Northeast Supply Enhancement Project

FAQs

Updated: June 16, 2016

PROJECT

Why is it needed?
Natural gas demand is at an all-time high. The Transco pipeline, which has been providing reliable servicing in this area for decades, is currently operating at capacity. As our customers’ demand for gas increases, we have to periodically expand our existing facilities to allow more gas to be transported through our pipeline system.

Who is the customer?
National Grid, the largest distributor of natural gas in the northeastern U.S.

The Transco pipeline provides approximately half of the natural gas consumed in both New York City and the State of New Jersey.

Why do they need more gas?
Additional natural gas access is important to help the City continue to meet its aggressive clean air goals. Many fuel oil-burning buildings are converting to natural gas. Thanks to increased natural gas usage, New York City is currently experiencing its cleanest air in over 50 years.

When would the project be built?
If approved by FERC, construction would begin in the summer of 2018 so that it can be placed into service by the 2019/2020 winter heating season.

How much gas would you be delivering?
An additional 400 million cubic feet per day (enough gas to serve about 2.3 million homes)

What facilities will you be adding?
The project consists of about 35.5 total miles of pipeline, installed as loops parallel to the existing Transco pipeline system, in addition to a new greenfield compressor station in Somerset County, N.J. and other existing compressor facility modifications.

  • 10-mile, 42-inch “D” loop located in Lancaster County, Pa.
  • Modifications to existing compressor station 200 in Chester County, Pa.(adding a 21,000 hp electric motor driven compressor)
  • 32,000 horsepower greenfield compressor station in Somerset County, N.J. (two turbine-driven compressor units; Station 206)
  • 3.4-mile 26-inch “B” loop of the Lower New York Bay Lateral located in Middlesex County, N.J. from Station 207 to the Morgan M&R station (onshore)
  • 22-mile 26-inch loop of the Lower New York Bay Lateral from the Morgan M&R station in Middlesex County to the Rockaway Transfer Point (offshore)

What is your schedule?

  • May 2016 – FERC pre-filing
  • May / June 2016 – Onshore civil, biological, cultural surveys begin
  • Spring 2017 — Submit 7(c) application to FERC
  • Summer 2018 — Proposed construction start
  • Winter 2019/2020 – Proposed in-service

LANDOWNERS

Can you use eminent domain to take my property?
In the pipeline context, eminent domain is a tool to allow Williams to obtain the limited rights it needs on private property to complete pipeline projects which have already been determined by the Federal Energy Regulatory Commission to be in the public interest. Williams pays fair market value for the impact on the land of any affected landowner. It is Williams’ intent and desire to obtain all easements through negotiation and it considers the use of eminent domain as a last resort.

When do you plan to start buying easements?
We plan to begin easement acquisition for the Northeast Supply Enhancement project in early 2017.

How do you determine the price you’ll pay?
The valuation of the easement will be determined by the market value of land in the area. This is determined by independent sources, such as county deed and tax records, local appraisers, real estate brokers and other real estate professionals, and considers such factors as length, width, existing use and comparable land sales in the area. Impact to the remaining property may also be considered. This information will be shared with the landowner and fair compensation will be offered.

What about payment for crop damages?
Valuation of the crop loss is conducted separately from the easement appraisal. Normal crop valuations consists of 175% reimbursement for crop losses during the life of the project.

Do you need permission to survey?
It is our strict policy to only survey on properties where we have obtained permission from the landowner.

What if I don’t give you permission?
Williams will only survey if we are given permission by the landowner. In cases where we do not receive survey permission, Williams will use other available data, such as aerial photography and existing land and environmental records.

How wide of an area are you surveying onshore?
It is important to note that we survey a much wider area than will be disturbed during construction. In Pa the survey corridor is 400 feet, in NJ it is 300 feet.

Do pipelines impact property value?
The pipeline and associated easement should not impact the value of your property. Multiple studies across the country have found minimal to no correlation between a property’s sales price and its vicinity to a gas transmission pipeline.

Do pipelines impact my homeowners insurance?
In our experience, insurance underwriters have not considered the presence of a transmission pipeline when determining the cost and coverage of property insurance.

Will you comply with local ordinances?
Williams is encouraged by FERC to cooperate with local jurisdictions, however ultimately FERC has exclusive regulatory jurisdiction over Williams with respect to the siting of pipeline facilities under the Natural Gas Act and the Pipeline Safety Act.

LANCASTER

Why Lancaster County to serve customers in NYC?
A pipeline is like a highway, with some locations experiencing heavier traffic and congestion. We run computer modeling and this particular area is one where we have a bottleneck that needs to be relieved.

Is this project dependent on Atlantic Sunrise being built?
No

NEW JERSEY

Will the horsepower addition at Station 200 be felt by Malvern Hunt neighbors?
No. We are proposing to add an electric motor-driven compressor unit to the facility.Should the project be approved by the FERC, federal regulations require that we do not exceed the noise level that residents currently experience when the station is running.

Where will Station 206 be located?
Williams has identified two potential locations for the Somerset County compressor station in an established industrial area located within Franklin Township. The criteria used to identify the facility location included property availability, access to electric power, pipeline hydraulics, compatibility with local zoning, land use and land development, site terrain, water table and storm water management, and site accessibility.

Will the compressors at Station 206 be in an enclosed building?
The compressors will be inside of an enclosed, sound-attenuating building.

