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PA DEP Squeezes Another $660,000 from ME2 Pipe for “Violations”

The problem with the pay-for-protection scam is that it never stops. A mobster comes calling on a business, and for a “small” and regular fee, the mobster will guarantee nothing “happens” to the business. “Just think of it as insurance.” It’s a shakedown–a scam. And over the years, the price keeps going up. What if the mobster is a government agency, like the Pennsylvania Dept. of Environmental Protection (DEP)? The DEP keeps shaking down Energy Transfer and its Sunoco Pipeline subsidiary over the construction and operation of the Mariner East 2 (ME2) pipeline. Over the years, the DEP has fined ET/Sunoco over $30 MILLION for so-called penalties related to building ME2. [And another $30.6M related to the Revolution Pipeline explosion.] Yesterday, the DEP announced ANOTHER $660,000 in “penalties” related to building ME2. When will it end?
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Manufacturers’ Assoc. Says PA Could Eclipse TX to Become #1 in Gas

David Taylor, president and CEO of the Pennsylvania Manufacturers’ Association, was one of the featured speakers at yesterday’s Think About Energy Briefing held in Berks County, PA. Taylor said if PA and federal legislators commit to a pro-growth agenda, PA could become the country’s No. 1 natural gas-producing state. Right now that honor belongs to Texas, which produces enormous amounts of associated natural gas. In 2021, #1 Texas produced 9.4 Tcf (trillion cubic feet) of natural gas, while #2 PA produced 7.7 Tcf. Taylor’s statement is not unthinkable. PA *could* one day eclipse TX natgas production.
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PA Fines Sunoco $355,636 for Old Mariner East 2 Pipe Violations

Credit: Scott Blanchard / StateImpact Pennsylvania (click for larger version)

In early 2018 Sunoco Logistics Partners (aka Energy Transfer) agreed to pay a massive (historically high) $12.6 million fine to the PA Dept. of Environmental Protection (DEP) for “permit violations related to the construction of the Mariner East 2 pipeline project” (see Sunoco LP Pays PA DEP $12.6M to Resume ME2 Pipeline Construction). It wasn’t the only fine the ME projects have incurred. Last Thursday Sunoco agreed to pay *another* $355,636 for a series of “inadvertent returns” (i.e. drilling mud spills) that happened more than a year ago, between August 2018 and April 2019.
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PA PUC Fines Mariner East 1 $200K, Orders “Remaining Life” Study

In April 2017 (almost three years ago) the Mariner East 1 pipeline sprung a small leak and spilled 20 barrels (~840 gallons) of ethane and propane in Berks County, near Philadelphia. Sunoco Logistics Partners, builder and maintainer of the pipeline, shut it down and fixed it over the next several days. Yesterday the Pennsylvania Public Utility Commission announced a “settlement” with Sunoco, to fine the company $200,000. Sunoco, as part of the settlement, must also conduct a “remaining life” study of the pipeline. After all, it is almost 90 years old.
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TETCO Files FERC Request to Upgrade 2 SEPA Compressor Units

Bernville Compressor Station (credit: Reading Eagle)

Just coming to light for us now, on April 18 Texas Eastern Transmission Company (TETCO), a massive 9,071-mile natural gas pipeline stretching from the Gulf Coast to New York City, filed a request with the Federal Energy Regulatory Commission (FERC) to replace and upgrade two compressor units at its Bernville Compressor Station located in Berks County, PA.
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Sunoco, DEP Settle on $200K Fine for ME1 Pipe Leak in 2017

The Mariner East 1 pipeline sprung a small leak and spilled 20 barrels (~840 gallons) of ethane and propane in Berks County, near Philadelphia, on April 1, 2017 (see Mariner East 1 Sprang a Small NGL Leak Near Philly, on Apr 1). Sunoco Logistics Partners (i.e. Energy Transfer), builder and maintainer of the pipeline, shut it down and fixed it over the next several days. It took the Pennsylvania Public Utility Commission (PUC), which oversees regulation of the pipeline, a year and a half to investigate.
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Sunoco Fined $225K for Small Leak on ME1 Pipeline in 2017

The Mariner East 1 pipeline sprung a small leak and spilled 20 barrels (~840 gallons) of ethane and propane in Berks County, near Philadelphia, on April 1 (see Mariner East 1 Sprang a Small NGL Leak Near Philly, on Apr 1). Sunoco Logistics Partners (i.e. Energy Transfer), builder and maintainer of the pipeline, shut it down and fixed it over the next several days. The Pennsylvania Public Utility Commission (PUC), which oversees regulation of the pipeline, has just (a year and a half later) “requested” Sunoco pay $225,000 for violating various state and federal regulations. It was an $11,250 per barrel spill.
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FERC Approves Birdsboro Pipe Near Philly to Begin Service

Birdsboro Pipeline route (click for larger version)

