TC Energy continues with a capitalization program of US $ 37,000 million

TC Energy continues its $ 37 billion capitalization program of guaranteed projects including commercially supported committed projects that are under construction or are in the permitting stage or in preparation for commencement.

Another $ 11 billion of projects in development are commercially supported, but are more uncertain about the time and estimated costs of the project and are subject to certain key approvals.

“We are developing quality projects under our capital program. These long-lived infrastructure assets are backed by long-term business agreements with solvent counterparties and/or regulated business models and are expected to generate significant growth in earnings and cash flows,” said TC Energy.

Three years of maintenance capital expenditures for TC Energy businesses are included in guaranteed projects.

Maintenance capital expenditures on regulated Canadian and United States company natural gas pipelines are added to the rate base where you have the opportunity to earn a return on and recoup these expenses through current or future tolls, which is similar to its capacity capital projects on these pipelines.

Toll agreements in TC Energy’s pipeline business allow for the recovery of maintenance capital expenditures.

TC Energy

In the nine months ended September 30, 2020, the company commissioned approximately $ 3.1 billion of capacity capital projects, almost entirely comprised of expansions of the NOVA Gas Transmissions Ltd. (NGTL) system.

Additionally, the company incurred approximately $ 1.4 billion in maintenance capital expenditures.

All projects are subject to cost and timing adjustments due to weather, market conditions, route refinement, permitting conditions, scheduling and timing of regulatory permits, among other factors, as well as restrictions. additional factors and the uncertainty presented by Covid-19.