CANADIAN pipeline giant Enbridge announced yesterday it was buying three utilities from United States-based Dominion Energy in a US$14 billion (RM65.4 billion) deal that will make it North America’s largest natural gas supplier.

Enbridge, which operates the world’s longest petroleum pipeline system, said it is doubling its gas distribution business with the acquisitions.

The deal underscores the continued value producers are placing in natural gas as countries strive to reduce fossil fuel dependence to curb greenhouse gas emissions.

Advocates argue natural gas is less polluting and better for the environment than coal, while critics pointed to its methane output.

Enbridge, which pitched itself as a leader in Canada’s transition to renewable energy, called yesterday’s deal “a once in a generation opportunity”.

“Today and for the long-term, natural gas will remain essential for achieving North America’s energy security, affordability and sustainability goals,” said Enbridge chief executive officer Greg Ebel in a statement.

Enbridge is purchasing East Ohio Gas, Questar Gas Co and Public Service Co of North Carolina for US$9.4 billion in cash plus US$4.6 billion in debt assumption.

The utilities serve customers in Ohio, Utah, Wyoming and North Carolina.

Enbridge’s shares fell 6.2% in after-hours trading overnight yesterday. – AFP, September 6, 2023.