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Shell to Remediate PA Swamp in Return for Falcon Pipe Permit

Shell is proposing to remediate a swamp in Mercer County as a way to “offset” the “impacts” of building an ethane pipeline to feed it’s mighty cracker plant under construction in Beaver County. Oops. Sorry. Instead of calling it a swamp, the PC term is “wetland.” Shell will make a swampy portion of Neshannock Creek in Mercer County swampier, in return for permission to build the Falcon ethane pipeline elsewhere. Apparently it’s not the first time Shell has proposed such a swap. Shell is in the middle of remediating a swamp in Washington County in return for “local impacts” (i.e. “damage” to the environment) they’re causing by building the cracker plant itself. This is not an uncommon practice–across the country. We happen to think it’s silly. Either a project is worthwhile–worth “damaging” some of our precious environment, because of the greater good it will bring–or not. Playing this game of “I’ll spoil this area here, so I’ll un-spoil that area over there” is senseless, in our humble opinion. But hey, if that’s the game we must play to get it built…
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Antis Still Can’t Come to Terms They Lost NY AIM Pipe Case

Big Green antis thought they could stop the Algonquin Incremental Market (AIM) pipeline project–an expansion of the existing Algonquin pipeline system designed to carry 342 million cubic feet of natural gas per day to New England states that badly need the gas. On March 3, 2015 the Federal Energy Regulatory Commission (FERC) issued a final approval for the project. Construction began in 2015 and, following extreme opposition from New York State over a small portion of the project near the Indian Point nuclear plant (which will shut down in a few years anyway), AIM finally went online in late 2016. In what has become a typical pattern, Big Green groups asked FERC to rehear their decision to approve AIM, FERC refused, and Big Green then filed a lawsuit in federal court. But two weeks ago the federal court told the antis “no,” crushing their efforts to roll back the expanded pipeline (see DC Circuit Court Denies Anti Request to Rehear AIM Pipe Approval). That should be the end of the matter. There’s no place left to go, court-wise, except maybe (one in a million odds) to the U.S. Supreme Court. Yet the antis, still disbelieving they’ve lost, are threatening to pursue it legally. Some unstable people just can’t let go…
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FERC Approves Transco Pipeline Expansion in New Jersey

Click for larger version

Last Friday, before Federal Energy Regulatory Commission (FERC) Commissioner Rob Powelson left the building for the last time, FERC approved a small but important expansion of the Williams Transco Pipeline in New Jersey, called the Rivervale to South Market project. We first told you about the Rivervale project last year when Williams filed an application for it with FERC (see New Project Seeks to “Uprate” Transco Pipeline in Northern NJ). The Rivervale project will expand the mighty Transco pipeline in northern New Jersey to deliver an extra 190 million cubic feet per day (MMcf/d) of low-carbon, clean-burning Marcellus Shale gas to markets in northern NJ and New York City. The project calls for “uprating” a little over 10 miles of pipeline (same pipeline with more pressure and more gas), and adding a half mile of new looping pipeline–which is more than enough to set off the whackadoodles at the NJ Sierra Club. One of two Democrat FERC commissioners, Richard “Dick” Glick, voted in part against approving the project because he says it will lead to more global warming. Typical lib Dem. Here’s Williams’ good news announcement, and a copy of FERC’s 46-page approval…
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FERC Rejects PennEast Pipe Rehearing Request – Antis Sue

