On Dec. 18, the Federal Energy Regulatory Commission approved a November 2013 application from Columbia Gas Transmission LLC for authorization to construct and operate pipeline, compression, and auxiliary facilities in Pennsylvania, New Jersey, New York, and Maryland.
The project, referred to as the East Side Expansion Project, is designed to increase firm pipeline transportation service on the Columbia system by 312,000 dekatherms (Dth) per day. The project includes:
- Construction and operation of approximately 9.5 miles of 26-inch-diameter coated steel pipeline that will loop the existing 14-inch-diameter Line 1278 between the Eagle and Downingtown Compressor Stations in Chester County, Pennsylvania.
- Construction and operation of approximately 9.6 miles of 20-inch-diameter coated steel pipeline that will loop the existing 16-inch-diameter Line 10345 in Gloucester County, New Jersey.
“Columbia states that it held a non-binding open season between February 21 and March 13, 2012, FERC noted. “Subsequently, Columbia entered into precedent agreements with Cabot Oil & Gas Corporation, New Jersey Natural Gas Company, Southwestern Energy Services Company, South Jersey Gas Company, and South Jersey Resources Group, LLC to provide a total of up to 312,000 Dth per day of firm transportation service under its existing Rate Schedules FTS (Firm Transportation Service) and/or NTS (No Notice Transportation Service). Columbia explains that the executed precedent agreements include a range of primary terms of up to 15 years and that certain agreements are effective on the service commencement date, while other agreements provide for initiation of service at later dates. Columbia states that all the project shippers have elected to receive service at negotiated rates.”
Columbia estimates that the proposed facilities will cost approximately $268.5m.
FERC said in the approval order: “Columbia considered the potential for recovery of waste heat energy at its Easton Compressor Station, which will have a total of 22,254 hp, as discussed in the Interstate Natural Gas Association of America White Paper entitled ‘Waste Energy Opportunities for Interstate Natural Gas Pipelines’ (February 2008). However, Columbia concluded that the anticipated load factor of the compressor units do not make the facilities a viable location for waste heat recovery. Accordingly, Columbia should monitor this station and evaluate the potential for adding waste heat generation to the facilities and post this information to its electronic bulletin board.”