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Searching for an alternative fuel
Clock ticking on Norman Wells' gas supply; residents looking for any available option

Nathalie Heiberg-Harrison
Northern News Services
Published Monday, January 16, 2012

LLI GOLINE/NORMAN WELLS
Imperial Oil will cut Norman Wells' natural gas supply by 2014, and the community is looking at every possible alternative to keep the town running.

"It's kind of a catch-22 here," said Mayor Dudley Johnson.

"If I had five to seven years to deal with this problem, I would have had a green solution by now, but because I'm under the gun I've been forced to look at options I don't really want to look at, like diesel."

The Town of Norman Wells was first notified of the deadline by Imperial Oil in 2010, according to the company, and both parties signed a termination agreement in late 2011 that cuts off gas to residential buildings in July 2013 and commercial buildings in July 2014.

The reason for the termination, according to the company, is declining reserves in the Norman Wells reservoir.

The town has since brought a consultant into the community to look at all possible alternative energy forms, and is now looking to hire a project manager who will work with the town manager, town staff, residents, businesses, Imperial Oil, the Northwest Territories Power Corporation, the Northwest Territories Housing Corporation, the GNWT and the federal government to help with the transition.

"It's been a bit of a confusing time in that everyone was waiting to see what route we're going to go," Johnson said.

The GNWT has already decided to switch to diesel with their buildings, according to the mayor, and some residents have had wood pellet stoves installed at their residences.

The town has yet to decide whether they will go the same route, or opt for propane, biomass or another form of fuel.

One major roadblock with an alternative, according to Johnson, is cost.

"We don't have an all-weather road and the cost of shipping in wood pellets or propane is high," he said.

Johnson estimates it would cost $16,000 to $20,000 per household to convert to diesel fuel, putting the total cost between $3.3 million and $4.1 million for residential units.

Converting businesses would cost an additional $1.2 million to $1.5 million.

"The cost of diesel is going to be exorbitant," he said. "My main goal is to find a viable alternative energy source so that we can survive until the (Mackenzie Valley Pipeline) comes."

Local business owners and technicians have also started looking for solutions, and in August 2011 formed the Norman Wells Alternative Energy Committee.

From Jan. 9 to 12 the group met with Nexx Energy, a company they recruited to develop an alternative energy strategy for the town.

The committee could not be reached for comment by press deadline.

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