Showing posts with label liquefied natural gas. Show all posts
Showing posts with label liquefied natural gas. Show all posts

Monday, April 25, 2005

AES Defends "Safe" LNG Project

By Candia Dames

candiadames@hotmail.com

Nassau, Bahamas

25th April 2005

 

 

 

The local environmental group reEarth has launched a national campaign against liquefied natural gas projects in The Bahamas, but an official from the company has insisted that the plant and pipeline would be safe.


 

"AES from the very beginning has been fully committed to making sure that the facility is going to both meet all environmental [requirements] as well as being a very safe operation," said Robin Pence, vice president of communications for AES.


 

"We feel that we have met all conditions for both of those qualifications."


 

But reEarth officials continue to insist that LNG is dangerous.


 

"Liquefied natural gas is not flammable as long as it is contained," the group notes on its website. "If the containment facility is breached LNG reverts to natural gas and becomes a flammable vapour cloud when mixed with air. This cloud of plume can drift for miles until it reaches an ignition source; a cigarette could ignite it."


 

While Mrs. Pence did not speak specifically to this claim that LNG could be explosive, she reiterated that regulators both in the United States and The Bahamas have already approved the project.


 

"The [Bahamas Environment Science and Technology Commission] have reviewed the proposal from both an environmental and safety perspective and has approved it," she pointed out. "We believe that it's going to provide a very good source of fuel for people in Florida by making sure that we are respectful, safe and environmentally-friendly for the people of The Bahamas."


 

But the local environmental group has urged Bahamians to ask themselves why AES is seeking to bring the project to The Bahamas and not the United States if it is so safe.


 

"Why should The Bahamas bear the brunt of the Untied States' energy needs?" - the group has questioned. "Across America from Florida to California and Canada to Mexico, LNG plants are coming under fire from communities that don't want these plants near their communities. The United States should seriously be looking at alternative energies to support their burgeoning demands on the world's energy resources."


 

The question of why AES chose The Bahamas was one Mrs. Pence quickly responded to.



"I think what has made this a good location is that it is an uninhabited island," she said. "It's far from any tourist or population centre as opposed to being on the mainland and next to any population centre. So this is a remote island far from anything and from that perspective it has been deemed the best site and it is also the safest and most environmentally-friendly."


 

The company wants to build a regasification plant on Ocean Cay, near Bimini and transport LNG to South Florida via an undersea pipeline.


 

Wealthy residents of Cat Cay, located 7.8 miles away from Ocean Cay, have fiercely opposed the company's proposal.


 

The Cat Cay residents say the facility would be too close to their backyards and could become a terrorist target.


 

At a town meeting on Cat Cay three weeks ago, Cat Cay Club President Manuel Diaz said residents would never support the project.


 

"The Bahamian flag represents bright sunshine, crystal clear blue waters and a black nation," Mr. Diaz said. "There are no LNG symbols on it and you can rest assured that it will be a very cold day in hell before that ever happens."


 

Mr. Diaz has also said that, "Supposedly, the government will collect $1 million in revenues and permanently create 35 jobs at the Ocean Cay industrial complex. Well, Cat Cay Yacht Club already contributes around $10 million annually to the overall Bahamian economy."


 

But Mrs. Pence also pointed to the economic benefits of the AES project.


 

"For The Bahamas it provides a source of revenue," she told The Bahama Journal.



"The project is estimated to make direct payments to the Government of The Bahamas of approximately $700 million over the first 25 years of operation. It would also create jobs over the two years in the construction phase and then permanent jobs for people who would maintain the facility."


 

Asked whether AES has been frustrated in the delays in getting the project approved, she said, "We certainly understand the need for the government to go through all the appropriate reviews to make sure that it has passed all the appropriate tests and that the community is supportive."


 

In early January, Prime Minister Perry Christie had said on a local talk show that the AES project would have been approved by the end of that month.


 

But he later indicated that the vehement objection from Cat Cay residents resulted in the government delaying approval.


 

It is now unclear when "and if " the controversial AES project will get the governmental green light, although company officials remain hopeful that it will.

Friday, January 23, 2004

AES Corp. Clears Hurdle For LNG Pipeline

By Candia Dames

23/01/2004



The AES Corporation has cleared another important hurdle in its bid to lay a liquefied natural gas pipeline between The Bahamas and southeastern Florida.


 

The U.S. Federal Regulatory Commission on Thursday gave the company final approval for its Ocean Express pipeline project, Reuters News Service reported.


 

Now AES has to secure the go-ahead from the Bahamas Government before it could begin the project.


 

But that could take some time.


 

Two months ago, Keod Smith, Ambassador to the Environment and Chairman of the Bahamas Environment Science and Technology Commission (BEST), urged the government to move "very slowly" before making a decision regarding the three proposals for LNG projects before it.


 

Mr. Smith said that the necessary legislation is not in place to guard against possible environmental impacts.


 

His comments came after the BEST Commission viewed the environmental impact assessment for the proposed AES project.


 

That assessment said that laying a liquefied natural gas pipeline from Ocean Cay, near Bimini, to Florida presents the greatest potential for impact to marine resources, as it will cause temporary disturbance to the ocean floor.


 

But the EIA also said that the $550 million project is not expected to impact critical habitats of any endangered or at risk species.


 

The report said the development of a LNG gas terminal and desalination plant on Ocean Cay would provide economic and social benefits to Bimini and the Bahamian government as well as providing a much needed additional supply of natural gas to South Florida and potable water and natural gas to Bimini.


 

The 54-mile pipeline would transport up to 842 million cubic feet of natural gas a day. The pipeline would connect with the Florida Gas Transmission Co. pipeline system in Broward County, Florida.


 

The Ocean Express pipeline would connect with, and receive natural gas transported by a 40-mile Bahamian-jurisdiction pipeline, which is owned by another AES affiliate, that extends to Ocean Cay.


 

Ocean Cay, a 90-acre man-made industrial island, would be the site of a liquefied natural gas storage and re-gasification facility that would receive LNG from foreign suppliers.


 

The AES pipeline would deliver natural gas to markets in Florida and over the interstate pipeline grid to other parts of the country. AES has said it plans to have the pipeline start delivering gas to customers by November 2005.


 

AES Project Director Aaron Samson has said that The Bahamas is the single best place in the world to bring LNG into southeast Florida and has continuously promised that his company is adhering to the strictest environmental standards.


 

Two other companies, El Paso and Tractebel North America Inc. also propose to establish liquefied natural gas pipelines between The Bahamas and Florida.


 

But Trade and Industry Minister Leslie Miller has said that it appears that El Paso is out of the race given that it has been reporting financial troubles.