Following recent moves by the governors of New York and New Jersey to nix new gas pipeline projects, the region’s gas utilities are warning of future shortages for new and existing customers.
Pro-gas groups see the decision to cancel the pipelines as a move to pander to climate-change and pro-renewable energy advocates. New York’s Department of Environmental Conservation struck down a proposed pipeline project in May, citing environmental concerns such as water quality impacts and disturbance to the state’s aquatic habitats.
National Grid has resubmitted its plans for a project called the Northeast Supply Enhancement (NESE) and is taking its case to the customer base. “We will continue to advise all new commercial and residential applicants that our ability to provide firm gas service is contingent on the timely construction of the NESE,” the utility said in a statement.
Meanwhile, in the past year or two, pipeline companies have been scrambling to build more pipeline capacity in the Marcellus/Utica region in an effort to move vast quantities of gas out of the region—including toward the east coast. But it looks like the buck stops at New York, for now…
Check back with EnergyMakers for updates on this developing story.