HomeMy WebLinkAboutFIN-08-028 - Eastern Canadian Mutual Assistance Plan (ECMAP) Agreement1
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Financial Services
Report To: Mayor & Members of Council
Date of Meeting: March 17, 2008
Submitted By: Pauline Houston, General Manager of Financial Services
Prepared By: Jim Gruenbauer, Manager Regulatory Affairs & Supply
Ward(s~ Involved: N/A
Date of Report: February 20, 2008
Report No.: FIN-08-028
Subject: EASTERN CANADIAN MUTUAL ASSISTANCE PLAN
ECMAP} AGREEMENT
RECOMMENDATION:
That Mayor and Clerk be authorized to sign an updated agreement, satisfactory to the
City Solicitor, with the other participating natural gas utility Members of the ECMAP.
BACKGROUND:
The City of Kitchener is party to an existing ECMAP Agreement that was entered into in June
1995. The vintage Agreement was signed by the Mayor and Deputy Clerk of the day. The
purpose of the updated ECMAP Agreement is unchanged from the vintage Agreement. Its
purpose is to establish a process by which Members of ECMAP can voluntarily call on natural
gas supply from other Members under emergency conditions to continue to provide service to
essential firm customers, i.e. those customers for whom gas service could not otherwise be
curtailed without posing a threat to public safety or causing damage to physical property.
REPORT:
The updated Agreement reflects changes in the composition of the Members since the mid-
1990s and structural and other changes in the gas market and industry that have occurred. The
updated ECMAP has been revised several times over the past couple of years with input by
representatives of the Members, including the undersigned on behalf of the City. Legal review
of the updated ECMAP Agreement has occurred at the larger utility Members, such as Union
Gas, Enbridge and TransCanada Pipelines. The City Solicitor has also reviewed and approved
the updated ECMAP Agreement.
FINANCIAL IMPLICATIONS:
The updated ECMAP Agreement provides for reasonable and flexible settlement (financially or
by replacement) of any emergency gas supply or transportation service provided to a Member
requesting such assistance from another Member, subject to appropriate record keeping and a
timely dispute resolution process. There is no intent or spirit in the Agreement that an assisting
Member recognizes financial gain or loss from providing assistance.
Jim Gruenbauer, CMA
Manager Regulatory Affairs & Supply
Pauline Houston, CA
General Manager Financial Services
& City Treasurer