would reduce stationary combustion emissions covered under the OBPS.

• However, this project is currently not feasible due to its high cost per tonne compared to the excess emissions charge.

• 28.Additional emission reductions are anticipated as part of regular asset management work and equipment life-cycle replacement. For example, the Asset Management Plan includes replacement of heating equipment which is installed to prevent equipment from freezing as well as to prevent or reduce the amount of frost heave experienced at a station. It is expected that the regular upgrade of heaters within the system will result in additional emission reductions of 1,400 tCO2e by 2030, reducing emissions covered under the Federal Carbon Charge. This project has not been listed in the table above because it is considered “business as usual” and has not been included as a project under the CEE Plan.

• 29.Going forward, Enbridge Gas will continue to identify, track and report on emission reduction opportunities using criteria that effectively balance management of its compliance obligations under the FCPP, estimated capital costs, safety and operational reliability. Enbridge Gas will include details of cost-effective emission reduction opportunities, as appropriate, in future FCPP applications. Actual GHG emission and cost reductions resulting from these opportunities will be reflected in Enbridge Gas’s future FCPP applications for clearance of FCPP-related deferral and variance accounts.

OBPS Compliance Cost Reductions

• 30.As discussed in paragraph 10 above, Enbridge Gas has alternative compliance options to satisfy its annual OBPS compliance obligation aside from paying the excess emissions charge, including the purchase of Credits from other OBPS participants or Offset Credits. To date, no Credits have been issued, and the federal offset program has not yet been established. Once these compliance options become effective, Enbridge Gas will review their respective availability and market