New Routes Adopted for Northeast Gas Expansion

Tennessee Gas Pipeline Co. (TGP), a subsidiary of Kinder Morgan Inc. (Houston), is adopting two alternative routes for its proposed Northeast Energy Direct project to minimize environmental impact and allow for the expan¬sion of natural gas service in New Hampshire. Following an evaluation of feasible route alternatives from Wright, N.Y. to Dracut, Mass., the company has submitted an amended filing with the Federal Energy Regulatory Com¬mission. TGP plans to adopt both the New York Powerline Alternative and the New Hampshire Powerline Alternative, which will utilize existing utility corridors.

In November, Liberty Utilities Corp., a wholly owned subsidiary of Algonquin Power & Utilities Corp. and a Kinder Morgan subsidiary, agreed to form a new entity, Northeast Expansion LLC, to undertake develop¬ment, construction, and ownership of a 30-in. or 36-in. natural gas transmission pipeline between Wright and Dracut. The project is being developed to specifically serve the New England region, enabling it to access lower cost, nearby Marcellus natural gas supplies.

With the adoption of the New York Powerline Alternative and New Hampshire Powerline Alternative, the proposed revised route will include about 188 miles of new mainline pipeline facilities, including about 53 miles of line generally located with TGP’s existing 200 Line and an existing power utility corridor in western New York; approximately 64 miles of pipeline located with an existing power utility corridor in eastern Massachusetts; and about 71 miles of pipeline located with an existing power utility corridor in southern New Hampshire, extending east to Dracut. As currently planned, the route would be adjacent to, or located with, existing rights-of-way for about 90% of the mileage.

“While evaluating the feasibility of possible routes, which is a critical part of the regulatory review prior to building a pipeline, as we committed to do when we started this process, we have listened to stakeholders and taken their comments and concerns seriously,” said Kimberly S. Watson, east region pipelines president. “By adopting the New York Powerline Alternative and the New Hampshire Powerline Alternative, TGP will be able to construct significantly more of the pipeline adjacent to, and parallel with, existing utility corridors in portions of New York, Massachusetts, and New Hampshire, reduce the need for construction in undeveloped portions of the market path region, and lessen environmental impacts. Additionally, we are working with Liberty Utilities and others to expand natural gas service into new areas in New Hampshire.”