Understanding Natural Gas Pipeline Development DAVE MESSERSMITH MARCELLUS EDUCATION TEAM PENN STATE EXTENSION

Transcription

1 Understanding Natural Gas Pipeline Development DAVE MESSERSMITH MARCELLUS EDUCATION TEAM PENN STATE EXTENSION

2 Natural Gas Pipelines Pipeline Background Regulation and Eminent Domain Pipeline Construction Pipeline-Related Infrastructure Impacts in the Landscape Landowner Role and Needs

3 Pipeline Infrastructure Background Shale gas production is changing gas markets. Traditional supply areas have shifted. PA became a net exporter of natural gas in Natural gas production in PA may double in the next 5 years. (Bentek Dec. 2012) Shale development is bringing substantial pipeline development to PA and US.

4

5 Natural Gas Pipeline Benefits Safe, secure, cost efficient transportation. Everyone in the US benefits from energy and consumer products produced from natural gas. 63% of American homes use natural gas. 25% of electricity generation in US is from nat. gas. Feedstock for food products, pharmaceuticals, plastics and resins. Nearly 100% of natural gas consumed in US is transported via pipeline.

6 Potential Impacts from Pipelines Environmental Impacts. Safety and human health concerns. Impairment of viewsheds and landscape. Impacts to property values and future use of the land.

7 Natural Gas Pipelines in Pennsylvania Gas Transmission 10,081 mi Total Gas Pipeline 61,037 mi

8 PA Gas Transmission by County Report generated on: 04/08/13

9 Types of Natural Gas Pipelines Gathering System PA DEP E&S regulation PA PUC - safety Interstate Pipeline System FERC siting and E&S US DOT (PHMSA) safety Distribution System PA PUC - safety

10 Typical US Natural Gas Pipeline Specs Gathering System Diameter: 8-24 Pressure: psi Interstate Pipeline System Diameter: Pressure: psi Volume: bcf/day Distribution System Diameter: 2-12 Pressure: 1-10 psi

11 What About Eminent Domain? Generally only applies to federally regulated projects (interstate pipelines) and PA public utilities (distribution lines). Projects with direct public benefit. Does not apply to local shale gas gathering lines. The decision to allow gathering line right-of-way remains with surface landowner.

12 Landowner Compensation for Right of Way Eminent Domain Compensation: Just compensation - value of property immediately before and after taking plus damages. Example: $16/foot for rural land in PA. Gathering line right-of-way values: Determined via private negotiation with landowner. Highly variable: $5-$25/foot and up.

13

14 Marcellus & Utica Shale Projects Marcellus Shale Projects Corning Tennessee Station 219 Leidy Rivervale Linden Oakford Lambertville Appalachian Basin Princeton Clarington Transco Compressor Station 195 Source: FERC Approved or Pending Projects Appalachian Expansion (NiSource) Sunrise Project (Equitrans) Line 300 Exp (Tennessee) TEAM 2012 Project (TETCO) NiSource/MarkWest & NiSource Northeast Upgrade (Tennessee) N Bridge, TIME 3, TEMAX (TETCO) Marc I (Central NY) Appalachian & Natrium (Dominion) Low Pressure East-West (Equitrans) Line N & N, R & I Projects (NFG) NJ-NY Project (TETCO & Algonquin) Tioga County Extension (Empire) Northeast Expansion (Dominion) NSD (Tennessee) & (Dominion) Northeast Supply Link (Transco) Rose Lake (Tennessee) TEAM 2014 (TETCO) MPP Project (Tennessee) Northern Access (NFG & Tennessee) The Constitution Pipeline Blacksville Comp (Equitrans) 14 NYMarc (Iroquois) New Penn (NiSource) Marcellus to Manhattan (Millennium) Appalachia to Market Expansion TEAM 2013 & U2GC Project (TETCO) Ohio Pipeline Energy Network & Appalachia to Midwest (TETCO) West & East Expansions (NiSource) Nexus Gas Transmission (Spectra) Potential Projects Keystone (Dominion/Williams) NiSource & UGI Northeast Supply (Williams)* Commonwealth Pipeline (UGI Service, Inergy, WGL) Northeast Expansion (Tennessee) * Combined Transco s Rockaway Lateral and Northeast Connector Projects

15 Pipeline Construction Process Acquiring the right of way (ROW). Planning route, surveying. Permitting. ROW is cleared. Topsoil removed, trench dug. Stringing Pipe Pipe is welded and contoured. Pipe Lowered into trench. Pipe buried & site restored.