Are the compressors at Station 206 going to be natural gas or electric driven?
Transco is currently proposing to install two natural gas turbine compressor units.

What will the noise levels be?
Per federal regulation, the sound emitted from our operation cannot exceed 55 dBA at the nearest noise sensitive area (equivalent to the sound of a household refrigerator).

Are environmental or residential impacts considered when considering a compressor site?
When searching for a potential compressor site, Williams takes a number of factors into consideration. These factors include environmental (wetlands, waterbodies, threatened and endangered species, cultural resources), constructability (parcel size, topography, soil types, proximity to necessary infrastructure), and land use (past and current land use, proximity to existing and planned residential/commercial areas, potential for previous soil/groundwater contamination). When selecting a site, Williams strives to balance all of these factors, and to avoid, minimize, and mitigate any impacts associated with construction or operation of our facility.

ENVIRONMENTAL

What are the environmental benefits?
Thanks to natural gas, the U.S. leads the world in carbon-emissions reduction. The project has the potential to displace up to 15 million tons of CO2– which is like removing 3 million passenger cars from roadways – annually.

Can’t we meet our energy needs with renewables like wind and solar?
Natural gas and renewables complement one another.It is not possible to meet our country’s energy needs with renewables alone.

How has this project minimized environmental impacts?
The proposed onshore portion of the project will be collocated with Transco’s existing pipeline right-of-way to help minimize impacts. For the offshore portion of the Project, Transco will utilize a shore-to-water HDD to avoid impacts to the shoreline and a water-to-water HDD to cross the Ambrose Channel.

For the onshore loops, how much land will be affected?
For the pipeline loops, the permanent pipeline easement will be expanded by about 25 feet. A 100-foot-wide temporary construction right-of-way installation is required for the installation of the 42-inch-diameter pipeline in Pennsylvania. A 90-foot wide temporary construction right-of-way is required for the installation of the 26-inch-diameter pipeline in New Jersey.

Don’t pipeline’s leak, resulting in methane emission which counter the benefits of burning natural gas?
Some claim that it has been fully proved that methane leakage from natural gas extraction and distribution offsets the climate benefits of gas over coal. But there has been no such proof. The main contributor to global warming is still carbon dioxide, not methane, and there are few better ways to reduce carbon emissions than replacing coal plants with gas turbines.

Is fracking safe?
Hydraulic fracturing, or “fracking,” has been around for decades. After four years, the EPA recently released a report, concluding: “We did not find evidence that these mechanisms (fracking and other drilling processes) have led to widespread, systemic impacts on drinking water resources in the United States.” Groundwater and aquifers tend to be a few hundred feet below the surface, while fracked and injection wells are thousands of feet deep — well below the bedrock that would keep chemicals from rising to groundwater levels. There have been some examples of the cement casings that surround a well’s borehole leaking small amounts of oil, gas or chemicals. But as the EPA study indicates, those are isolated incidents and are easily fixed.

REGULATORY

Isn’t FERC just a rubber stamp agency?
No. FERC is an independent, non-partisan regulatory agency that oversees all interstate transmission of natural gas, oil, and electricity.

Doesn’t the fact that FERC rarely denies an application evidence that the agency is bias toward industry?
No. Rather than being denied by the FERC, most applicants withdraw applications which they know contain issues which would likely prevent FERC approval.

The open house format isn’t productive. Why not have a public meeting?
These meetings are designed to facilitate a dialogue between the landowner and the pipeline company, allowing the landowner to point out information or express feedback that can ultimately affect the pipeline route.

When will you file your FERC application?
Spring 2017

SAFETY

Is the Transco pipeline safe?
Yes. We’ve been operating safely in this area for decades. Safety is the most important aspect of our operations. According to U.S. Department of Transportation (USDOT) statistics, pipelines are the safest method for transporting energy. As this Project is designed, constructed and operated, Transco is committed to maintaining the highest standards of safety, utilizing construction and operational procedures that exceed already stringent industry regulations.

Is the natural gas pipeline industry safe?
It is important to understand that there are over 300,000 miles of natural gas transmission pipelines in the U.S. and more than two million miles of pipeline when you count distribution lines. Pipeline incidents can be dramatic, but fortunately they are very rare. In the past 20 years, even as populations, pipeline mileage and energy usage have grown, the number of serious pipeline incidents on transmission pipelines have dropped 50 percent. We have new materials, programs and technologies now that we did not have 20 years ago which have made our industry safer.

How long do pipelines last?
There is nothing intrinsic in carbon steel that causes it to age over time. A properly maintained pipeline can last a very long time.

How do you combat terrorism?

We follow a comprehensive security program and we maintain contact with the Department of Homeland Security. We are in complete compliance with industry guidance, as well as security directives issued by the Office of Pipeline Safety and the Department of Homeland Security.

COMPANY

Who is Williams?
100 year old company. Major operator of gas pipeline infrastructure. Touches approximately 30% of nation’s natural gas through its 33,000 miles of gathering and transmission operations. Operates three major interstate pipeline systems

Who is Transco?
The Transco pipeline has reliably served the New York City area for more than 60 years, providing service to major local distribution companies National Grid and Con Edison. Transco delivers approximately 10% of the nation’s natural gas, providing about half of the gas consumed in New York City, half of the gas consumed in New Jersey and about one-third of the gas consumed in Pennsylvania.