Page 4 - SD_NG_BC

Table of Contents

1 The SD Natural Gas Fund ™ ............................................................................................................................................................... 1

1.1 About SDTC . .......................................................................................................................................................................................................... 1

Figure 1: SDTC Total Portfolio Value Across Canada.......................................................................................................................................... 1 Figure 2: The Companies Delivering Natural Gas.............................................................................................................................................. 2

1.2 About the Canadian Gas Association (CGA) . ............................................................................................................................................. 2

2 Executive Summary ............................................................................................................................................................................ 3

2.1 Downstream Natural Gas Use ........................................................................................................................................................................ 3

Figure 3: Breakdown of Natural Gas Consumption in Canada, 2012............................................................................................................. 3

2.2 Downstream Natural Gas Vision Statements .......................................................................................................................................... 4

Figure 4: Downstream Natural Gas Vision Statement, GHG Emissions. ........................................................................................................ 4 Figure 5: GHG Emissions Reductions from the Downstream Natural Gas Vision, by Sub-Sector.............................................................. 4

2.3 Investment Priorities ....................................................................................................................................................................................... 5

2.3.1 Near Term Investment Priorities. .......................................................................................................................................................... 5 Table 1: Near Term High Priority Investments................................................................................................................................................... 5 Table 2: Near Term Medium Priority Investments. ........................................................................................................................................... 5 2.3.2 Long Term Investment Priorities........................................................................................................................................................... 5 Table 3: Long Term High Priority Investments. ................................................................................................................................................. 5 Table 4: Long Term Medium Priority Investments............................................................................................................................................ 5

2.4 Non-technical Priorities . ................................................................................................................................................................................. 6

2.4.1 Integration of Natural Gas and Electricity Provision.......................................................................................................................... 6 2.4.2 Energy Literacy. ....................................................................................................................................................................................... 6 2.4.3 Demonstration Opportunities for New Technologies........................................................................................................................ 6 2.4.4 Clarification of Financial and Regulatory Structures......................................................................................................................... 6

3 Report Process, Scope and Structure ................................................................................................................................ 6

3.1 Report Process . ................................................................................................................................................................................................... 6

Figure 6: The SDTC STAR™ Process....................................................................................................................................................................... 7 Figure 7: SDTC’s Mandate...................................................................................................................................................................................... 8

3.2 Report Scope ........................................................................................................................................................................................................ 8

3.2.1 Downstream Natural Gas Sub-Sectors. ............................................................................................................................................... 8

3.3 Structure of Report ........................................................................................................................................................................................... 9

4 Background .............................................................................................................................................................................................. 10

4.1 Natural Gas Use in Canada ............................................................................................................................................................................ 10

Figure 8: Breakdown of Natural Gas Consumption in Canada, 2012........................................................................................................... 10 Figure 9: Natural Gas Consumption in Canada, PJ, 1995 – 2012................................................................................................................. 11 Figure 10: Natural Gas Consumption by Sector in Canada, PJ, 1995-2012 . .............................................................................................. 11 Table 5: Increase in Natural Gas Consumption by Sector in Canada, 2012 vs. 1995................................................................................. 12

4.2 Projected Natural Gas Use ............................................................................................................................................................................ 13

Figure 11: Projection of Natural Gas Consumption by Sector in Canada, PJ, 2014-2030 ........................................................................ 13

5 Applicant Technologies for SDTC Funding ................................................................................................................. 14

Figure 12: SOIs by Sub-Sector............................................................................................................................................................................ 14