TransCanada received NEB approval on Feb. 9, 2007 to integrate the B.C. System with Foothills Zone 8.

“Integration of the pipeline assets into the Foothills System will eliminate some administrative functions specifically related to the B.C. System and save upwards of $1 million annually,” says Wendy West, manager, Commercial West - Collaboration. “Instead of maintaining two sets of financial records and filing separate taxes and regulatory applications, we will be able to consolidate those functions and reduce our costs. A portion of the savings will be passed on to shippers, so this is a win-win situation for TransCanada and our customers.”

In support of the integration, Foothills and the Canadian Association of Petroleum Producers signed an amendment to the existing Foothills General & Administration Settlement which increases TransCanada’s share of incentive savings from $45 million to $48.5 million over the course of the 13-year agreement that was originally signed in 2003. The agreement also received the support of Pacific Gas and Electric Company, Terasen and the Export Users Group.
 
Foothills Zone 8 and the B.C. system extends 170 km from Alberta’s western border through B.C. and connects with TransCanada’s GTN System at Kingsgate B.C. They serve markets in B.C. as well as the Pacific Northwest, California and Nevada. The transfer of the B.C. System assets to Foothills Zone 8 is targeted for April 1, 2007.

For more information, contact Wendy directly at 403.920.7162.