American Oil and Gas Reporter - January 2017 - 31

WASHINGTONWATCH
Developing Pipelines
To Deliver Natural Gas Takes
Group Participation
Natural gas is a premium fuel source only if it can be
delivered safely to consumers.
This country has a robust network of pipelines, but with new
production areas, new markets and aging infrastructure, there is a
crying need for new pipelines. Those opposed to fossil fuel development have targeted natural gas pipelines in their zeal to "keep it
in the ground," and they pursue their mission with extremism.
Those of us who recognize the benefits of natural gas-producers
and consumers-cannot remain silent, but must speak out in support
of pipelines that will benefit our economy and our climate.
The Dakota Access Pipeline attracted intense media scrutiny.
The approval process for crude oil pipelines is less centralized
than for interstate natural gas pipelines. Crude oil pipelines must
obtain permits from the states through which they traverse, as
well as U.S. Army Corps of Engineers permits for segments of
any pipelines that cross waters of the United States. States have a
role in the construction of interstate natural gas pipelines as well,
but the primary authority lies with the Federal Energy Regulatory
Commission, which must weigh whether to issue a certificate of
public convenience and necessity for pipeline applicants.
Fossil fuel opponents have taken full advantage of FERC's
prominent role in siting natural gas pipelines, going to the homes
of FERC commissioners to deliver their demands opposing pipeline
projects. To their credit, FERC commissioners remain focused on
their duties to carefully evaluate projects, and to assess whether an
applicant has demonstrated market need and whether the environmental impacts of the project can be managed.
Yet when a pipeline project is filed and a period established
for submitting comments, the docket inevitably is overwhelmed
by individuals opposing that project specifically and fossil fuel
development in general. While FERC staffers do not recommend
decisions based on a weighting of how many letters are submitted
for or against a pipeline, hearing from supporters can help
FERC staff and commissioners in their deliberations.
Companies that have contracted for capacity on a proposed
pipeline routinely file at FERC in support of the project to
which they have committed. But FERC also wants and needs to
hear from other groups that would benefit from the project.
The Interstate Natural Gas Association of America, which represents interstate natural gas pipelines, has prepared a page on its
"America's Energy Link" website devoted to descriptions of pending
pipeline projects (www.ingaa.org/energylink). A "Take Action" tab
on the page reveals a list of interstate natural gas pipeline projects,
and allows viewers to sort the projects by region.
For example, for Midwestern projects, there is information
on the Kinder-Morgan NGPL Gulf Coast Southbound Expansion,
which will transport gas from various receipt points in Illinois,
Arkansas, Oklahoma and Texas to delivery points in South
Texas with the Cheniere Corpus Christi Pipeline in San Patricio
County, Tx. (for redelivery to the Cheniere Corpus Christi liquefaction project), and to the NET Mexico Pipeline, located in
Nueces County, Tx.
FERC needs to hear from producers in Illinois, Arkansas,

"Hearing from supporters can
help FERC staff and commissioners

in their deliberations.

Oklahoma and Texas, who should benefit from additional takeaway capacity. The U.S. economy also stands to benefit from
exporting natural gas and a better balance of trade. Other
projects with delivery points along the East Coast will provide
incremental supplies to utilities and their customers-residential
and commercial.
The National Association of Manufacturers and IHS Economics
released a joint study in May 2016 revealing "how natural gas
has strengthened manufacturing and encouraged U.S. manufacturing growth and employment. Manufacturers use natural gas
for fuel (in processes) such as drying, melting, machine drive
and space heating, and as a feedstock in refining, chemicals and
primary metals sectors. Domestic natural gas has transformed
the U.S. economy, made our companies more competitive,
created jobs, and put money in the pockets of working Americans."
FERC needs to hear from these manufacturers.
We are seeing already comments in support of projects from
relatively new voices. The Kentucky Oil & Gas Association filed
comments in November in support of FERC staff's environmental
assessment for Tennessee Gas Pipeline's project to convert an underused natural gas pipeline to transport natural gas liquids.
KOGA's board voted unanimously in favor of submitting the
comments and will continue with this effort. KOGA's leadership
realizes that pipeline projects raise issues at the local level among
elected officials, regardless of political affiliation. KOGA's members
chose to voice their support for this infrastructure project.
Other state oil and gas associations have the power to
encourage infrastructure development with their filings in
support of projects from which they will benefit. Let us have
FERC hear from the upstream and downstream communities
that America can't afford to leave its natural gas in the ground.
r

SUSAN GINSBERG is vice

president of crude oil and natural gas regulatory affairs for
the Independent Petroleum Association of America. She covers legislation and regulation,
focusing on the CFTC and
FERC. Her experience in natural gas regulatory affairs
spans 25 years.
JANUARY 2017 31

American Oil and Gas Reporter - January 2017

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