The members of the Federal Energy Regulatory Commission on July 7 approved a July 2015 application from Transcontinental Gas Pipe Line Co. LLC (Transco) for authorization to construct, operate, and abandon facilities at its proposed New York Bay Expansion Project.
Transco is a natural gas pipeline company engaged in the transportation of natural gas in interstate commerce by means of its natural gas transmission system extending from Texas, Louisiana, and the offshore Gulf of Mexico area, through Mississippi, Alabama, Georgia, South Carolina, North Carolina, Virginia, Maryland, Pennsylvania, and New Jersey, to its termini in the New York City metropolitan area.
The New York Bay Expansion Project would provide 115,000 dekatherms per day (Dth/d) of incremental firm transportation service for The Brooklyn Union Gas Co. d/b/a National Grid NY. The 115,000 Dth/day would include 65,000 Dth/d from Compressor Station 195 in York County, Pennsylvania, to the Rockaway Transfer Point on Transco’s New York Bay Lateral, and 50,000 Dth/d from Compressor Station 195 to the Narrows Meter Station in Richmond County, New York.
Transco proposes to:
- add a new electric motor-driven 11,000 horsepower (hp) compressor unit at its Compressor Station 207 in Middlesex County, New Jersey;
- increase by 2,140 hp the total authorized horsepower at Compressor Station 200 in Chester County, Pennsylvania;
- uprate an existing electric compressor unit by 2,500 hp at Compressor Station 303 in Essex County, New Jersey;
- abandon by removal three segments of the Lower New York Bay Lateral located in Middlesex County, New Jersey, and replace the segments with approximately 0.25 miles of 42-inch pipe in an adjacent trench within an existing right-of-way;
- add regulators and perform modifications at the Morgan Meter and Regulator Station in Middlesex County, New Jersey;
- modify the Narrows Meter Station in Richmond County, New York;
- install approximately 80 feet of 30-inch-diameter piping and modify certain facilities at the Downingtown Meter and Regulator Station in Chester County, Pennsylvania; and
- construct related appurtenances.
Transco estimates the cost of the New York Bay Expansion Project to be about $112 million.
Transco executed a binding precedent agreement with National Grid NY for 115,000 Dth/d of firm transportation service using the capacity created by the New York Bay Expansion Project. Transco then held an open season from March 6 through March 26, 2015, during which Transco offered firm transportation service to other shippers. However, Transco received no other acceptable requests for firm transportation service. The service agreement with National Grid NY has a primary term of 15 years.