Request for Homeowners to Submit a Comment to FERC–May 5th, 2020

REQUEST FOR HOMEOWNERS TO SUBMIT A COMMENT TO FERC

This could be a rare opportunity to have FERC act upon the mis-information and lack of credibility demonstrated by PennEast. PennEast is in a dire position, which is why they have proposed a two-phase approach to building their un-needed pipeline.

Mike Spille has done a very thorough and focused job writing to FERC about PennEast’s increasing lack of economic rationale for the pipeline. Two PennEast investor companies are reneging on their prior commitments to buy gas from PennEast in Phase 1. The situation is exacerbated by the demise of the natural gas market, much like the oil market.

Will FERC act honestly and hold PennEast to the requirements for building a pipeline? Here is our best chance to test FERC. As you might know Congress is putting pressure on FERC to start taking into consideration the rights of homeowners.

Mike has written the below message, and he and HALT are requesting our members to reinforce Mike’s letter to FERC by submitting the same or similar message (feel free to customize) to the FERC website. 

To submit a comment to FERC go to: https://ferconline.ferc.gov/QuickComment.aspx

Note: Anyone can submit a comment to FERC you don’t have to be registered with FERC.

  • Search for Docket Number: CP20-47 and click on Select
  • Copy and paste the comment into the section provided (feel free to customize)
  • Click on Send Comment

Word link for the below comment: https://thecostofthepipeline.files.wordpress.com/2020/05/ugiandnjrphase1withdrawal.docx

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PennEast’s refusal to document the business goals of its precedent agreements for the Phase 1 project should not be allowed to stand. Actions of some of PennEast’s affiliate companies offers evidence that what PennEast has portrayed regarding these self-dealing agreements is either false or suspect, at best. Accordingly, we respectfully and strongly request that FERC delve into these open questions which may invalidate or significantly weaken PennEast’s stated purpose and need.

Specifically, two PennEast affiliated companies, UGI Energy Services and NJR Energy Services, have refused to sign onto portions of Phase 1 of this project, even though they are fully within the area the project purports to serve in Pennsylvania. This is peculiar and of particular concern given that 48% of the proposed Phase 1 pipeline has no contracts and will likely be empty.

Huge projects such as these should not be allowed to move forward when the only benefit is enriching the project owners and their subsidiaries. This is especially true when PennEast has filed 48 eminent domain condemnation suits in Pennsylvania for Phase 1 of this project, and a devastating 150 eminent domain condemnation suits in New Jersey for Phase 2. In NJ, eminent domain takings represent a full 50% of the PennEast route.

The partial withdrawal of UGI Energy Services from Phase 1, and the total withdrawal of NJR Energy Services from Phase 1 as well, is a smoking gun that proves that demand for this project has utterly collapsed. Even PennEast’s owners have lost faith in it. FERC must compel PennEast to reveal the purpose of the Phase 1 subscriptions, and must further compel PennEast to fully document the state of each and every precedent agreement for Phase 2. If PennEast fails to provide this information, then FERC will have no choice but to conclude that this project is not in the public convenience and necessity, and to reject this application.

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