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Consultant pitches pipeline to city
Council hears idea proponent says could save money and greenhouse gas emissions

Evan Kiyoshi French
Northern News Services
Friday, March 13, 2015

SOMBA K'E/YELLOWKNIFE
Fort Providence consultant Richard Lafferty brought forth his idea for a natural gas pipeline to city council earlier this month, saying it could save money and cut down on greenhouse gasses.

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Fort Providence consultant Richard Lafferty wants to bring a pipeline to the NWT connecting the territory to the pan-continental natural gas market. - Evan Kiyoshi French/NNSL photo

Lafferty attended a municipal services committee meeting to tell council about his 13-year-old plan to connect the territory to the North American natural gas network at Bistcho Lake in northern Alberta, and seek funding.

Using natural gas could save millions of dollars, he said. Diesel isn't as efficient, said Lafferty, because a third of the energy is expelled up the chimney as emissions, while another third is lost as heat out of the power lines.

"With the average cost (of diesel) in the NWT of $1.50 a litre, you're talking $42.75 for a gigajoule of diesel fuel, versus two dollars $2.71 for a gigajoule of natural gas," said Lafferty.

According to Remi Gervais, community energy management specialist for the city, the city burns 976,600 gigajoules of diesel a year for space heating.

Lafferty said for around $227 million he'd connect Fort Smith, Fort Resolution, Hay River, Fort Providence, Behchoko, Yellowknife, plus the diamond mines northeast of Yellowknife to the pan-continental natural gas network through a six-inch diameter flexible pipe.

Lafferty was asking council to fund at least a portion of the initial engineering and design work.

"If we got $10 million that would be adequate," he said.

Lafferty said he's gleaned a figure from media reports stating that Canada has one third of the world's natural gas and a third of that is in the GNWT.

Coun. Dan Wong asked Lafferty if the globe can handle burning what could be one sixth of the world's natural gas.

"Do you think that's something the world can sustain in the late stage of the game we are at with climate change?" he said.

Lafferty said the system would be a bridge to greener concepts – solar or wind turbine power.

"If the system only lasts 50 years and we come up with a better concept, shut it down," he said. "It'll be paid for in five to 10 years."

Coun. Adrian Bell said council needs to know if this project is going to be approved by the GNWT before council agrees to spending tax dollars.

Lafferty said he was speaking with the GNWT as a partner before devolution made the territorial government a regulator. Now he said he's viewing the GNWT as a client and is pitching the idea based on cost savings.

"We'd be saving hundreds of millions of dollars on an annual basis," he said. "An investment would … (reduce) the cost of living with the cleanest fuel on the planet."

Coun. Cory Vanthuyne asked what has stopped Lafferty from selling his idea to large energy companies.

Lafferty explained big companies aren't interested in such a small population.

"They don't have time for us," he said. "It's just a burden and a nuisance to them. I'm from here and I want this to be operated by us."

Lafferty said he and his associates – engineers Pat Agnew and Ian Morris who have 55 years of engineering experience between them – would eventually sell 40 per cent ownership of the pipeline to developing corporations in the territory, assuming they agree to become partners.

"I don't believe anybody on the planet would challenge the First Nations in developing and installing an infrastructure project."

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