Elvis – song & dance

Last Friday the Federal Energy Regulatory Commission (FERC) denied a rehearing request by radical enviro groups with respect to the PennEast Pipeline project. That is, FERC said “we’re sticking with our original decision to approve the project.” In January, FERC voted 4-1 to approve the $1 billion, 120-mile natgas pipeline that will stretch from northeast PA to the Trenton area of New Jersey (see FERC Grants Final Approval for PennEast Pipe – Real Battle Begins). FERC Commissioner Richard “Dick” Glick voted against the project claiming it will lead to more man-made global warming. But the other Dem FERC Commissioner, Cheyl LaFleur, voted to approve it–at least in January. In Friday’s “order on rehearing” LaFleur flipped and said she’s had second thoughts about the project. She voted “in part” to rehear the original decision. Glick voted to rehear. Bottom line: both LaFleur and Glick want to kill the PennEast project. That’s the upshot of Friday’s FERC communication. Unfortunately FERC Commissioner Rob Powelson has abandoned us and we will now face a 2-2 deadlock on key decisions like this one for the foreseeable future–because Senate Democrats will block a vote on a new, third, Republican member of the Commission until after the November election. Thanks Rob. The radical anti groups that filed the rehearing request–THE Delaware Riverkeeper (aka Maya van Rossum) and the NJ Sierra Club (aka Jeff Tittel)–immediately filed lawsuits with the Washington, D.C. Circuit Court of Appeals. The antis could only take their case to court once FERC had denied a rehearing request. That’s the song and dance routine we must go through on the way to fighting to build every square inch of any new pipeline project in the northeast. Pipeline company files application, FERC approves, radical groups request a rehearing, rehearing denied, lawsuit filed. That’s the formula that plays out over and over again. Below is a copy of FERC’s approval along with details about antis filing their lawsuits…
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Is MVP Still Under Construction Following FERC Stop-Work Order?

We spotted something that seemed a bit odd to us. In a story about pipelines in WV and the challenges they face, EQT said they continue to engage in some construction activities for Mountain Valley Pipeline, even though the Federal Energy Regulatory Commission (FERC) recently ordered them to stop all construction on the project until further notice (see FERC Shuts Down ALL Work on Mountain Valley Pipeline in WV, VA). At least, that’s what EQT appears to be saying. Background: The radical Sierra Club convinced the U.S. Court of Appeals for the Fourth Circuit to overturn permits issued by the U.S. Forest Service (USFS) and Bureau of Land Management (BLM) that allows EQT Midstream’s 303-mile Mountain Valley Pipeline to cross 3.5 miles of Jefferson National Forest in West Virginia and Virginia (see Court Cancels Permits for Mountain Valley Pipe on Fed Land). Even though 3.5 miles is like 1% of the entire MVP project, FERC told MVP to “cease immediately” *all* construction activities along the *entire length* of the pipeline, until the permit issue for Jefferson National Forest is resolved. And yet, an EQT spokesperson told a WV reporter, “Various construction activities have been happening along the route, include construction of compression facilities, tree felling, trenching, welding, stringing of pipe.” Did she mean those things happened *until* FERC told them to stop? Or they’ve continued to happen *after* FERC told them to stop? We report, you decide…
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PA PUC Wants to Expand 811 to Include Stripper Wells

In just about every state in the country, before you start digging a hole in the ground for some reason (water well, septic system, laying an underground electric line, etc.)–the first thing you do is call 811 or some similar phone number. The “one call” or “first call” reaches a state-authorized (not necessarily state-run) office where they have, on file, maps detailing any kind of underground cables, pipelines and other infrastructure. If such underground structures exist, a representative of the owner for the underground line will, if necessary, stop by and mark the areas so when you do begin digging, you don’t hit it. Makes sense. A bill introduced in 2016 in the Pennsylvania legislature “enhances” the existing 811 law in PA. One of the “enhancements” is that it removes an exclusion for low-pressure natural gas gathering pipelines from being required to be part of the 811 system, mainly lines run to conventional gas wells. The bill was opposed by the Pennsylvania Independent Oil & Gas Association (see PIOGA Opposes Bill to Regulate Unregulated PA Gathering Pipelines). The bill was reintroduced in March 2017 (see PA State Senator Introduces Bill to Regulate Gathering Pipelines). Once again PIOGA pushed back. In June 2017, a compromise was reached to exclude pipelines running to “stripper wells”–i.e. low-producing conventional wells. With that compromise in place, both the PA Senate and House voted to adopt the plan and it was signed into law (see Shale + Large Conventional Gathering Pipes Added to PA One Call). The PA Public Utility Commission (PUC) is the state agency charged with oversight of the enhanced 811 system. They have been staffing up and rolling out the changes. We spotted a story that talks about the PUC’s efforts. It mentions (bemoans) the fact that stripper wells are still exempt, and seeks to apply pressure to the owners of those wells to “voluntarily” join the 811 system. We all know what comes next after “voluntarily” joining any government-run program…
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Support Builds for Congress to Reign in States Blocking Pipes

