UGI Energy Tweaks LNG Peak Shaver for Bethlehem, PA

UGI LNG’s Temple I peak shaver near Reading, Pa. with 3-million-gallon storage tank

It’s time to learn something new (there’s always something new to learn in this industry). Ever hear of a peak shaver? No, nothing to do with that thing guys use in the morning to shave off the stubble. An LNG peak shaver is a unit used for storing surplus natural gas, to have extra natgas on hand and ready during times of peak consumption during really hot summers or really cold winters. Sometimes your local gas utility will build and use a peak shaver (small LNG storage facility), so they don’t run out of natgas at a critical time, and to help with keeping prices lower by drawing down from storage if prices spike. Low prices make for happy customers. UGI, a diversified energy company with both midstream (pipeline) operations and one of PA’s largest utility companies, uses peak shavers. We’ve written about their use of peak shavers in the past (see UGI Building LNG Plant in NEPA, Local Marcellus Gas to Feed It). We’re interested in such facilities because of their potential as a new demand source for our plentiful gas supplies. UGI is proposing a new peak shaver for Bethlehem, PA. The project hit some early opposition, so UGI has tweaked the design, meaning they can proceed…

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