Economic Fallout from Cuomo’s Decision to Kill NESE Pipeline

Yesterday New York Gov. Andrew Cuomo dropped an economic atom bomb on New York City by rejecting a natural gas pipeline to bring more supplies of clean-burning natgas to NYC and Long Island (see NY Gov. Cuomo Denies Permit for Williams NESE Pipeline to NYC). The reaction has been swift, and negative. NYC’s economic and business leaders understand what’s just happened. They are “alarmed” at what’s coming. They have good reason to be alarmed. NYC is an economic “dead man walking.”
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NY Gov. Cuomo Denies Permit for Williams NESE Pipeline to NYC

Hey New York Islanders NHL team–you’re screwed. No new stadium because your governor, Andrew Cuomo has just directed his corrupt Dept. of Environmental Conservation (DEC) to deny a permit to build the Williams Northeast Supply Enhancement (NESE) natural gas pipeline, a pipeline your new stadium needs or won’t get built. You can thank Andy for blowing your billion dollar project. Oh, and residents in NYC’s tenement buildings who won’t have heat next winter because their landlords are being forced by the city to dump fuel oil and now have nothing to switch to? They can thank Andy too, as they huddle with their winter coats on in their freezing apartments.
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Welded Constr. Sues Williams for $71M re Atlantic Sunrise Pipe

Welded Construction, the main contractor that built Williams’ Atlantic Sunrise Pipeline project in Pennsylvania, is suing Williams for $71 million, claiming there were cost overruns that Williams never properly compensated the company for. This is a messy situation that we’ve written about before. Welded suing Williams is a new wrinkle in a saga that began last October (see Williams Withholds Payment Forcing Pipeline Builder into Bankruptcy).
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Pipeline Chess: FERC Approves NESE into NYC; Your Move Gov. Cuomo

Last Friday the Federal Energy Regulatory Commission (FERC) issued a final approval for Williams’ Northeast Supply Enhancement (NESE) pipeline project by a vote of 3-1 (full copy below). The only remaining regulatory hurdles are for both New York State and New Jersey to issue federal Clean Water Act 401 certificates to allow the project to cross bodies of water in their respective territorial waters. All eyes are now on NY Gov. Andrew Cuomo and what he will do. Will he approve the project, benefiting New York City and Long Island with much-needed gas? Or will he veto the project, harming millions of NY residents, simply to placate a small group of very vocal radical leftists who pretend to care about the environment? He has until May 16 to decide.
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Williams 1Q19: Becoming Besties with Encino in Ohio Utica

Williams, one of the biggest midstream (pipeline) companies in the U.S., issued its first quarter 2019 update yesterday. Williams is a gigantic company with operations in multiple regions, not just here in the northeast. It would be folly for us to try and summarize everything about the company and its many projects, so we’ll concentrate on projects in the Marcellus/Utica.
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The Case Against “Quick Take” Eminent Domain for Pipelines

In March a group of Pennsylvania landowners from Lancaster County asked the U.S. Supreme Court to hear a case in which they say they’ve been screwed over by Atlantic Sunrise Pipeline, that the pipeline should not have had the right to use eminent domain to build the pipeline before the matter of compensation was fully adjudicated (see PA Landowners Beg US Supreme Court to Hear Atlantic Sunrise Case). Williams, via their Transco subsidiary, responded and asked the Supremes to toss the case entirely (see Williams Asks U.S. Supreme Court to Toss Atlantic Sunrise Case). Do Lancaster County landowners have a legitimate beef?
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NYC to Face Consequences of Cuomo Decision on NESE Pipe

Andrew Cuomo has himself painted into a corner. In recent years he’s pandered to his radical/left environmental base by blocking natural gas pipelines. Another such project now must be decided, by May 16. Williams’ Northeast Supply Enhancement (NESE) project needs a water crossing permit from New York State. If Cuomo rejects the project, both Consolidated Edison and National Grid, the two utilities that supply New York City and its suburbs, including all of Long Island, with natural gas, have said they will slap a moratorium on all new gas customer hookups. Either way Andy is toast. Which way will he decide?
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US Supremes Reject Dela. Riverkeeper Lawsuit re Atlantic Sunrise

