PUC Seeks To Accelerate Removal, Replacement Of Older Plastic Pipe In Natural Gas Distribution Systems
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On August 1, the Public Utility Commission moved to accelerate the process for identifying, removing, and replacing older plastic piping and components in Pennsylvania’s natural gas distribution systems.

The Commission voted 5-0 to approve a motion by Chairman Stephen M. DeFrank which is patterned after the state’s successful ongoing efforts to eliminate other at-risk materials from natural gas utility systems.

Click Here for motion and more background on the plastic pipe issue.

In his motion today, Chairman DeFrank noted the substantial progress that has been made across Pennsylvania removing at-risk gas pipe materials – especially older cast iron and unprotected steel.

Those efforts have accelerated as natural gas companies were authorized to use a Distribution System Improvement Charge (DSIC) to fund quicker replacement, reducing the amount of at-risk piping to a fraction of what it was a decade ago.

This latest PUC initiative seeks to use the DSIC and other tools to address new concerns about older plastic materials.  

“Significant progress has been made in the removal of cast iron and bare steel pipe in Pennsylvania’s natural gas distribution systems.  In fact, 81% of cast iron pipe has been removed from non-municipally owned systems,” stated Chairman DeFrank.  “While I understand that cast iron and bare steel have not been fully eliminated, it is important to simultaneously focus on the replacement of older plastic pipe.”

Key Plastic Pipe Issues

The PUC’s plastic pipe replacement initiative includes three key components related to older plastic materials – installed between the 1960s and 1980s – which are susceptible to brittle-like cracking--

-- Information Gathering – The PUC conducted a recent survey regarding at-risk plastic pipes, but not every natural gas utility replied to that data request. Today’s motion requires PUC staff to reissue that data request and directs all non-responsive utilities to provide the requested information within 30 days.

-- Adding At-Risk Plastic Pipe to Existing Replacement Plans – Older plastic pipe is not currently targeted for replacement by every natural gas utility eligible to use a DSIC, but today’s motion would allow amendments to those plans to accelerate the replacement of at-risk plastic materials.

-- New Pipeline Replacement Plans for Smaller Utilities – Smaller natural gas utilities would be required to file a Pipeline Replacement Plan for Commission review and approval, requiring replacement of at-risk pipe (including plastic, cast iron and unprotected steel) based on the risks identified in their integrity management plans.

Public Comment

Based on today’s motion, the Commission will issue a Tentative Order which will be published in the Pennsylvania Bulletin.  Interested parties will have 30 days from the publication date to submit comments, and 45 days to offer any reply comments.

Click Here for motion and more background on the plastic pipe issue.

Documents related to this action can be found at: Docket No.: M-2024-3050313

(Photo: NTSB illustration of DuPont Aldyl A plastic natural gas pipeline “T” that may have contributed to the deadly Reading chocolate plant explosion.)

Reference Link:

-- WGAL: NTSB Investigation Points To A Crack In Plastic Natural Gas Pipeline ‘T’ Fueled The Explosion At The Reading Chocolate Factory That Killed 7 People

PA Oil & Gas Industry Public Notice Dashboards:

-- PA Oil & Gas Weekly Compliance Dashboard - July 27 to August 2 - 120 More Abandoned Conventional Wells; 3rd Pipeline Construction Spill; 1,260 Gallon Conventional Oil Spill  [PaEN] 

-- PA Oil & Gas Industrial Facilities: Permit Notices, Opportunities To Comment - August 3 [PaEN]

-- DEP Posted 66 Pages Of Permit-Related Notices In August 3 PA Bulletin  [PaEN]

Related Articles This Week:

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-- PA US Sen. Casey Cosponsors Bill To Find, Clean Up Abandoned Oil & Gas Wells, Improve Detection, Plugging Tech  [PaEN]

-- Eureka Resources Request To Terminate Its Water Quality Permit For A Proposed Oil & Gas Wastewater Treatment Facility In Dimock, Susquehanna County Approved By DEP  [PaEN]

-- PUC Seeks To Accelerate Removal, Replacement Of Older Plastic Pipe In Natural Gas Distribution Systems  [PaEN]

-- PJM Electricity Auction Price 9 Times Higher Than Previous Auction-- $269.92/MW-Day For 2025/26 Delivery Compared To $28.92/MW-Day In 2024-25; Extreme Weather Risk Big Factor    [PaEN]

-- Natural Resources Defense Council: The Cost Of Slow-Walking Clean Energy Can Be Seen In Latest PJM Electricity Prices  [PaEN]