The U.S. Senate Environment and Public Works Committee will hold a hearing this Thursday to consider the Water Quality Certification Improvement Act of 2018 (S. 3303). Two weeks ago we told you about S. 3303, a bill that will “fix” the issue of states like New York using Section 401 of the Clean Water Act, which allows states to have a say in where interstate pipeline routes can pass through a state, from abusing their authority by blocking pipeline projects (see US Senate Bill Fixes States Blocking Pipelines via Water Permits). New York’s Gov. Andrew Cuomo (tinhorn dictator) has weaponized Section 401 and now routinely uses it to block any and all new natural gas pipelines in the state. That was not the intent of the Clean Water Act when delegating some (small, minor) authority to the individual states. Section 401 is meant to allow states to steer the pipeline in a new direction to avoid sensitive environmental areas–not block it completely. S. 3303 will fix the issue of state abuse. In advance of Thursday’s session, a coalition of twenty-four national organizations representing workers and businesses in the energy supply chain wrote a letter (copy below) urging the Senate committee to approve the legislation. The letter is evidence that there’s a building head of steam, a consensus, of support on this issue. Finally, someone is addressing the out-of-control abuses of power Cuomo and others are engaged in…
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FERC Shuts Down ALL Work on Atlantic Coast Pipeline

As MDN predicted last week (see Federal Court Stops Works on Some (All?) of Atlantic Coast Pipe), the Federal Energy Regulatory Commission, following a ruling by a federal court that vacated (withdrew) permits for work being done on Dominion Energy’s Atlantic Coast Pipeline (ACP), has told Dominion to quit working on all of the pipeline everywhere. At least until this current legal mess, created by the Sierra Club, can be sorted out. It was an easy prediction to make. FERC did the same thing with Mountain Valley Pipeline when the same court pulled permits for a piddly 3.5 miles of pipeline as it crosses the Jefferson National Forest (see FERC Shuts Down ALL Work on Mountain Valley Pipeline in WV, VA) . In ACP’s case, the court pulled permits for work on 100 miles of pipeline (out of 600 miles). Dominion said in a statement that they’re already working with the two agencies that had issued various permissions overturned by the court, and Dominion expects the matter will be resolved quickly so that the final in-service date is not moved. As a reminder, the Sierra Club convinced the Fourth Circuit Court of Appeals to overturn permits granted by the U.S. Fish and Wildlife Service (FWS) and the U.S. National Park Service (NPS) granted to ACP to cross the Blue Ridge Parkway. However, the rolled-back permits affect some 100 miles of work. The court, in rolling back ACP’s permits, told FERC they should shut down work on the entire project until this matter is resolved. On Friday FERC did just that…
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Granite Bridge Shows How to Build a New Pipeline in New England

Pssst. Don’t tell anyone, but somebody has figured out how to get a pipeline built in New England. Keep it quiet–just between us, K? Time after time we’ve seen worthy, sensible natural gas pipeline projects proposed for New England. And time after time they’ve been shot down by radical Big Green groups and sleazy politicians (like MA Sen. Elizabeth Warren and MA AG Maura Healey) who are in the pockets of Big Green. Instead of building a pipeline from the Marcellus to New England–a few hundred miles–those same sleazy politicians would rather have Russian LNG imported to avert annual energy crises (see Confirmed: LNG Coming to Boston on Jan 22 is Illegal Russian Gas). Kinder Morgan is one of the casualties, pulling the plug on its Northeast Energy Direct project (see NED is Dead – Kinder Morgan Suspends $3.3B New England Pipeline). Spectra Energy’s Access Northeast is another casualty, although as we reported in May, Access Northeast may once again have a weak pulse (see NH Supreme Court Decision Puts New England Pipe Back in Play). MDN recently told you that a New Hampshire utility company, Liberty Utilities, had floated a new plan to build a teeny tiny new pipeline, called Granite Bridge, that will run underground along Route 101 from Stratham to Manchester (see Liberty Utilities Floats Plan for 27-Mile Pipeline in Southern NH). In addition, Liberty proposes building a natgas storage facility in an empty quarry in Epping. We’re not exactly sure where the extra gas will come from that will get stored and then pumped along this new pipeline (Liberty says it’s coming from the “Seacoast”). At the time of that post we asked whether/if ANY pipeline can built in New England ever again? It appears the answer to our question is yes, a pipeline CAN get built! Granite Bridge has quietly, behind the scenes, built up a full head of support for their project. Some 22 of 24 NH state senators support the project, along with Republican Gov. Chris Sununu. What lessons we can learn from Granite Bridge for how to get a pipeline project built in New England?…
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Extra 2.8 Bcf/d of M-U Gas Heading to Gulf Coast This Year

