Fortis Gas has had plans for the expansion of natural gas infrastructure in the South Okanagan Smilkameen.

The project called “Kingsvale” was designed to increase the capacity in the region involving a new larger pipeline from Oliver to the Merritt area.

Fortis spokesman Bob Gibney says the demand is not there yet and the project has been place on the back burner.

From Fortis:

Why new facilities are being considered

With new shale gas developments in Northeast BC, shippers are looking for ways to get natural gas to market. By expanding pipeline infrastructure, FortisBC could potentially:

• improve access to competitively priced natural gas
• improve the security and reliability of natural gas supply
•  provide more competitive tolls by using interconnecting infrastructure
• offset increases to natural gas rates over time for customers
• increase capacity for British Columbia’s transmission system
• provide shippers with better access to markets as natural gas production grows in BC

The project would also be good for the province and the region, as it would:

• generate local, regional and provincial employment
• provide opportunities for use of local goods and services
• provide tax benefits to the regional districts along the gas transmission pipeline route