Canada’s National Energy Board (NEB) said in a new report that it plans to coordinate with other providers of Canadian energy data, including possibly partnering with Statistics Canada, Canadian associations and end-users, to provide more detailed and timely information on the natural gas market.

About 90 gas industry participants during eight recent roundtable meetings held by the NEB urged the agency to help facilitate better access to integrated gas market information and analysis through a central repository. They also encouraged regulators to eliminate duplications, streamline the regulatory process and make operations more efficient because of difficult gas market conditions, which are expected to continue through the end of the decade.

The NEB’s latest energy market assessment report titled “Looking Ahead to 2010 — Natural Gas Markets in Transition,” summarizes the feedback and recommendations the board received from the meetings as well as detailed specific actions the board will take in response to the recommendations.

Roundtable participants, including other government agencies, local distribution companies, pipelines, producers, consumers, and environmental groups, cited lags and gaps in current energy market information and areas where the NEB and other agencies could assist in bridging these gaps. Specifically, most participants cited a lack of information on demand and fuel switching, information that would be useful in understanding the dynamics and trends in the Canadian gas market.

“The board appreciates the contribution of roundtable participants in our discussions on the natural gas market until 2010,” said NEB Chairman Ken Vollman. “While we may not endorse all the views and suggestions made by participants, we have identified areas within our mandate where we are prepared to take specific actions or partner with others if there is broad support for their implementation.”

The agency said it intends to “play an active role to improve the provision of Canadian energy information” by working or even partnering with other energy data providers to ensure more timely information and to work toward providing information “through a single window or point of access.”

It also plans to provide in-depth analysis on the following topics: the issues and costs associated with energy alternatives to natural gas; alternative methods of power generation, including clean coal, wind power and methane from municipal waste; and emerging sources of new gas supply, such as liquefied natural gas (LNG) and unconventional gas.

These actions follow a challenging market assessment provided by the roundtable participants, who “widely agreed” that the balance between gas supply and demand will remain tight through the rest of this decade.

Canadian gas production is expected to remain flat at about 17 Bcf/d while conventional production declines are offset by unconventional supplies such as coalbed methane. Northern gas from the Mackenzie Delta is not expected to begin flowing until near the end of the decade while LNG imports are expected to be limited. As a result, gas futures prices are expected to remain in the US$4-6/MMBtu range if crude oil remains in the $24-35/bbl range.

Participants agreed that adjustments in demand will remain necessary to achieve a balance with supply and to deal with high prices. Other key themes for action identified by roundtable participants included a continued emphasis on market forces and pricing, a request to minimize unnecessary barriers to supply development, the need to address the challenges of growing demand, and the desire for timely, objective and high quality information on all energy matters.

©Copyright 2004 Intelligence Press Inc. Allrights reserved. The preceding news report may not be republishedor redistributed, in whole or in part, in any form, without priorwritten consent of Intelligence Press, Inc.