Last week our favorite government agency, the U.S. Energy Information Administration, posted an article on their Today in Energy website chronicling an astonishing fact: By the end of this year, nearly 19 billion cubic feet of natural gas pipeline capacity will be moving natgas *into* the South Central region–in other words, gas moving into the Gulf Coast of Texas and Louisiana. That is truly astonishing, because a few short years ago the Gulf Coast (largely from offshore supplies) shipped gas *out of* the region. But now, gas will flow into that region, even amidst record natgas production happening in the Permian Basin. What caught our eye about the article is that 2.8 Bcf/d of gas that will flow into the region will come from the Marcellus/Utica, from three pipelines: Rayne XPress, Gulf XPress, and Atlantic Sunrise. Rayne XPress went online late last year (see FERC Clears 1 Bcf/d Rayne Xpress Pipe to Begin Service). Gulf XPress, which is seven new compressor stations being built along the Columbia Pipeline system, is due to go online in November of this year (see Leach XPress Goes Online; FERC Approves Mountaineer & Gulf XPress). Atlantic Sunrise is supposed to go online this month (see Genscape Confirms Atlantic Sunrise Pipe Ready to Flow in August). Other M-U gas already (and more soon will) goes to the Gulf Coast as well. Here’s the great news that more of our gas is heading to the Gulf…
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WV DEP Proposes Changes in Pipeline Stream Crossing Permit

West Virginia has just published a draft revision for terms and conditions under which the state will issue a “Section 401” water permit for federally approved pipeline projects. Under the federal Clean Water Act (CWA), the federal government delegates some of the responsibility in approving a pipeline project to the individual states. It’s a small but important part of the regulatory pie. Under Section 401 of the CWA, states get one year to review a pipeline project–to evaluate where that project will cross streams and rivers. If the state doesn’t like something about the plan, they tell the pipeline company and the plan gets revised. That’s how it’s supposed to work. Instead, some states (like New York) are abusing Section 401 and simply refusing to issue the permit, effectively killing entire pipeline projects. That’s not the intent of the regulation, something Congress is now looking to fix. We can’t have tinhorn dictators like Andrew Cuomo telling other states (like Pennsylvania) that you can no longer build pipelines into or through a neighboring state. That’s why approval of interstate pipeline projects resides at the federal level and not the state level–to prevent one state holding another hostage. WV has had some issues of their own with respect to Section 401 approvals (see WVDEP Reverses, Waives Water Permit for Mountain Valley Pipeline). Perhaps because of previous problems, like the issue with MVP, the WV Dept. of Environmental Protection has just floated proposed changes to the criteria they use in awarding a Section 401 permit…
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Franklin County, VA Landowners Lose Round #1 to Stop MV Pipe

A federal judge turned down a request by six Franklin County, VA landowners to shut down construction of the Mountain Valley Pipeline (MVP) in their area. The six claim that work being done by MVP is leading to soil erosion–that storm water runoff has resulted in mountains of mud ending up on their property. The legal argument is “trespass” for failing to do the work correctly, thereby leading to an intrusion on their property. The judge denied the request. However, the judge did not toss out the entire lawsuit–only a request for a preliminary injunction. The lawsuit itself will continue. Not that it makes much of a difference. All work on MVP is currently stopped anyway (see FERC Shuts Down ALL Work on Mountain Valley Pipeline in WV, VA). There’s no need for a preliminary injunction if there’s no work happening. Here’s the story of six ticked-off landowners not happy with how MVP is doing work in their area…
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Disappointing: Trump to Nominate Nuke/Coal Proponent to FERC

