Wednesday, June 13, 2018

Gasoline Suppliers, Refiners Object To Bi-Directional Flow Proposal For Laurel Pipeline

A coalition of Pennsylvania businesses that provide fuel to consumers across the Commonwealth, filed a formal protest with the Federal Energy Regulatory Commission in response to a proposed plan by Buckeye Partners to convert a portion of the Laurel Pipeline system into a federally regulated bi-directional pipeline.
Far from a true bi-directional operation, the coalition said Buckeye’s plan would heavily favor its out-of-state partners and deprive Pennsylvania-based shippers, refiners and retailers of pipeline access to substantial portions of Pennsylvania, including the greater Pittsburgh market, which they have consistently utilized for over half a century.
Buckeye’s petition with FERC appears to be an attempt to circumvent a recent recommendation by a Pennsylvania Public Utility Commission administrative law judge to  deny Laurel's application to reverse the flow of the Laurel Pipeline, according to the coalition. The PUC's final order on that matter is pending.
The coalition said, "This ill-conceived and unworkable plan was concocted by Buckeye only after their attempts to reverse the flow of the Laurel Pipeline have stalled or failed. It’s unfortunate that Buckeye continues to seek ways to cut off competition so that out-of-state refiners can pump transportation fuels into Pennsylvania.
"This would unfairly cut off supply from eastern Pennsylvania refineries, which have consistently supplied the Pittsburgh market with less expensive fuel, which benefits consumers. Additionally, this plan puts thousands of family-wage-sustaining Pennsylvania jobs at risk."
Members of coalition include: Gulf Oil; Sheetz; Guttman Energy; Monroe Energy; Philadelphia Energy Solutions Refining and Marketing; and Giant Eagle.
A FERC decision is not expected before late summer.  Click Here for a copy of the coalition's motion to intervene in the FERC case.
For more information, visit the Deny Buckeye website.
(Map: Shows Laurel Pipeline route and original flow reversal proposal.)
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