-- PennFuture: Dramatic PJM Electricity Price Increases Due To Forced Outages Of Gas Power Plants; Huge Backlog Of New Generation Projects; Demand Growth Driven By Data Centers, Cryptocurrency Mining  [PaEN]

-- Kleinman Center For Energy Policy: The High Price Of Failing To Transition To Clean Energy In PJM Footprint; Next PJM Auction Is In December - By John Quigley, Senior Fellow, Kleinman Center  [PaEN]

-- House Committee Held 2nd Hearing On Governor’s Energy Plan To Diversify Energy Generation, Improve Grid Reliability, Lower Consumer Energy Costs  [PaEN]

-- US Dept. Of Energy Awards Western PA/WV/OH ARCH2 Hydrogen Hub $30 Million  [PaEN]

-- USDA Announces $163 Million In Rural Energy For America Funding, Including 4 Projects in Pennsylvania  [PaEN]

-- PA Solar Center, Philadelphia Solar Energy Assn., Partners Host Aug. 14 Webinar To Get Eligible Schools Ready To Apply For The New PA Solar For Schools Grants  [PaEN]

-- US Dept. Of Energy Accepting Applications For Grants To Expand Innovative Weatherization Assistance Programs

-- DEP Awards $15+ Million In PA Electric Grid Resilience Grants To Prevent, Shorten Power Outages In Rural Electric Systems; Fall Grant Round Planned  [PaEN]

-- DEP Awards $2.3 Million To Schools, Businesses, Local Governments Switching To Zero- Or Low-Emission Vehicles; Now Accepting Applications  [PaEN]

-- Appalachian Voices Urges Congress To Reject Proposed Changes To Federal Energy Permitting That Reduces Opportunities For Communities To Challenge Projects; US Senate Committee Considers Bill July 31  [PaEN]

NewsClips:

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-- Utility Dive: FirstEnergy Seeks Alternatives To PJM Capacity Market’s Dramatically Higher Prices To Bolster Power Supply

-- Bloomberg: Almost 20% Of Americans Face Prospect Of Higher Energy Bills

-- Meadville Tribune: National Fuel Natural Gas Rates Rising More Than 11% Aug. 1

-- AP: PUC Files Complaints Against Peoples Gas In Fatal 2021 Natural Gas Explosion In Tyrone, Blair County

-- WESA/WPSU: PUC Ask People’s Gas To Pay $800,000 After Deadly 2021 Natural Gas Explosion In Tyrone

-- Altoona Mirror: Peoples’ Gas Secrecy Questioned In 2021 Natural Gas Explosion In Tyrone

-- The Energy Age Blog: Acrylonitrile: From Fracking To Train Wrecks 

-- The Intelligencer - Wheeling: $25,000 Bond Keeps PA Oil & Gas Waste Company CEO Out Of Jail For Now Related To Martins Ferry, OH Waste Facility

-- The Energy Age Blog: Delaware County Employees Retirement System, Other Plaintiffs Secure $40 Million Recovery In Cabot Oil & Gas [Now Coterra Energy] Securities Fraud Lawsuit

-- Post-Gazette - Anya Litvak: EQT Natural Gas’ Toby Rice On Presidential Politics: ‘Time To Hold Leaders Accountable’ [EQT, PA Shale Gas Says We Have A ‘Duty’ To Sell More Gas To China Our Economic, Military Competitor]

-- Reuters: Coterra Energy Misses Profit Estimates On Weak Natural Gas Prices

-- Environmental Defense Fund: New Data Show US Oil & Gas Methane Emissions Over 4 Times Higher Than EPA Estimates; 8 Times Greater Than Industry Target

-- Reuters: Federal Appeals Court Throws Out FERC Approval Of PA/NJ Transcontinental Regional Energy Access Expansion Pipeline Project Saying The Agency Did Not Properly Address Objections

-- Marcellus Drilling News/Times West Virginian: Who’s To Blame For Dirty Natural Gas That Ruined West Virginia University’s Boilers?

-- Pittsburgh Business Times: Shell CEO Praises Progress Of Shell Petrochemical Plant In Beaver County

-- US Senate Committee Clears Manchin-Barrasso Bill To Change Federal Energy Facility Permitting Process

-- E&E News: What’s Next For US Senate Energy Facility Permitting Bill? 

-- Washington Examiner: Major Bipartisan Federal Permitting Overhaul Bill Clears Senate Committee

-- The Guardian: US Energy Permitting ‘Reform’ Bill A ‘Wishlist For The Fossil Industry,’ Say Environmental Groups

-- Earthworks Blog: Proposed Federal Energy Permitting Reform Act - Bill Prioritizing Polluters Over Communities

[Posted: August 1, 2024]


8/5/2024

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