Spectra Energy Receives Regulatory Approval for Two-year Transmission Toll Settlement in Western Canada
CALGARY, April 2, 2014 /CNW/ - Spectra Energy Corp (NYSE: SE) today announced that it has received approval from the National Energy Board (NEB) for a new two-year negotiated toll settlement that defines the economic factors and provisions for establishing tolls, and maintains service standards for its British Columbia (B.C.) Pipeline.
"We are very pleased to reach a win-win settlement with our customers that will provide a stable and predictable process for establishing pipeline tolls for the next two years," said Mark Fiedorek, President of Spectra Energy Transmission West. "Our successful track record of working together with our producers and downstream customers to negotiate tolls demonstrates our joint commitment to ensuring B.C.'s natural gas resources continue to reach both new and existing energy markets."
The settlement governs Spectra Energy's mainline transmission tolls for services offered through its Zone 3 (Transmission North) and Zone 4 (Transmission South) BC Pipeline facilities located in British Columbia and Alberta for the period commencing January 1, 2014 through December 31, 2015. The rate of return on common equity is fixed for toll making purposes at 10.1 percent on a 40 percent common equity ratio for the term of the settlement, and is consistent with Spectra Energy's financial plan presented in February 2014.
Spectra Energy's BC Pipeline facilities comprise the main natural gas transmission pipeline system in British Columbia which has the capacity to transport over 2.9 billion cubic feet per day of natural gas.
Spectra Energy Corp (NYSE: SE), a FORTUNE 500 company, is one of North America's leading pipeline and midstream companies. Based in Houston, Texas, the company's operations in the United States and Canada include more than 22,000 miles of natural gas, natural gas liquids, and crude oil pipelines; approximately 305 billion cubic feet (Bcf) of natural gas storage; 4.8 million barrels of crude oil storage; as well as natural gas gathering, processing, and local distribution operations. Spectra Energy is the general partner of Spectra Energy Partners (NYSE: SEP), one of the largest pipeline master limited partnerships in the United States and owner of the natural gas, liquids, and crude oil assets in Spectra Energy's U.S. portfolio. Spectra Energy also has a 50 percent ownership in DCP Midstream, the largest producer of natural gas liquids and the largest natural gas processor in the United States. Spectra Energy has served North American customers and communities for more than a century. The company's longstanding values are recognized through its inclusion in the Dow Jones Sustainability World and North America Indexes and the CDP Global 500 and S&P 500 Climate Disclosure and Performance Leadership Indexes.
SOURCE Spectra Energy Corp.
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