16

17

18

19 Photo courtesy of FERC

20

21

22

23 Soil Management in Ag Land Strip & stockpile topsoil, double ditch. Replace subsoil. Rough grade then deep-till subsoil. Replace topsoil, rough grade & deep till. Soil test, lime and fertilize. Final tillage & re-seeding. Limit off-row traffic.

24

25 Directional Drilling/Trenchless Technology Photo: Mears Group, Inc.

26 Pipeline Related Infrastructure Valves Pigging Launchers & Catchers Drying and Metering Facilities Compressor Stations Cathodic Protection Equipment Valve Pig Launcher Source: Wikipedia.org

27

28 Pipeline Impacts Erosion/Sediment Loading. Wetlands Disturbance. Habitat Fragmentation. Invasive Weeds. Impact on View-Sheds. Air Quality. Safety Concerns.

29 Fragmentation Issues Increase in edge, decrease in core forest. Habitat generalists will likely adapt and thrive. (crows, deer, raccoon, blue jay) Habitat specialists may struggle to adapt. (forest raptors, some songbirds, woodland amphibians) Affect on View-sheds. Work by Dr. Brittingham, PSU and The Nature Conservancy.

30 Reducing Pipeline Impacts Locate new pipelines in or along existing rights of way and/or use existing boundary areas (roads, fence rows, property lines, forest edges). Manage ROW and forest edge to encourage game and non-game species. Maintain ROW to reduce spread of invasive weeds.

31

32 Reducing Pipeline Impacts Boring under streams and wetlands the best approach? (trenchless technology) Are there opportunities to avoid or re-establish forest cover in sensitive areas (riparian areas, critical viewsheds, etc)? Better planning of pipeline corridors? Managing residential development near existing pipelines?

33 Disguised Compressor Site Source: Patrick O Dell, National Park Service

34 Integrating Pipeline Into Landscape

35

36

37 Reducing Pipeline Impacts Good soil management during the process goes a long way. Re-seeding - often the project time-line dictates the seeding date. Follow-up assessment of ROW settling, seeping, vegetative cover, etc. Landowner/property owner education.

38 Landowner Role and Needs Right-of-way and surface use agreements are perhaps best place to protect the look, feel and safety of the community. Range of knowledge and negotiating skills. Host of pipeline easement considerations. Right-of-way do s and don ts.

39 Financial Considerations Payment Terms Is it an option for an agreement? Easement income and damage payments may be taxed differently. Consult with an accountant. Legal Council Always have an attorney review any contracts or agreements before you sign them.

40 Natural Gas Pipelines Pipeline Background Regulation and Eminent Domain Pipeline Construction Pipeline-Related Infrastructure Impacts in the Landscape Landowner Role and Needs

41 Dave Messersmith Penn State Cooperative Extension 648 Park Street Honesdale, PA x 4110 dtm101@psu.edu On

42

43 Pipeline Safety Background Gas pipeline incidents in San Bruno, CA, Allentown and Philadelphia bringing attention to importance of pipeline safety. Aging infrastructure and increasing residential development nation wide. Pipelines are still the safest mechanism for transporting oil and natural gas.

44 National Gas Transmission Incidents

45 PA Pipeline Incidents

46 What Causes Pipeline Failures? Source: igpsidet_2003_2012_pa.html?nocache=1210#_all

47 Pipeline Inspection & Maintenance Install and maintain pipeline markers. Periodically maintain ROW to control weeds and brush. Ground and aerial inspections of ROW. Leak detection survey s. Pipeline Pigging. Gas Sampling.

48 Code of Federal Regulations Title 49, Section TRANSPORTATION OF NATURAL AND OTHER GAS BY PIPELINE: MINIMUM FEDERAL SAFETY STANDARDS

49 Pipeline Marker indicates contents of pipeline, operator and emergency contact information and general location of pipeline.

50 Pipeline Pigs Clean pipe. Check thickness & roundness of pipe. Check for corrosion. Detect leaks. Source: BJ Services

51 Class Locations Determined by number of buildings within 201m on each side of pipeline per 1.6km Class 1 location - 10 or fewer buildings. Class 2 location - more than 10 less than 46. Class 3 & 4 locations more than 46 buildings and buildings with high occupancy (churches, schools, etc). Added layers of regulation in higher consequence areas.

52 Development Near Existing Pipelines Washington State

53 Consultation Zone ( meters) ( meters)

54

55 Consultation Zone Example

56 Addressing Pipeline Safety Issues Consultation zones and standards for new development near natural gas pipelines. Standards for placement of pipeline related surface structures (noise, odor, visual, etc). First responder and community education and training. Resource for Municipalities: Pipelines and Informed Planning Alliance (PIPA) Report: