Energy Attorneys Hint it’s ‘Lights Out’ for Constitution Pipeline
On Monday we brought you the sad news that the U.S. Court of Appeals for the Second Circuit has ruled against the Constitution Pipeline and their lawsuit against the Cuomo-corrupted New York Dept. of Environmental Conservation (see Court Rejects Constitution Pipe’s Case Against NY DEC; Now What?). To boil it down to its essence, the court said the DEC had the right to reject issuing stream crossing permits for the critically-needed pipeline, even though it would shut down the project. That is, individual states have the right to stop a federally-approved project. Frankly, it’s distressing. The one sliver of light is that the DEC took too long to issue their rejection–more than the one year allowed. Constitution may be able to request an approval from the Federal Energy Regulatory Commission (FERC), overruling the DEC, because the law in question provides that if a state doesn’t issue (or reject) a permit within one year of application, FERC then has the right to issue the permit. So we might still win on a technicality. That’s our hope. But we spotted analysis of this court decision by two energy attorneys–people who work for drilling-friendly law firms. Their analysis is sobering. They hint (our words) that it is likely “lights out” for the Constitution–that the project will not get built. Are they right?…
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In a disappointing, but perhaps not all that unexpected decision (full copy below), the U.S. Court of Appeals for the Second Circuit on Friday ruled against the Constitution Pipeline and their lawsuit against the Cuomo-corrupted New York Dept. of Environmental Conservation (DEC). The DEC dithered, for years, on a decision about whether or not to grant stream-crossing permits (Section 401 permits, a federal Clean Water Act thing) to the Constitution Pipeline, a $683 million, 124-mile pipeline from Susquehanna County, PA to Schoharie County, NY carrying Marcellus gas. The Federal Energy Regulatory Commission (FERC) authorized the project in 2014. Since that time the DEC delayed, and eventually denied permits for the project (see 
In April 2016 the New York Dept. of Environmental Conservation (DEC) caved to corrupt political pressure from Andrew Cuomo and denied the Williams Constitution Pipeline a necessary federal 401 stream crossing permit, blocking the project (see 
Last week National Fuel Gas Company, headquartered in Western New York State with drilling subsidiary Seneca Resources and pipeline subsidiary Empire Pipeline, issued its third quarter (everyone else’s second quarter) 2017 update. NFG produced 567 million cubic feet per day (MMcf/d) of natural gas last quarter, a 6% increase over the same quarter a year ago. NFG realized an average price of $2.94 per thousand cubic feet (Mcf), up $0.08 per Mcf from the prior year. Compare that with Antero’s hedged average of $3.41/Mcf (see today’s story about Antero 2Q17). NFG CEO Ronald Tanski had some interesting remarks with respect to the company’s stalled Northern Access Pipeline project. As you may recall, the Andrew Cuomo New York Dept. of Environmental Conservation (DEC) is blocking Northern Access, like they blocked the Constitution Pipeline and a tiny spur project for the Millennium. Because NFG’s Northern Access project is stalled, they are shifting their budget and drilling further west, to do Utica drilling in locations where there is already pipeline infrastructure. So this is yet another case of the NY screwing up Marcellus drilling PA that would otherwise be happening. Landowners in PA can thank NY Gov. Cuomo for screwing them over. Tanski also mentioned the court case for Northern Access, and that FERC (Federal Energy Regulatory Commission) may step in and overrule the NY DEC, as is now being considered in the Constitution Pipeline case (see today’s lead story). Here’s the update from NFG…
Yesterday MDN brought you the exciting news that Millennium Pipeline has asked the Federal Energy Regulatory Commission (FERC) to overrule the New York Dept. of Environmental Conservation–politicized and corrupted by Gov. Andrew Cuomo–and issue permission to commence construction of a very small 7.8 mile pipeline that will connect Millennium to a natural gas-fired power plant now under construction in Orange County, NY (see 
This is it folks. This is the case that will crush New York Gov. Andrew Cuomo’s blockade of important pipeline projects in the Empire State. For 19 months the New York Dept. of Environmental Conservation (DEC) has dithered around, at the prompting of Andrew Cuomo, and has refused to grant federal Section 401 Water Quality Certification stream crossing permits for a tiny 7.8 mile pipeline spur off the Millennium Pipeline in Orange County, NY, called the Valley Lateral Project, to feed a gas-fired electric generating plant that is now under construction. Statutorily NY has 12 months (1 year) to review such an application and act on it. NY has refused to act on it. So Millennium took the NY DEC to the U.S. Court of Appeals for the District of Columbia Circuit. In June the court dismissed the lawsuit by Millennium, which at first blush may seem like a blow. But it was the reasoning and opinion of the judges in dismissing the case that will change everything in New York. The judges said there is no case because if, as Millennium says, the DEC is denying the water permits, FERC itself has the power to jump back in and simply override NY DEC and issue the permits (see 
Radical anti-fossil fuelers with THE Delaware Riverkeeper and New Jersey Sierra Club, along with a mish mash of other fringe “environmental” groups, are becoming shrill in their demand that fracking be permanently banned in the Delaware River Basin. Riverkeeper, Sierra Club and other nutjob groups are this week delivering a petition they claim has over 63,000 signatures (many of them made up or dead) calling on the governors of the four states that are part of the Delaware River Basin Commission (DRBC) to vote to permanently ban fracking in the DRBC’s jurisdiction. Each day this week the group of, whatever you call them, are delivering the petitions in staged media events, in each state capital. These groups have wanted and lobbied for a permanent ban for years. Why push so hard for it now? What’s the urgency? Why go on the road now to demand an outright ban? There is only one reason we can think of for why these radicals are pushing so hard now: they are running scared, concerned that a lawsuit by a Wayne County landowner in federal court will go against the DRBC and finally force the issue, allowing fracking (see 
New York City needs more natural gas pipelines–and it needs them BAD. That’s the upshot of a newly released report from the New York Building Congress, a trade group representing some 450 other building-related trade groups with 250,000+ members. The report, titled “Electricity Outlook: Powering New York City’s Future” (full copy below) says NYC needs more pipelines built before the Indian Point Nuclear plant closes in 2021–both for electric generation (to replace Indian Point’s electricity) and because of the prohibition coming on heavier fuel oil used for wintertime heating. Interesting (and mind-blowing) fact: 81.5% of the electricity flowing in the five boroughs of NYC comes from natural gas-fired electric plants. The report calls for the Federal Energy Regulatory Commission to promptly approve Transco’s Northeast Supply Enhancement Project, when FERC has a quorum, which will flow more PA Marcellus gas to NYC and New Jersey. The report also calls on officials to approve Millennium Pipeline’s expansion request in Upstate. Of course the irony is not lost on those of us who live in Upstate New York–the irony being that we could be the ones providing at least some of that natural gas to our cousins in the City, if sleazeball Gov. Andrew Cuomo hadn’t banned fracking. So yes, New York needs more natural gas and needs it asap, but New York has banned the production of it–so we’ll have to get it from places like Pennsylvania, Ohio and West Virginia instead. Bad for us, but good for them…
In September 2016, MDN brought you the sad news that the former head of external affairs and government relations for Competitive Power Ventures (CPV), Peter Kelly, was indicted for bribing New York Gov. Cuomo’s long-time top aide Joseph Percoco to get state approvals for CPV’s $900 million Valley Energy Center natural gas-fired electric generating plant in Orange County, NY (see 
In March of this year, Williams filed a full, official application for the Northeast Supply Enhancement project (see 
An Appeals Court decision issued Friday has (in our opinion) HUGE ramifications for New York State and the Dept. of Environmental Conservation (DEC) that has been corrupted by political influence from Gov. Andrew Cuomo. It also has ramifications in other states with overactive environmental agencies too. It is hard for us to overstate how important we think this decision is. The NY DEC has been corrupted and politicized by one of the most corrupt governors New York has ever had: Andrew Cuomo. The Cuomo DEC has unilaterally decided not to issue 401 water crossing permits for several federally-authorized pipeline projects, including Williams’ Constitution Pipeline, NFG’s Northern Access Pipeline, and a teeny tiny 9-mile pipeline Millennium wants to build from their main pipeline to an under-construction natgas-fired electric plant in Orange County, NY, called the Valley Lateral Project. Millennium took the bull by the horns early on, when it was apparent the DEC was following the same pattern of delay and then deny, suing the DEC (see 
The Independent Oil & Gas Association of New York (IOGANY), sent an email last Friday to members alerting them to the profound bias evident for all to see on the state Dept. of Environmental Conservation (DEC) website with respect to renewable vs. fossil fuel energy. It seems the DEC has been politicized by Gov. Andrew Cuomo and now reflects his energy bias in promoting so-called renewable energy sources over fossil fuel energy sources. As IOGANY points out in their email (and as we’ve stated many times), nobody is against renewable sources of energy. They (and we) are, however, against the state choosing sides and promoting some sources over others, when it doesn’t make sense environmentally nor economically. IOGANY’s observations are compelling–showing just how biased agencies like the DEC have become…
An overwhelming majority of voters in Connecticut, Massachusetts, New Hampshire and New York support energy delivery of transportation fuels and the use of natural gas infrastructure – including the approval and construction of more pipelines in the region, according to a new poll from Consumer Energy Alliance (CEA). The CEA calls itself the “voice of the energy consumer.” CEA provides consumers with sound, unbiased information on U.S. and global energy issues. The scientific poll conducted by CEA of voters in the four states found that energy issues will affect how 86% of them vote in the next election. It also found 58% approve of “expanding pipelines to deliver transportation fuels for consumers and markets.” And you thought voters in New England and New York were all brain-dead leftists. Huh. Turns out the media is covering up the strong support that exists for pipelines and other energy infrastructure. Hello Gov. Cuomo! Are you reading this? Here’s a summary of the poll, along with the detailed poll results…