Steve Baker, the President of Union Gas Limited, has made the case that in order to efficiently reduce greenhouse gas emissions, Ontario needs to take full advantage of natural gas.
Speaking to the Ontario Energy Network on April 13, Mr. Baker presented both general and specific reasons that his company foresees a broader role for natural gas, as Ontario becomes a lower-carbon economy. For example, the transportation sector is the province’s largest single remaining GHG emitting sector, and converting heavy-duty trucks to natural gas would make an important contribution to emission-reduction targets. Incorporating renewable natural gas, harvested from the province’s landfills, wastewater treatment plants, and farms, is a great opportunity to capture methane and “green” the existing natural gas system, he said. Natural gas will also be critical in continuing to support the growing amount of intermittent renewable sources of power such as solar and wind.
In addition to offering immediate opportunities for emissions reductions, Mr. Baker pointed out that natural gas also has economic benefits. Natural gas in North America is very competitively priced, he reminded the audience. In fact, both current and expected costs for natural gas in North America are among the lowest anywhere in the world, he said. In addition, the province benefits from having built excellent distribution and storage infrastructure for natural gas.
Mr. Baker stressed that it’s important to remember that Ontario’s phase-out of coal fired power generation – probably the largest single emission reduction initiative in North America -- was a major step forward, and was possible largely because of natural gas and increased productivity from Ontario’s nuclear fleet. This is probably the largest single emission reduction initiative in North America. It represents a major step forward in terms of cleaner air and Ontario does not always get the credit it deserves for this ambitious initiative. New gas-fired power generation capacity compensated for the loss of key reliability capabilities previously provided primarily by coal and then provided the quick response flexibility to manage the intermittent nature of new renewable generation as it came on line.
A successful energy strategy depends on achieving balance between sustainability, reliability and affordability, Mr. Baker said. A strategic mix of fuels is most likely to offer the best options for achieving all three priorities. Because of its flexibility, natural gas is likely to play a critical role in most of these strategies.
Mr. Baker recognized that energy conservation and emissions reductions are increasingly important public policy requirements. He stressed that these objectives can be met most effectively by retaining a sense of balance amongst the three priorities of sustainability, reliability and affordability.