Canada's Gaz Metro renewable natural gas project given the green light

By See News. 

Quebec's electricity sector regulator Regie de l'energie du Quebec last week gave the green light to natural gas distributor Gaz Metro LP (TSE:VNR) to buy and distribute renewable natural gas (RNG).

The City of Saint-Hyacinthe will recycle organic waste through anaerobic digestion to produce some 13 million cubic metres per year of RNG and Gaz Metro will build the infrastructure required to connect the output to its distribution network.

Injection of the RNG into Gaz Metro's distribution network is scheduled to start in 2017 and continue for a 20-year period.

This approval sets a precedent for the commercial outlet for all renewable natural gas producers located near Saint-Hyacinthe gas network, which serves over 300 municipalities province-wide.