‘Abuse of market power’: Shell, Suncor join pushback against Enbridge over Mainline changes

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Indonesia Berita Berita

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The two are the latest oil companies to call on the National Energy Board to urgently review Enbridge’s proposal

CALGARY — Two major oil companies have asked Canada’s energy regulator to urgently review Enbridge Inc.’s proposal to switch to fixed contracts on its Mainline pipeline system, arguing the changes would be an abuse of Enbridge’s market power.

The 2.85-million-barrel-per-day Mainline carries the bulk of Canadian crude exports to the United States, and currently allocates capacity on a monthly basis. It is a crucial conduit for producers at a time when pipeline capacity is so constrained the Alberta government last week extended mandatory production curtailments.

“Suncor continues to believe that the terms and conditions of the open season are not fair, just or reasonable,” the company said in a lawyers’ letter.

 

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