VANCOUVER, B.C. — Pacific Northern Gas Ltd. (PNG) has received the green light to establish a low-carbon energy program.
The British Columbia Utilities Commission (BCUC) approved the low-carbon energy program on Friday to reduce the company and its customers’ greenhouse gas emissions.
The low-carbon energy program includes a voluntary smart energy program that offers PNG’s residential, commercial, and industrial natural gas customers to receive a blend of renewable natural gas with their natural gas supply.
Customers in the smart energy program will reportedly receive a carbon tax credit based on the amount of renewable natural gas purchased.
For customers who opt-in to the smart energy program, the approved commodity charge is currently at $27.50 per gigajoule, reflecting PNG’s total estimated cost to provide renewable natural gas.
According to the BCUC, the utility company may use a portion of its renewable natural gas supply to reduce its own greenhouse gas emissions.
PNG may also sell some of the renewable natural gas to those outside the smart energy program to reduce customer costs.
The BCUC also approved PNG to recover costs for the low-carbon energy program, including the costs required to acquire the renewable natural gas supply from all PNG customers through a rate rider currently set at $0 per gigajoule.
PNG was directed to complete several tasks, such as including Tumbler Ridge customers in the low carbon energy program, reporting yearly on the cost of the smart energy program incentives and providing an analysis of both programs to BCUC by June 30th, 2026.
More information on the PNG low carbon energy cost recovery mechanism and more can be found on the BCUC’s website.
