Contact/NGC Agree Gas Transmission Contract

Published: Mon 21 Jun 1999 09:15 AM
Contact Energy has confirmed it has dropped its plans to build a major gas pipeline to Auckland for its Otahuhu power station and will continue to use Natural Gas Corporation's transmission pipeline system for gas deliveries for at least the next 10 years under a new commercial agreement announced by the two companies today.
Contact Energy had proposed to construct a separate pipeline between Rotowaro (near Huntly) and its Otahuhu Power Station.
Contact Energy Managing Director, Mr Paul Anthony, said today Contact was pleased new commercial arrangements for gas transportation services to the Otahuhu Power Station had been concluded. The competitive terms offered by NGC for transportation services to this facility means Contact will continue to use the existing NGC pipeline for gas transmission into the Auckland area for the next decade at least, removing the need to commit resources to the construction of a parallel pipeline in the immediate term.
NGC Chief Executive Officer, Mr Richard Bentley, said he was pleased NGC had been able to retain Contact Energy as a major customer of its gas transportation services between Rotowaro and Auckland.
Transmission services pricing was related in part to total gas volumes transported throughout the system and, by securing Contact's gas transportation load for at least another 10 years, NGC had ensured that all users of the NGC transmission system would gain benefits that would not be available if Contact had proceeded to build a bypass pipeline.

Next in Business, Science, and Tech

Resist rushing to new “deepfake” law, study finds
By: The New Zealand Law Foundation
Addition of Huawei and affiliates to the Entity List 16/5/19
By: US Department of Commerce
UPDATE: Auckland house price deflation accelerates
By: Greater Wellington Regional Council
Pre-Budget speech to the Wellington Chamber of Commerce
By: New Zealand Government
Deepfake and the law - Expert Reaction
By: Science Media Centre
Huawei on US Executive Order, Commerce Dept Decision
By: Huawei
ComCom says 5G build excluding Huawei could cost more
By: BusinessDesk
REINZ stats: Will the OCR impact Auckland’s median price ‘Gr
Toughing it out in April
By: Kiwibank
Supporting working women with pay equity: next steps
By: New Zealand Government
Removal of fees and a stronger NCEA
By: New Zealand Government
More than 1,000 homeless to be housed through Budget 2019
By: New Zealand Government
Government invests in clean energy centre
By: New Zealand Government
Wellbeing changes all talk
By: New Zealand National Party
View as: DESKTOP | MOBILEWe're in BETA! Send Feedback © Scoop Media