The British Columbia Natural Gas Market

This study reviews the historical background surrounding the exploitation of natural gas in B.C., together with recent institutional developments in B.C. which will influence the future development of the natural gas industry. It provides a brief overview of the North American regional gas model and modifications made for this study It also includes a discussion of the limitations of the model results. Finally, it presents and discusses the model results and provides recommendations.

"This EMA [Energy Market Assessment] provides information on the undiscovered conventional gas resources remaining in the B.C. portion of the Western Canada Sedimentary Basin and also qualitatively discusses the gas potential that may be present in other areas of B.C. and the potential for additonal quantities of unconventional gas that could be present in the province."--Page vi-vii.

Excess productive capacity has gradually decreased in the natural gas market. This report provides information and the Board's observations on these changed conditions and then looks ahead to examine the prospects for gas supply over the period 1993 to 1996. The analysis and outlook are directed to both peak day and annual gas supply. A historical review of gas supply over 10 years is provided, including observations on the excess of deliverability over production, changes in remaining reserves, the trend in reserves-to-production ratios, trends in production, connection rates, gas storage, the response of Alberta supply in peak demand periods and recent developments. The Baord's methodology for estimating productive capacity is described and the results of the Board's analysis of Western Canada's productive capacity are presented and compared with other deliverability studies. A summary of the current and anticipated pipeline capacity in the producing provinces is presented and estimates for productive capacity are compared with pipeline capacity. Observations on factors influencing the interpretation of results conclude the document.