That was fast! Construction began on a new 14-mile pipeline from the Texas Eastern Transmission (Tetco) mainline in Rockland Township, to a natural gas-fired power plant under construction in Birdsboro in Berks County, near Philadelphia, in June (see Construction Begins for 14-Mile Pipe to Feed Berks Gas-Fired Plant). DTE Midstream is building the pipeline to feed Marcellus gas to the new, under-construction gas-fired Birdsboro Power plant being built by EmberClear. The pipeline itself was done in November and DTE asked the Federal Energy Regulatory Commission (FERC) for permission to start it up on Nov. 19. That permission was finally granted on Monday, Dec. 10. But wait! The power plant won’t be done and online until the middle of 2019…so why start up the pipeline now?
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Sunoco Fined $148K for ME2 Drilling that Fouled PA Water Wells

At various points over the past year or so, Sunoco Logistics, in using underground horizontal directional drilling (HDD) for the Mariner East 2 pipeline project, has negatively affected some private water wells. A dozen private wells were affected by ME2 work in West Whiteland Township, in Chester County, last summer (see Sunoco LP’s Generous Deal to Chester Co. Residents with Water Issues). Sunoco made the situation right in West Whiteland, paying to extend a local municipal water line to the affected homes. But West Whiteland wasn’t the only location. There were others, in Berks County and Lebanon County. To the best of our knowledge, all of the water well issues have been corrected. But as always happens with these incidents, companies like Sunoco must pay twice. They pay (handsomely) to fix the issue–as they should. But then they pay a fine to the state. The fine for fouling water wells in three counties related to ME2 work was handed down yesterday by the Dept. of Environmental Protection. Sunoco has to pay $148,000 for violating PA’s Clean Streams Law and Dam Safety and Encroachment Act…
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Construction Begins for 14-Mile Pipe to Feed Berks Gas-Fired Plant

Birdsboro pipeline route – click for larger version

Ladies and gentlemen–start your bulldozers! It’s time to begin building a 14-mile natural gas pipeline from the Texas Eastern Transmission (Tetco) mainline in Rockland Township, to a natural gas-fired power plant under construction in Birdsboro (Berks County, near Philadelphia). EmberClear Corp. is a Canadian-based company that builds and operates natural gas-fired electric generation plants in North America. In 2015, EmberClear filed an application to build a new 488-megawatt natural gas-fired electric plant in Birdsboro, in Berks County, near Philadelphia (see New NatGas-Fired Electric Plant Coming Near Philadelphia). In April 2017, two different Japanese companies, Sojitz Corporation and Tokyo Gas, each purchased a one-third share ownership of the Birdsboro Power project (see Japanese Now Own 2/3 of Marcellus-Powered Electric Plant in SEPA). We call the Birdsboro Power a “Japanese-owned” project, which it is, but in reality EmberClear is still the company building and operating it. The PA Dept. of Environmental Protection (DEP) issued permits for the Birdsboro project in March of this year, and the project is now under construction (see PA DEP Issues Permits for Japanese Gas-Fired Elec Plant in SEPA). In order to operate, the plant will need gas. It will get its gas from the Tetco pipeline 14 miles away, via a dedicated pipeline. Construction has begun on the pipeline. Or rather, preliminary construction–clearing trees, etc. It will only take a few months to complete the pipeline project…
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PA DEP Issues Permits for Japanese Gas-Fired Elec Plant in SEPA

Birdsboro Power concept

The Pennsylvania Dept. of Environmental Protection (DEP) announced last Friday it has issued all of the necessary state permits to the Birdsboro Power Marcellus gas-fired electric plant project (in Berks County, PA) for the project to begin construction. Last October the DEP held a hearing on the proposed 488-megawatt natgas-fired electric plant slated for Birdsboro, near Philadelphia (see PA DEP Public Hearing on Japanese Gas-Fired Elec Plant in SEPA). Even though the project has the state permits it needs, it still lacks final approval from the U.S. Army Corps of Engineers before they can begin construction of the new plant…
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PA Chips in $2M to Build NatGas Pipelines in Berks, Centre Counties

In 2016 the Pennsylvania legislature, over the objections of PA Gov. Tom Wolf, voted to shift $24 million away from a boondoggle program called the PA Alternative Energy Investment Act and into a new program called the Pipeline Investment Program, or PIPE (see PA Gov Wolf Launches (Gasp) Pipeline Investment Program). The PIPE program helps fund pipeline construction to manufacturers, hospitals and schools to provide clean-burning, abundant, cheap and home-grown Marcellus Shale gas to those organizations. Since that time a number of PIPE $1 million grants have been doled out. Each time another grant is issued, Gov. Wolf’s publicity team makes a big deal out of it, pretending old Tommy is Santa Claus himself. Nary a word about Wolf’s original objection to the program. Last November Wyoming County got a $1 million grant to help run natgas pipes there (see PA Approves $2.4M Project to Run NatGas Pipes in Wyoming County). On Tuesday, Gov. Santa Claus handed out another two such grants. One $1M grant will go to Berks County (near Philadelphia) to run natgas pipelines to the Hamburg Commerce Park where it will feed 33 businesses and 20 area homes. The other $1M grant will go to Centre County (home of Penn State), where a new natgas pipeline will feed 6 businesses and 89 homes…
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FERC Issues Favorable EA for Power Plant Pipeline Near Philly

