What Is Alternate Access on NGTL and How to Use It to Reduce Delivery Costs
Alternate Access Credits are one of the most powerful — yet underutilized — tools available to NGTL shippers. They allow you to convert unused Firm Delivery (FT-D) capacity into direct savings on your Incremental Transportation Delivery (IT-D) charges, all through a simple billing mechanism with no physical flow required.
In short: Alternate Access turns stranded firm delivery capacity into real monthly savings.
How Alternate Access Credits Work on the NGTL System
Alternate Access is strictly a billing mechanism offered by NGTL (NOVA Gas Transmission Ltd.).
Here’s exactly how it works:
If you hold Firm Delivery (FT-D1 or FT-D2) service and do not fully utilize it in a given month, NGTL automatically generates Alternate Access Credits for the unused portion.
These credits are aggregated and applied against any Interruptible Transportation Delivery (IT-D) charges you incur during the same calendar month.
Credits can be used anywhere on the NGTL system — they do not need to be at the same location or even in the same operational area.
No hydraulic compatibility or physical gas flow is required.
This makes Alternate Access one of the easiest and most flexible ways to recover value from underutilized firm delivery capacity.
Alternate Access Credits can be used anywhere on the NGTL System
Key Advantages of Alternate Access
Advantage Description
Pure Billing Mechanism → No physical movement of gas needed
System-Wide Application → Credits apply anywhere on the NGTL system
Monthly Flexibility → Can offset IT-D volumes moved at any point in the month
Late=Month Purchasing → Buy firm delivery in the final days of the month to offset earlier IT-D charges
No Operational Constraints → No hydraulic or location matching required
Practical Use Case: Turning Unused FT-D into Savings
Scenario: A shipper has unused firm delivery capacity at several locations but incurred significant IT-D charges earlier in the month due to higher-than-expected volumes.
Strategy:
Monitor daily utilization vs. contracted FT-D volumes.
Near month-end, purchase additional Firm Delivery service (even at unrelated locations).
NGTL automatically generates Alternate Access Credits from both your original unused capacity and the newly purchased service.
Credits are applied against your total IT-D charges for the entire month → lower overall transportation invoice.
This approach is especially powerful during months with unpredictable production or when you want to avoid high interruptible rates.
Alternate Access vs. Physical Reallocation (Pooling)
While Alternate Access is a billing-only solution, NGTL also offers Pooling for physical optimization during outages or restrictions:
Pooling allows temporary physical reallocation of firm service within the same restricted area.
Example: During an 80% restriction, you can nominate up to 100% firm at one location as long as your total nominations across the restricted area do not exceed 80% of your aggregate firm service.
Requires holding the firm capacity on restricted days.
Hummingbird Recommendation: Use the Outage Dashboard and Forecasting Tool to identify opportunities for both Alternate Access (billing credits) and Pooling (physical protection) during restrictions.
How Hummingbird by TOTEC Helps You Maximize Alternate Access
Automatically identifies underutilized FT-D capacity across all your NGTL contracts.
Alerts you to high-value opportunities to purchase additional firm delivery late in the month.
Tracks Alternate Access Credits and projected IT-D savings in real time.
Combines billing strategies (Alternate Access) with physical strategies (Pooling) for maximum optimization.
Bottom Line
Alternate Access is currently the easiest and most flexible way for NGTL shippers to recoup value from underutilized Firm Delivery service — without operational headaches, hydraulic constraints, or location limitations.
Shippers who actively manage Alternate Access Credits typically achieve meaningful reductions in their monthly delivery transportation bills.
Frequently Asked Questions
What is Alternate Access on NGTL? A billing mechanism that converts unused Firm Delivery (FT-D) capacity into credits that offset Incremental Transportation Delivery (IT-D) charges in the same month.
Do Alternate Access Credits have to be used at the same location? No. Credits apply system-wide across the entire NGTL system.
Can I buy firm delivery late in the month to create more credits? Yes. This is a common and highly effective strategy.
Does Alternate Access require physical gas flow? No. It is purely a financial/billing adjustment.
How can I track and maximize Alternate Access opportunities? Using tools like Hummingbird’s real-time utilization dashboard and outage forecasting.
Ready to reduce your NGTL delivery costs?
Let Hummingbird by TOTEC help you identify unused FT-D capacity, execute smart Alternate Access strategies, and combine them with physical pooling during outages.
→ Request a Demo →Explore Transport Optimization