Friday, May 19, 2017

PUC Judge Hears Conflicting Views On Reversing Laurel Pipeline Flow

A Public Utility Commission administrative law judge Tuesday heard conflicting views on the impact of reversing the flow of the Laurel Pipeline from Pittsburgh to Altoona allowing petroleum products from midwest refineries to be sold in the midstate at the same time cutting off access of Philadelphia refineries to Western Pennsylvania.
One of the key issues was the potential impact on the price of petroleum products to consumers.
Testimony by Laurel Pipeline (Buckeye Partners LP) said consumer prices would be lower because midwest refineries produce product at a lower cost than Philadelphia refineries.  
Laurel also said there has been a dramatic decline in the amount of product it shipped from Philadelphia to Pittsburgh from 90,000 barrels per day in 2014 to 30,000 barrels in 2017.
Gulf Operating and Altoona-based Sheetz, countered that Laurel’s proposal “would destroy competition that keeps gas prices in check for the large Western Pennsylvania market.”
Pipeline laborers spoke in support of the project, which promises jobs through an estimated $200 million in equipment upgrades, while Philadelphia-area refinery workers and business groups urged the commission to oppose the project because any harm to the already challenged refineries along the Delaware River could lead to layoffs.
Many other stakeholders have weight in on this issue in prior comments to the PUC.
The Laurel Pipeline is PUC Docket: A-2016-2575829
Related Story:
PUC Faces Major Decision On Reversing Flow Of Buckeye Laurel Pipeline

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