Mass. Sen. President Rosenberg to Berkshire Gas: Pipeline is dead; lift the moratorium

The Republican ^

[matt04]

Massachusetts Senate President Stanley Rosenberg on Wednesday called upon Berkshire Gas to lift its moratorium on new and expanded natural gas service in the region — but a spokesman for Berkshire's parent company, the publicly-traded Avangrid, told The Republican that the moratorium on new hookups would stay in place without a "permanent solution" for additional natural gas capacity in western Massachusetts.

...

Berkshire Gas had hoped to purchase capacity on the line. Berkshire's parent company, Avangrid, had also signed on as an investor in the $5-8 billion Kinder Morgan pipeline.

Berkshire more than a year ago imposed a moratorium on new service in its Eastern Division, comprising Greenfield, Deerfield, Montague, Whately, Sunderland, Hatfield, Hadley, and Amherst. Berkshire said in newspaper advertisements and on customer bills that the moratorium would stay in place until the pipeline was built.

"For many months now, I've been pressing Berkshire Gas to articulate what their 'Plan B' would be to lift the moratorium and serve the customers of Western Mass at their earliest possible convenience if the pipeline were not built," Rosenberg said in a statement.

"Unfortunately, the only solution they recognized was the proposed NED pipeline. I now urgently call on Berkshire Gas to implement industry-standard practices to lift the moratorium which constrains economic development in the region. Those alternatives include increasing use and storage of liquid natural gas, compressed natural gas, or propane, as well as reducing existing leaks, in order to lift the moratorium immediately."

...

Avangrid spokesman Michael West said in a telephone interview that the moratorium will stay in place, and that there is no "Plan B."

"The moratorium will continue for the Eastern Division," said West. "The capacity constraints still exist. Northeast Energy Direct was the permanent solution that would have relieved those capacity constraints."

[SteveH]

Really? Next thing you know, people will be saying that our US President is somehow under the control of foreign Muslim interests.

:-(

[Ozark Tom]

They shut down the coal fired portion of the electric grid and shifted generation to natural gas fired turbines. When the pressure drops in the supply/ distribution pipelines, the heating customers have priority over electric utilities. The gas distribution operation has no more capacity to sell and remain a stable, reliable utility.

It’s not as if this is suddenly an unanticipated result. The pipeline cannot get the right-of-way easements necessary to place line, and has withdrawn as an active proponent at this time. The gas distribution utility must have a new supply to expand a customer base. Their pricing is regulated by the utility commission, thus they can buy long term contracts at a set price and deliver to a limited size customer base with guaranteed service. It’s a political failing to not sort out more pipeline installed capacity, not a distribution failing for not having more supply available to sell.

Liquefaction of natural gas is costly, and delivery in bulk problematic. Shipping by truck or rail would also add considerable costs, as the fuel energy density by volume is lower than oil or coal. Ships and barges for liquefied gas transport have large tank-age, and require specialized requirements for terminals. Passing these costs through to customers is a headache, as the utility commission must approve. Politicians are passing the buck.

[cicero2k]

I said years ago as natty became the major power generation fuel that plant site storage would be a danger. Power plants don’t store much gas on site, not the 60 days that coal plant would have.

[MSF BU]

Sixty days is normal. That’s a terrific bulwark against interruptions, natural disaster, etc.