Just yesterday we posted an article observing that today, Friday, is Federal Energy Regulatory Commission (FERC) member Rob Powelson’s last day on the job (see FERC Commissioner Rob Powelson Leaving Friday – Deadlock Looms). We won’t lie (when do we ever lie?): We’re pretty sore at Powelson, and grumpy that for the foreseeable future no new pipeline projects will get approved due to the two partisan Democrats on the Commission who now vote against every pipeline project. The rumor mill is in overdrive that Trump has already picked a replacement for Powelson–Bernard McNamee, head of the Department of Energy’s Office of Policy. McNamee helped roll out a plan favored by Trump and DOE Secretary Rick Perry to artificially favor and boost nuclear and coal energy sources, at the expense of other sources like natural gas. Boneheaded plan. This is the guy Trump now wants at FERC. Recall that FERC rejected DOE’s boneheaded “save coal and nuke plants” plan. No doubt Trump is looking to stack the deck in his favor by naming McNamee. On the plus side, we suspect McNamee would be a reliable vote in favor of pipeline projects, so it’s not all bad news. But the issue remains that Senate Democrats can and most certainly will delay any confirmation votes on McNamee–likely until after the November election. This is how dirty politicians play the game. We’re not thrilled with McNamee, but we’d rather have him at FERC than an ongoing 2-2 deadlock…
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FERC Approves New Connection to Rover Lateral, but Not the Lateral

Yesterday the Federal Energy Regulatory Commission (FERC) granted a “certificate of public convenience and necessity” (i.e. official approval) for Rover Pipeline to spend $4.7 million to build a new meter station along Rover’s Burgettstown Lateral. The new meter station, to be located in Jefferson County, OH, will connect a pipeline gathering system built and maintained by Utica Gas Services LLC, connecting the gathering system to Rover. The new connection will flow 350 million cubic feet per day of Utica Shale gas into the Rover pipeline system. But here’s the thing: FERC has not yet given Rover permission to begin flowing gas along the Burgettstown Lateral. FERC is playing hardball, withholding permission for Burgettstown and three other laterals until Rover (i.e. Energy Transfer) gets restoration work done along certain portions of the project (see FERC Continues to Block Rover Laterals Until Restoration Work Done). Obviously FERC is planning to let Burgettstown and the other laterals go online, it’s just a matter of time. But FERC is using the laterals (withholding startup) as leverage to make Rover do what it said it would do. Below is more information about UGS-Crawford Meter Station, as it’s called, and FERC’s approval of it…
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FERC Commissioner Rob Powelson Leaving Friday – Deadlock Looms

Our opinion of FERC Commissioner Rob Powelson has gone down over the past month or so (see FERC Gridlock Coming Thx to Rob Powelson (Selfishly) Leaving). Powelson is selfishly leaving FERC after doing excellent work at the agency over the past one year. FERC has five commissioners total. After Powelson leaves, new pipeline projects face the prospect of deadlocked 2-2 FERC votes because two of the commissioners are partisan Democrats who put party bosses above the good of the country (nothing new there). And that makes us angry with Powelson. He should have put his own ambitions on hold for a few more years, for the good of the country, and served out his entire term at FERC. So while Powelson admittedly did good work (he’s from PA and has been a champion for the Marcellus/Utica region), he’s now soiling his reputation by abandoning ship and leaving us with a deadlocked commission. Friday is Powelson’s last official day. He sat down for a final interview with FERC’s official podcast called Open Access…
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Big News: FERC Overrules NY DEC to Approve Northern Access Pipe

Finally, a New York pipeline story with a happy ending. On Feb. 3, 2017, the Federal Energy Regulatory Commission (FERC) approved a long-delayed project–National Fuel Gas Company’s (NFG) Northern Access 2016 pipeline project (see NFG’s Northern Access Pipe in NY/PA Gets FERC Approval). The $500 million project includes building 97 miles of new pipeline along a power line corridor from northwestern Pennsylvania up to Erie County, NY. The project also calls for 3 miles of new pipeline further up, in Niagara County, along with a new compressor station in the Town of Pendleton. Although FERC granted permission to build it, the State of New York, specifically the state’s Dept. of Environmental Conservation (DEC), arbitrarily and capriciously tried to block it (see Cuomo’s Corrupt NY DEC Blocks NFG Northern Access Pipeline Permit). We’ve seen this movie before. NFG, in no mood to screw around with the Cuomo-corrupted DEC, filed a motion asking FERC for a “reconsideration and clarification” on the role of the DEC in reviewing the project (see Gutsy: NFG Asks FERC to Cut NY DEC Out of Pipeline Approval). On Monday, FERC ruled on that request, ruling in NFG’s favor and against NY DEC. FERC said the DEC took longer than the one year they have under law to issue their rejection, therefore, FERC itself is issuing the water permits. In other words, FERC just struck a blow against corruption in New York State…
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