The Province of Ontario is touting a new pipeline expansion in the region.
At a groundbreaking ceremony in Leamington on Friday, officials said the $358 million Enbridge Gas Panhandle Regional Expansion Project is expected to create 7,000 "good-paying jobs, encourage economic development, and support the province’s leading greenhouse industry."
Ontario Federation of Agriculture (OFA) President Drew Spoelstra said the OFA appreciates the show of support for farm businesses and communities in Chatham-Kent and surrounding areas, adding rural areas will benefit from this project.
“Only one in five rural homes and businesses have access to natural gas unlike 90 per cent of urban Ontario. The Panhandle Regional Expansion Project is going to help close that gap, bringing more affordable and reliable energy options to homes and business, including farms, in Southwestern Ontario,” said Spoelstra.
The pipeline expansion will also open the door for $4.5 billion of investment opportunities in the province and support Ontario’s expansion of reliable, affordable, and cleaner energy to power its growing economy, according to the province.
“Our government is continuing to secure the reliable and affordable energy that is critical to our plan to rebuild Ontario’s economy, keep costs down for families and build homes across the province,” said Premier Doug Ford, who spoke at the event. “This project will help deliver that reliable energy supply and, in the process, create good-paying jobs, support our world-leading greenhouse sector and power Ontario’s economic growth for many years to come.”
This project will lead to the construction of approximately 19 kilometres of new pipeline that will parallel the existing pipeline and increase the capacity of Enbridge’s Panhandle Transmission System.
Ontario Minister of Energy and Electrification Stephen Lecce, who also attended the event, said the pipeline expansion is a vital investment in energy Ontario's infrastructure.
“A continued priority for our government is delivering affordable energy to Ontario families,” said Lecce. "Our population is growing, and the economy is electrifying, which underscores why our government is determined to generate more clean and reliable energy to drive our growth. The Panhandle Transmission System is a vital part of that vision as it helps to ensure that families and businesses across Southwestern Ontario have access to affordable power now and into the future, while creating 7,000 good paying jobs.”
The province also noted access to a reliable and affordable electricity supply has increasingly become a key priority for companies, particularly those investing in large-scale manufacturing projects.
"Enbridge Gas is committed to meeting the energy needs of Southwestern Ontario. Through the expansion of the Panhandle system and increased access to energy at the Enbridge Gas Dawn Hub, we are proud to support the region's growth by providing reliable and affordable energy to residential, commercial, and industrial customers,” said Enbridge Gas President Michele Harradence. “This major natural gas project reflects our dedication to serving the community and powering the progress of Ontario's southwest region."
The Panhandle Regional Expansion Project has targeted November 1, 2024 to be in service, with additional construction related to the project to be completed in 2025.
The Panhandle Transmission System currently serves residential, commercial, industrial, greenhouse, and power generation customers in Dawn-Euphemia, St. Clair, Chatham-Kent, Windsor, Lakeshore, Leamington, Kingsville, Essex, Amherstburg, LaSalle, and Tecumseh.
The Independent Electricity System Operator forecasts that in less than 30 years, Ontario could need to more than double its electricity generation capacity from 42,000 megawatts (MW) today to 88,000 MW in 2050.