The government of Nova Scotia has approved amendments to its natural gas plant regulations, which establish standards for the design, construction and operation of liquefied natural gas (LNG) terminals. The rules took effect July 8 and will affect two proposed LNG facilities in Nova Scotia.

“In addition to requiring rigorous measures to protect public safety, these regulations provide certainty and clarity for LNG facility developers,” said Energy Minister Cecil Clarke. “That’s important for this emerging component of our energy sector.”

The province currently has two LNG terminal proposals on the board. Anadarko Canada Ltd. is developing an LNG facility in Bear Head, NS, which is scheduled for start-up in 2008 (see Daily GPI, July 1). Also, Keltic Petrochemicals has proposed construction of a combined LNG and petrochemical plant for Goldboro, NS (see Daily GPI, June 7).

The revised regulations establish a code of practice for LNG plants based on a Canadian Standards Association standard. However, the revised rules require more conservative design and operation standards in situations where the government thinks it is warranted. Nova Scotia’s Department of Energy received advice on the regulations from an independent consultant and released the draft regulations for public consultation.

The Nova Scotia Utility and Review Board will administer the regulations, and expects to recover the costs for the regulations from LNG operators.

©Copyright 2005Intelligence Press Inc. All rights reserved. The preceding news reportmay not be republished or redistributed, in whole or in part, in anyform, without prior written consent of Intelligence Press, Inc.