FREDERICTON (GNB) – Legislation was introduced today which would end Enbridge Gas New Brunswick’s $800-million lawsuits against the provincial government.
An Act to Amend the Gas Distribution Act, 1999, reflects an agreement between the government and Enbridge to end the legal action, improve the regulatory framework and renew a positive working relationship.
“This legislation removes the liability risk of more than $800 million from New Brunswick taxpayers,” said Energy and Resource Development Minister Rick Doucet. “It also gives the Energy and Utilities Board the power to protect customers from large rate increases, and provides Enbridge with more certainty and an incentive to invest in infrastructure.”
An important component of the legislation, said Doucet, is that the agreement was reached without any taxpayer money changing hands.
The legislation is required to amend changes to the Gas Distribution Act, 1999 made in 2012, which altered the terms of Enbridge’s original general franchise agreement with the government, leading to the lawsuits.
“Today marks a reset of the relationship between Enbridge and the provincial government,” said Doucet. “I am proud of the work done by our government and its legal team in reaching an agreement that is in the best interests of ratepayers, taxpayers, the government and Enbridge.”
The provincial government also tabled the settlement agreement and the general franchise agreement in the legislature.
08-11-16