B.C. to up support for utilities’ investment in LNG fueling

The government of British Columbia is looking to support investments by natural gas utilities to increase the use of LNG in the transportation, marine and other sectors and reduce greenhouse gas (GHG) emissions.

“We’re working with utilities to stimulate the use of LNG as a marine fuel in large, ocean-going ships, and to increase the supply and use of renewable natural gas,” said energy and mines minister Bill Bennett.

He added that the reduction of GHG emissions can be achieved by building the market for the province’s abundant supplies of natural gas.

Amendments to the Greenhouse Gas Reduction Regulation (GGRR) under the Clean Energy Act will enable utilities to increase incentives provided to shipping companies for the conversion of vessels to run on LNG, invest in LNG bunkering infrastructure, and increase the supply and use of renewable natural gas (RNG), a statement by the ministry of energy and mines shows.

Converting just one ocean-going tanker, cruise ship, or container ship to run on LNG instead of heavy fuel oil will reduce GHG emissions by about 93,500 tons per year, equivalent to taking over 19,800 vehicles off the road.

Utility investments in LNG fueling infrastructure will help establish B.C. as a marine bunkering centre on the west coast capable of providing LNG to an increasing number of LNG vessels and leading to global reductions in GHG emissions, the ministry said.

Since its introduction in 2012, the incentive programs under the GGRR have resulted in commitments for more than 600 natural gas vehicles and vessels.

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