The Public Utility Commission published notice in the September 7 PA Bulletin inviting comments on the proposed replacement of plastic pipe by natural gas distribution utilities.

In August, 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, 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

Interested parties will have 30 days from the publication date in the PA Bulletin to submit comments, and 45 days to offer any reply comments.

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.)

PA Oil & Gas Industry Public Notice Dashboards:

-- PA Oil & Gas Weekly Compliance Dashboard - Aug. 31 to Sept. 6 - Mystery Oil Leak Into Allegheny River; Holes In Shale Gas Casing; 65 Days Late In Plugging Conventional Well  [PaEN]

-- PA Oil & Gas Industrial Facilities: Permit Notices, Opportunities To Comment - September 7 [PaEN]

-- DEP Posted 48 Pages Of Permit-Related Notices In September 7 PA Bulletin  [PaEN]

-- DEP Permitting Efficiency: 20,595 Permits Since 11/2023; Decisions On 16,745;  Zero  Currently Eligible For PAyback Did Not Meet Decision Deadlines; No Application Fees Refunded [9.6.24]

Related Articles This Week:

-- Abandoned Well Citizen Expert Laurie Barr, University Of Pennsylvania Prof. Jennifer Wilcox Recognized On The Grist 50 List [PaEN]

-- Sen. Comitta: New PUC Pipeline Safety Regulations To Be Published As Final This Month For Public Utility Hazardous Liquid Pipelines  [PaEN]

-- Environmental Health Project: CNX Resources Claims Shale Gas Drilling Poses No Public Health Risks Are ‘Misleading, Irresponsible, Dangerous’  [PaEN]

-- Cecil Township Proposes 2,500 Foot Setback Ordinance From Oil & Gas Infrastructure For Sept. 4 Hearing In Washington County  [PaEN]

-- Center For Coalfield Justice Hosts Sept. 24 Program In Washington County On Increasing Setbacks From Oil & Gas Infrastructure  [PaEN]

-- US Dept. Of Interior Approves $76.4 Million To Plug Abandoned Conventional Oil & Gas Wells In Pennsylvania; 1,234 Violations For Abandoning Conventional Wells In Last 20 Months  [PaEN]

-- Environmental Defense Fund, Moms Clean Air Force To Hold Public Meetings In 3 Northwest PA Counties On A Project To Test New Methods Of Locating Abandoned Conventional Oil, Gas Wells  [PaEN]

-- Source Of 19-Day-Old Oil Discharge Into Allegheny River In Venango County Still A Mystery; Recreators Asked To Avoid The Area  [PaEN]

-- Baker Hughes: PA Natural Gas Drilling Rigs Dropped 2 More Last Week To 16; Nearly 25% Drop In 2 Weeks

-- DEP’s Oil & Gas Workload Report shows during the week ending August 30, DEP received Zero new permit applications for conventional wells and Three new permit applications for shale gas wells.

-- Independent Fiscal Office Reports 2nd Quarter PA Natural Gas Production Dropped To Lowest Level Since 2020; Number Of PA Drilling Rigs Drop By Nearly 25% In 2 Weeks As A Result Of Drillers Trying To Raise The Price Of Gas  [PaEN]

-- Center for Coalfield Justice Blog: Update On Underground Longwall Coal Mining In Greene, Washington Counties; Next DEP Report On Longwall Impacts Due… Soon  [PaEN]

-- PUC Invites Comments On Accelerated Removal, Replacement Of Older Plastic Pipe In Natural Gas Distribution Systems  [PaEN]

NewsClips This Week:

-- Post-Gazette - Anya Litvak: PA To Receive $76 Million To Plug Hundreds Of Abandoned Conventional Oil, Gas Wells; DEP Holds Workshops On New Plugging Grants

-- Earthworks: Radically Misleading - Gov. Shapiro’s Dangerous Partnership With CNX Resources Nurts Communities, Ignores The Facts

-- Inquirer - Will Bunch: Everything You Know From TV About Pennsylvania And Fracking Is Wrong

-- Reuters: Anadarko, Other Natural Gas Companies Defeat Federal Lawsuit In PA Over Royalty Payments

-- Marcellus Drilling News: UGI Seeks To Temporarily Store LNG Gas In Trailers In Scranton Suburb During Winter  [PDF of Article]

-- Scranton Times: UGI Claims Dickson City Boro Has No Jurisdiction Over Plan To Store LNG Gas In Trailers

-- Erie Times Guest Essay: Erie Manufacturer & Business Assn. Questions Biden’s Pause On Permits For New LNG Gas Export Facilities [Court Ended Pause July 1; PA Shale Gas Desperate To Sell Gas To Our Competitor China To Support Their Economy, Will That Help PA Manufacturing? ]

-- PennLive Guest Essay: Energy And Labor Are Both Needed To Power PA’s Future - By Marcellus Shale Gas Coalition & PA State Building Trades Union  PA Shale Gas Desperate To Sell Gas To Our Competitor China To Support Their Economy, Will That Help PA Manufacturing?]

-- US EIA: North America’s LNG Gas Export Capacity On Track To More Than Double By 2028

-- Utility Dive: Ratepayer Advocates Urge PJM To Include Power Plants With ‘Reliability-Must-Run’ Contracts In Next Electricity Auction; Would Have Lowered Overall Cost Of Last Auction By $5 Billion

-- Utility Dive: Reregulation?  How Utilities And States Are Responding To PJM’s Record Electricity Capacity Prices [Part 1 of 3]

-- Utility Dive: PJM Considers Fast-Track Review For Shovel-Ready Electric Generation Projects [Part 2 of 3]

-- Utility Dive: Increasing Capacity Of Existing Generation, Batteries, Demand Response May Offer Near-Term Responses To Record PJM Electricity Auction Prices [Part 3 of 3]

-- Bloomberg: High Natural Gas, Other Fossil Fuel Use Highlights US Challenge To Clean Energy Transition

-- Bloomberg: European Natural Gas Prices Approach Oversold Zone After 3-Day Sell-Off

-- Reuters: US LNG Gas Export Dominance Tested As Europe’s Demand Wilts

-- Reuters: US Regulators OK First Step To Start New Louisiana LNG Gas Export Facility

-- Bloomberg: DOE Approves New Fortress Energy LNG Gas Export Facility In Mexico

-- US EIA: North America’s LNG Gas Export Capacity On Track To More Than Double By 2028

-- The Guardian: How An LNG As Export Facility Project Along The Gulf Coast Is Upending Residents’ Lives 

[Posted: September 6, 2024]

9/9/2024