In October the Pennsylvania Dept. of Environmental Protection held a hearing on a proposed 488-megawatt natural gas-fired electric plant in Birdsboro, in Berks County, near Philadelphia (see PA DEP Public Hearing on Japanese Gas-Fired Elec Plant in SEPA). The project, first proposed in 2015 by Canadian-based EmberClear Corp., is making progress, as evidenced by the DEP hearing. In April of this year, two different Japanese companies, Sojitz Corporation and Tokyo Gas, each purchased a one-third share ownership of the project (see Japanese Now Own 2/3 of Marcellus-Powered Electric Plant in SEPA). You can’t have a Marcellus-fired electric plant without a pipeline to feed it. On May 1st of this year, DTE Midstream filed plans with the Federal Energy Regulatory Commission (FERC) to build 13.2-mile, 12-inch diameter pipeline from the Texas Eastern Transmission Company (TETCO) pipeline in Berks County to the Birdsboro site. On Wednesday, FERC issued a favorable environmental assessment (EA)–telegraphing that a final approval for the pipeline project is on the way soon…
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Oil Pipeline Near Philly to be Converted to Flow Fracked NatGas

Exciting! We have a brand new pipeline project to tell you about–located in the Greater Philadelphia area. Although the project is new, the pipeline is old–already in the ground. Talen Energy, birthed in June 2015 from a combination between PPL Energy Supply and certain assets of Riverstone Holdings, is one of the largest competitive energy and power generation companies in North America. Talen’s core business is building and operating electric generating power plants. One of the assets Talen inherited in the merger is an 84-mile pipeline called the Interstate Energy Company which runs from Northampton County, PA through Bucks, Montgomery, and Chester counties, terminating in Delaware County at Marcus Hook. Talen announced yesterday they’ve sold the Interstate Energy Company (the pipeline) to Adelphia Gateway, a subsidiary of New Jersey Resources, for $189 million. The northern 34 miles of the pipeline was converted to flow natural gas back in 1996. The southern 50 miles currently flows oil, but Adelphia (NJ Resources) announced yesterday they will convert the oil portion of the pipeline to instead flow natural gas. The bottom line is that a wide swath of Greater Philly is about to get a new source of clean-burning, abundant fracked PA natural gas…
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PA Republican Senate Extends SE PA Drilling Ban in Newark Basin

As MDN has explained in a companion story appearing today (see PA Republican Senate Changes Lease Terms for Landowners), the PA legislature has slipped a number of “environmental riders” into one of the final budget bills. The riders are bits of legislation that have nothing to do with the budget or spending, but tacked on as a way of getting them passed without the mess of voting on them individually. One of those riders affects the potential to drill for oil and gas in southeast PA. Back in 2012, an eleventh hour deal was snuck into the Pennsylvania budget signed into law by then-Gov. Tom Corbett (see Republicans Sneak SE PA Drilling Ban into Budget Deal). An amendment was introduced to the budget that established a moratorium on drilling in southeastern PA in the South Newark Basin, a small area which stretches from New Jersey through Bucks, Montgomery and Berks counties in PA. Caving to pressure from the libs that elect them, RINOs (Republicans in Name Only) placed an ongoing moratorium on any kind of drilling–test wells or otherwise–in their region. Disgusting. However, Section 1607, as it is called, had this provision: “This section shall expire January 1, 2018.” Senate Republicans have once again screwed the drilling industry by removing the expiration date, but leaving the moratorium in place. There are certain conditions that must be met according to 1607 (see them below), but practically speaking, we doubt those provisions will ever happen, meaning there will never be drilling in southeast PA…
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PA DEP Public Hearing on Japanese Gas-Fired Elec Plant in SEPA

EmberClear Corp. (and its parent Ember Partners) is a Canadian-based company that builds and operates natural gas-fired electric generation plants in North America. In 2015, EmberClear filed an application to build a new 488-megawatt natural gas-fired electric plant in Birdsboro, in Berks County, near Philadelphia (see New NatGas-Fired Electric Plant Coming Near Philadelphia). In April of this year, two different Japanese companies, Sojitz Corporation and Tokyo Gas, each purchased a one-third share ownership of the project (see Japanese Now Own 2/3 of Marcellus-Powered Electric Plant in SEPA). We call the Birdsboro project a “Japanese-owned” project, which it is, but in reality EmberClear is still the company building and operating it. The PA Dept. of Environmental Protection (DEP) has just announced they will hold a public hearing on the project, to consider issuing both a water permit and an erosion/sediment control permit for the project. The hearing will be on Nov. 2 in Birdsboro…
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