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April 15, 2010

Energy corridor ban lifted

A bill approved by the Legislature this week that lifts the state's moratorium on development of energy corridors has not swayed Canada to change its opposition to LNG terminals in Maine.

LD 1786 eliminates a year-old moratorium on energy corridor development and requires that the impact on the state's economy and renewable energy industry be considered before approval of any energy corridor project, according to the Maine Public Broadcasting Network. Energy experts say the bill prevents Canadian firms from undercutting Maine's growing renewable energy industry by establishing transmission lines through the state to southern markets and offering low-cost power. Saint John, N.B.-based Fort Reliance, parent company of Irving Oil, earlier began studying an energy corridor through Maine.

Legislators hoped lifting the moratorium would encourage more cooperation between Maine and Canada and pressure the country into backing down from its opposition to proposed liquefied natural gas terminals in Down East Maine. But Canadian officials have already reiterated their stance against LNG terminals. "Nothing has changed in terms of our position," New Brunswick Southwest Member of Parliament Greg Thompson told Canada's CBC News. Maine and Canadian officials have battled over whether tankers en route to LNG terminals in the state can pass through Canadian waters.

Gov. John Baldacci plans to sign the bill into law, according to MPBN.

Go to the article from MPBN >>
Go to the article from CBC News >>

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