro forecasts big drop in profits
Mar 10, 2001
A record low snowpack in B.C. and a growing energy crisis in California will slash B.C. Hydro's profits and could even leave it in the red, the Crown corporation says.
Chris Nuttall-Smith in the Vancouver SUN ...more

It is time to replace the board and management of BC Hydro. They have risked everything for revenue and profit, and have placed BC's economy in severe jeopardy. It is time to return Hydro to its single most important task - providing reliable, reasonably priced electricity, to the citizens of British Columbia.

Canada's trade position: Don't mess with us
Mar 8, 2001
A Canadian strategy is emerging in a looming trade war with the United States: Block free trade in lumber and we'll turn off your lights.
Rod Nutt and James Baxter in the Vancouver SUN ...more

Sqwalk's view is that this is a dangerous game, tying one commodity to another. Particularly with energy, it could result in concessions on softwood that secure Canadian gas and electricity for the USA. Leaving Canadians with no trees and no lights either.

BC Hydro and natural gas: Fast ferries II?
Mar 7, 2001
As master of BC Hydro, the government needs avoid Fast Ferries II. It should make BC Hydro stop now and engage British Columbians in an open process to assess our electricity options.
Mark Jaccard in the Vancouver SUN ...more

It is delightful to have Dr. Jaccard join the chorus of voices calling for an energy review. As chairman of the 1998 Task Force on Electricity Market Reform which recommended changes that would result in a "significant increase in the use of natural gas", it is encouraging that he wants to revisit those decisions. Now, if only BC Hydro and/or the provincial government could admit that recent changes warrant a review.

Wind power costs rival conventional technologies
Mar 7, 2001
Wind energy has gained acceptance in the USA. Costs are in line with competing technologies. Bonneville Power Authority is building 1000 MW wind capacity in Washington State. The Seattle Times article is a good intro to the subject.
American Wind Energy Association ...www.awea.org
Cost comparison factsheet ...download pdf
Bonneville officials planning huge windpower buy ...Seattle Times article

Magnitude 6.8 earthquake near Olympia, WA, Wed, Feb 28, 10:55 AM
Feb 28, 2001
This event was felt as far away as Kelowna, Penticton, the Kootenays, Portland, Oregon, and Victoria. There have been reports of significant damage in the Puget sound area and other reports of damage in Sidney and Langley.
GSC Pacific Geoscience Center
USGS National Earthquake Center

EFSEC says NO to SE2
Feb 16, 2001
EFSEC determined that the analysis of environmental impacts and Sumas Energy 2 Inc.’s proposals for mitigation were insufficient to address the environmental impacts of the facility, especially air quality impacts in the Lower Fraser River Valley, greenhouse gas emissions, oil tanker truck traffic impacts, water quality and quantity impacts at local wells, and risk of increased flood hazard.
The News Release
Order 754
SE2-GASP Website

Thermal plant should close, minister says
Feb 2, 2001
B.C. Hydro's Burrard Thermal plant should be shut down rather than being used to produce power for California, Environment Minister Ian Waddell said
Craig McInnes and Larry Pynn in Vancouver SUN ...more

U.S. utility that owes B.C. Hydro to pay 15 cents on the dollar
Feb 2, 2001
California defaults on hundreds of millions of dollars owed to BC.   Hydro Chairman Brian Smith won't return calls; BC Premier Ujjal Dosanjh won't comment.
Chris Nuttall-Smith in Vancouver SUN ...more

Power blackouts leave California looking like it's in the Third World
Feb 1, 2001
It raises the question of whether the sum of B.C. greedy for money plus California greedy for power will equal some dreadful public power policy.
Daphne Bramham in Vancouver SUN ...more

Electricity price crisis haunts B.C. Hydro
Jan 31, 2001
The bad news is that soaring gas prices have caused a lot of consternation in British Columbia. The worse news is that electricity costs could well be next.
Vancouver SUN editorial ...more
Letter in response

How Close Is Clean Energy?
Feb 2001
The world is heading into a huge energy crisis - or might that be a transformation?
Guy Dauncey in ECONEWS ...more

Natural-Gas Producers Report A Continuing Decline in Output
Jan 31, 2001
production continues to decline, suggesting that today's high prices won't be falling significantly anytime soon
Chip Cummins in Wall Street Journal ...more

Global warming could be worst in 10,000 years
Jan 25, 2001
Scientists predict extreme climate change as Earth heats up from fossil fuel burning
Tim Radford and Paul Brown in The Guardian Weekly ...more

Electricity rates could soar
Jan 27, 2001
There's a growing concern among B.C. energy experts that domestic ratepayers could be held up for ransom within the next few years. They could be forced to pay very high prices for electricity that will need to be imported, or will be produced domestically from generation plants fed by highly priced natural gas.
Brian Lewis warns the people of BC that we could be headed for trouble ....more

Through The Roof
Jan 25, 2001
B.C. has an abundance of natural gas.  So why do we pay so much for it?  Stuart Hertzog investigates natural gas markets, and the implications for BC energy policy under a Liberal government ....more

US energy initiatives threaten price and supply of electricity in BC
Jan 23, 2001
BC Hydro would no longer have exclusive use of its major assets, but would have to allow private, foreign providers access to them.  Marjorie Griffin Cohen argues that the BC and federal government need to protect citizens and industries from US-style deregulation ....more

California resident threatens BC Jan 23, 2001
BC has a moral duty to NOT charge California whatever the market will bear for electricity. And if we don't stop our gouging, we're going to pay in other ways. ....more

Energy in the New Economy: The Limits to Growth Jan 8, 2000
North American natural gas has no excess capacity. It disappeared several years ago. The electricity business has also run out of almost all existing generating capacity.... Orders for a massive number of natural gas-fired plants have already been placed. But these new gas plants require an unbelievable amount of natural gas. This ... supply is simply not there. ....more

Stormy weather but no sign of a thaw in frozen attitudes Jan 8, 2000
What will historians say about the year 2000? They will see only one question of consequence: this year global warming became an incontrovertible fact, visible to all citizens and yet the west did nothing. The Guardian Weekly ....more

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