Canada affirms ban on discount gas exports

Canada's National Energy Board has banned discount gas export deals with California and supported Canadian producer arguments for long term contracts at stable prices. The ruling is seen as a victory by Canadian producers in a battle with the California Public Utilities Commission (CPUC) over gas exports and prices. It benefits Canadian producers who are members of a supply pool that provides contract gas to California. There is a $1 billion/year gas export trade flowing from Alberta to California. Several projects are under way to expand pipeline capacity and increase exports