On February 20, the Public Utility Commission approved a settlement concerning welding issues and in-service repairs that were discovered in October 2021 at a Columbia Gas regulator station in Beaver County.

The Commission voted 5-0 to approve the joint settlement presented by Columbia Gas and the PUC’s independent Bureau of Investigation and Enforcement (I&E).

Incident Investigation

The settlement addresses issues related to I&E engineering staff discovering evidence of a weld “burn-through” on one of the welds at a Columbia Gas regulator station located in Rochester, Beaver County.

A burn-through occurs when excessive penetration has caused the weld puddle to be blown into the pipe, leaving an open hole or cavity.

Additionally, I&E learned that the welder for a Columbia Gas contractor who was performing the work at the Rochester Station had attempted to repair the burn-through while the pipeline was in service and operating, and that repair had remained in service for approximately four months before it was discovered. 

Soon after that discovery, the regulator station was taken out of service so proper repairs could be carried out.

As a result of their investigation, I&E alleged that Columbia Gas failed to have procedures and processes in place to address how to repair a burn-through and whether the repair work can be performed while a pipeline is in service.

Settlement Details

The joint settlement calls for Columbia Gas to pay a $9,000 civil penalty, which will not be recovered as part of any future ratemaking proceeding and will not be tax deductible.

The settlement also includes a series of corrective actions and procedural changes by Columbia Gas, including--

-- The development of procedures related to welding burn-throughs and in-service repairs.

-- Amendments to the Columbia Gas Welding Manual to include procedures related to the revocation of welder qualifications.

-- The retraining and requalification of the welder involved in this incident, along with a listing of all project jobs on which this welder completed welds and the inspection of a sampling of those welds.

-- The issuance of an advisory bulletin and updates to company and contractor personnel about burn-throughs and in-service welding.

-- Amendments to quality assurance and quality control practices.

-- Conducting a causal analysis for pipeline burn-throughs and other welding-related issues.

-- Reviewing and amending in-service procedures in the Columbia Gas Welding Manual and related welder training.

Documents related to this settlement can be found at PUC Docket No.: M-2024-3038111.

Click Here for a copy of the PUC announcement.

PA Oil & Gas Industry Public Notice Dashboards:

-- PA Oil & Gas Weekly Compliance Dashboard - Feb. 15 to 21 -- Shale Gas Wells Seismic Investigation; Conventional Well Spill Cost Water Co. Customers $900,000 So Far; Oil & Gas Waste Plant Fails To Report Wastewater  [PaEN]

-- PA Oil & Gas Industrial Facilities: Permit Notices, Opportunities To Comment - February 22 [PaEN]

-- Environmental Integrity Project: President Orders Hundreds Of Energy Emergency Reviews Of US Army Corps Of Engineers Project Permits, Including Dozens In PA  [PaEN]

-- DEP Posted 97 Pages Of Permit-Related Notices In February 22 PA Bulletin  [PaEN]

Related Articles This Week:

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-- PUC To Investigate Proposed 10.8% UGI Natural Gas Rate Increase  [PaEN]

-- PUC Approves $9,000 Penalty Against Columbia Gas For Defective Welding At Gas Regulator Station In Beaver County  [PaEN]

NewsClips:

-- The Derrick:  Aqua Spells Out Venango Water Co. Expenses Since Its PUC-Ordered Emergency Role  [PDF of Article]

-- The Derrick: GCI Water Fails To Report To Titusville Boro On How Much Oil & Gas Wastewater It Is Treating Thru The Boro’s Wastewater Plant, DEP Reporting May Not Be Accurate  [PDF of Article]

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-- Courier Times: More Wells In Bucks County Contaminated, Residents Fear Impact Of Energy Transfer/Sunoco Pipeline Leak Spreading

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-- Williamsport Sun: Lawmaker: Electrical Grid Facing Future Shortage Of Energy

-- Guest Essay: Iceberg Ahead - Pennsylvania’s Looming Power Crisis - By Sen. Gene Yaw (R-Lycoming)

-- DailyEnergyInsider.com: Let PA Regulated Utilities Invest In And Own Electric Generation Resources, Says PPL Electric President 

-- LehighValleyNews.com  Guest Essay: Ex-PUC Chairmen Say The ‘New PPL’ Wants PA To Go Backward And Own Electric Generation - By James Cawley, Robert Powelson, Glen Thomas

-- Reuters: New US Energy Council Chief Calls On Power Plants To Produce 10% to 15% More Electricity To Meet A.I., Data Center Demands

-- Scranton Times: PUC Will Investigate Proposed 10.8% Rate Hike By UGI Gas

-- Wilkes-Barre Times: PUC To Investigate Proposed 10.8% UGI Gas Rate Hike

-- MCall Guest Essay: US Dept. Of Energy LNG Gas Export Facility Plans Will Pollute Communities, Raise Prices - By Alex Bomstein, Clean Air Council

-- Reuters: EU Seeks More US LNG Gas, Renewable Energy To Replace Russian Supplies; Gas Prices Rose To 2-Year Highs Last Week

-- The Economist: Will Europe Return To Putin’s Natural Gas If Negotiations End Ukraine War?  Lower Gas Prices Could Revive European Economy Without Expensive US LNG Gas

-- Bloomberg: Stocks Of US LNG Gas Export Companies Drop Amid Talks Over Ending Ukraine War

-- Reuters: Oil Price Increases For Third Day On US Fuel Stocks Draw, Worries About Russia Disruptions

-- The Center Square: PA Shale Gas Wastewater Could Be A Significant Source Of Lithium, A Key Component In Making Electronic Devices

-- The Energy Age Blog: Maryland State Senators Propose Bill To Legalize Fracking

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-- Utility Dive: President’s New Executive Order Brings Federal Energy Regulatory Commission Under White House Review, Approval Process For Regulations, Actions

[Posted: February 21, 2025]

2/24/2025