THE Delaware Riverkeeper, Maya van Rossum, along with a couple of radicals from Lancaster County flying under the name Lancaster Against Pipelines (the Clatterbucks), hoped they could convince the U.S. Supreme Court to consider a case that a series of lower courts dismissed–a case that would shut down the now-operating Atlantic Sunrise Pipeline (see Riverkeeper Appeals Atlantic Sunrise Lawsuit to US Supreme Court). Miss Maya and the Clatterbucks have stuck out. On Monday, the Supremes told them they don’t have a case.
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Williams Asks U.S. Supreme Court to Toss Atlantic Sunrise Case

In March a group of Pennsylvania landowners from Lancaster County asked the U.S. Supreme Court to hear a case in which they say they’ve been screwed over by Atlantic Sunrise Pipeline, that the pipeline should not have had the right to use eminent domain to build the pipeline before the matter of compensation was fully adjudicated (see PA Landowners Beg US Supreme Court to Hear Atlantic Sunrise Case). Williams, via their Transco subsidiary, has just responded and asked the Supremes to toss the case entirely.
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NJ Residents Want to Deny NYC Residents NatGas from New Pipe

Middletown, NJ officials recently passed, unanimously, a resolution opposing the proposed construction of the Northeast Supply Enhancement (NESE) pipeline, part of the Transco pipeline system. There are a number of components to NESE, but the key component, the heart of the project, is a new 23-mile pipeline from the shore of New Jersey into (on the bottom of) the Raritan Bay–running parallel to the existing Transco pipeline–before connecting to the Transco offshore. Comments by Middletown Mayor Tony Perry are instructive and provide us with a teachable moment.
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Williams NEPA Compressor Stn Tour Opens Reporter’s Eyes

Williams is planning to build two new compressor stations in eastern Pennsylvania as part of its Leidy South Project (see Williams Planning 2 New, 2 Upgraded Compressor Stations in NEPA). One of the new compressor stations will get built in Luzerne County (Wilkes-Barre area), and the other in Schuylkill County (shares a border with Luzerne County, sort of in the Philadelphia orbit). A reporter from Schuylkill recently got an exclusive tour of an existing Williams compressor station similar to the one that will get built in Schuylkill. The reporter’s article is fascinating. It shows the reaction of someone who has an open mind about these kinds of projects.
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Another Contractor Files Liens Against Lancaster Landowners re Pipeline

This stuff continues to make us angry. In March we told you that MacAllister Machinery Co. Inc. of Michigan used lawyers to serve landowners in Lancaster County, PA with “mechanic’s liens” making the landowners liable to pay money to MacAllister for work done on the Atlantic Sunrise Pipeline project (see Another Pipe Builder Plays Dirty – Liens on Lancaster Landowners). Sleazy tactic. The issue revolves around Welded Construction, the main pipeline contractor, failing to pay their subcontractors (including MacAllister) for work done on the project. The same lawyers have filed *another* round of mechanic’s liens against Lancaster landowners, this time for Ohio Machinery Company (shame on them).
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NYC Antis Continue to Pressure Cuomo to Block NESE Pipeline

Last Thursday, “more than 300” anti-fossil fuel nutters protested to “demand” that Gov. Cuomo block Williams’ proposed Northeast Supply Expansion (NESE) pipeline project. We have extensively covered NESE and the coming decision by Cuomo’s lapdogs at the Dept. of Environmental Conservation.
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NYC Housing Authority Tenant Leader Lobbies for NESE NatGas Pipe

Danny Barber, a NYCHA tenant leader who backs NESE pipeline project

A prominent advocate for tenants who live in New York City Housing Authority (NYCHA) apartment buildings is speaking up to support Williams’ Northeast Supply Enhancement (NESE) pipeline project. Daniel Barber, head of the Citywide Council of Presidents of NYCHA tenants’ associations, announced yesterday that without NESE, what’s already a crisis will become even worse. People without heat in the winter and without hot water year round. You MUST watch a short video (below) and read about how some of New York’s poorest residents will be harmed if NESE is blocked by Gov. Cuomo.
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EQT Downsizing Pittsburgh Office; Williams Keeping Big Office

It’s no secret that upstream companies (drillers) like EQT are trimming head count and reducing annual spending. So it probably won’t come as a surprise that EQT has put 46,000 square feet (out of 250,000 sq. ft.) in its palatial headquarters in downtown Pittsburgh up for sublease. Meanwhile, in a contrasting bit of news, midstream (pipeline) company Williams has just renewed the lease for its big regional Pittsburgh headquarters at Park Place Corporate Center–a 112,481 sq. ft. building.
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