New England Gets Small Increase in NatGas Pipeline Capacity

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For the first time in six years, New England’s natural gas supply coming from pipelines is increasing. Slightly. On November 1, Spectra Energy placed part of the Algonquin Incremental Market (AIM) project into service, following a late-October approval from the Federal Energy Regulatory Commission (FERC). The remainder of the project is expected to be completed in December. Spectra placed another pipeline project, the Salem Lateral, into service on November 1 as well, but it is not expected to be used until June 2017. The AIM project, when it is fully online later this month, will flow an extra 342 million cubic feet per day (MMcf/d) of Marcellus/Utica natural gas to New England. Cool! However, as we pointed out just yesterday, New England continues to balance on a razor’s edge. According to the regional electrical grid operator, ISO New England, given the supplies they now have (and expect to have via AIM), the region “should” (maybe, might, possibly, theoretically) have enough natgas to skate by this winter (see Lack of NatGas Pipelines Casts Doubt on NE Winter Electric Rates). But, if it turns really cold and snowy and stays cold and snowy in New England, all bets are off. Here’s the good news about the added capacity now (or soon will be) flowing to New England…

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