Thursday, December 5, 2024

PUC To Seek Public Comment On Settlement With Columbia Gas Concerning Welding Issues At Regulator Station In Beaver County

On December 5, the
Public Utility Commission voted to seek public comment on a proposed settlement concerning welding issues and in-service repairs that were discovered in October 2021 at a Columbia Gas regulator station in Beaver County.

The Commission voted 5-0 to seek comment from interested parties regarding the joint settlement presented by Columbia Gas and the PUC’s independent Bureau of Investigation and Enforcement (I&E).  

The proposed settlement will be published in the Pennsylvania Bulletin, and that publication will begin a 25-day comment period.

The proposed settlement addresses issues related to the discovery by I&E engineering staff of evidence of a weld “burn-through” on one of the welds at a Columbia Gas regulator station located in Rochester, Beaver County. 

A burn-through occurs when excessive penetration has caused the weld puddle to be blown into the pipe, leaving an open hole or cavity.

Additionally, I&E learned that the welder for a Columbia Gas contractor who was performing the work at the Rochester Station had attempted to repair the burn-through while the pipeline was in service and operating, and that repair had remained in service for approximately four months before it was discovered.  

Soon after that discovery, the regulator station was taken out of service so proper repairs could be performed.

As a result of their investigation, I&E alleged that Columbia Gas failed to have procedures and processes in place to address how to repair a burn-through and whether the repair work can be performed while a pipeline is in service. 

The joint settlement calls for Columbia Gas to pay a $9,000 civil penalty, which will not be recovered as part of any future ratemaking proceeding and will not be tax deductible.

The settlement also includes a series of corrective actions and procedural changes by Columbia Gas, including:

-- The development of procedures related to welding burn-throughs and in-service repairs.

-- Amendments to the Columbia Gas Welding Manual to include procedures related to the revocation of welder qualifications.

-- The retraining and requalification of the welder involved in this incident, along with a listing of all project jobs on which this welder completed welds and the inspection of a sampling of those welds.

-- The issuance of an advisory bulletin and updates to company and contractor personnel about burn-throughs and in-service welding.

-- Amendments to quality assurance and quality control practices.

-- Conducting a causal analysis for pipeline burn-throughs and other welding-related issues.

-- Reviewing and amending in-service procedures in the Columbia Gas Welding Manual and related welder training.

Visit PUC Docket No.: M-2024-3038111 for documents related to this settlement.

Click Here for the complete announcement.

PA Oil & Gas Industry Public Notice Dashboards:

-- PA Oil & Gas Weekly Compliance Dashboard - Nov. 30 to Dec. 6 - Abandoned Shale Gas Wells Doubled From Last Year; Failure To Comply With Court Order To Plug Conventional Wells; Abandoned Waste Injection Well   [PaEN]

-- PA Oil & Gas Industrial Facilities: Permit Notices, Opportunities To Comment - December 7 [PaEN] 

-- DEP Posted 91 Pages Of Permit-Related Notices In December 7 PA Bulletin  [PaEN]  

Related Articles This Week:

-- DEP Sees ‘Very Significant Budget Gap’ In Funding Oil & Gas Regulation Program Due To Reduced Permit Fee Revenue  [PaEN] 

-- Baker Hughes: PA Natural Gas Drilling Rigs Up 1 To 16 From Last Week; 21 On Aug. 23

-- DCED PA Crude [Oil] Development Advisory Council Meets Dec. 12 To Discuss Road Dumping Oil & Gas Wastewater; New EPA Methane Emissions Reduction Program; Other Updates  [PaEN]

-- What Will Shale Gas Leave Behind? DEP Issues 10 Violations To Big Dog Energy, LLC, Diversified Production LLC For Abandoning Shale Gas Wells; Violations For Shale Gas Abandonments More Than Doubled In 2024  [PaEN] 

-- DEP: Horizontal Exploration LLC Failed To Comply With State Court Order To Plug 6 Conventional Wells In McKean County   [PaEN] 

-- DEP Issues Abandoned Well Violation To Oil & Gas Wastewater Injection Well With Nearly Full Storage Tanks, Expired EPA Permit In Venango County  [PaEN] 

-- Apply Now! DEP Conventional Oil & Gas Methane Reduction Well Plugging Grant Applications Due Dec. 16; $44.4 Million Available - Only 10 Applicants Applied For 77 Wells So Far  [PaEN] 

-- Penn State Extension Hosts Dec. 12 Webinar On Carbon Reduction Credits In Oil & Gas Well Plugging  [PaEN] 

-- Independent Fiscal Office Reports Slight Increase In PA 3rd Quarter Natural Gas Production; Lowest Number Of New Shale Gas Wells Drilled Since 2008  [PaEN]

-- PA Senate Republicans To Reintroduce Bills Limiting Citizen Rights To Appeal DEP Permit Decisions, Punish Communities That Take Steps To Protect Themselves Against Shale Gas Development Impacts  [PaEN]

-- PUC: Natural Gas Distribution Companies Prepare For Winter - Gas Consumption Expected To Decrease 1.8%, Cost For Residential Customers To Increase 1%  [PaEN]

-- PUC Enforcement Bureau Files Complaint Against Philadelphia Gas Works Over 2021 Natural Gas House Explosion; Alleging The Company Failed To Properly Investigate, Address Leaking Gas Pipeline  [PaEN]

-- PUC To Seek Public Comments On Settlement With Columbia Gas Concerning Welding Issues At Regulator Station In Beaver County  [PaEN] 

NewsClips:

-- Post-Gazette: Fracking, Clean Air Permits Dominate Allegheny County Board Of Health Meeting 

-- Marcellus Drilling News: EQT Hits Back At Greene County Landowners Claiming Water Contamination  [PDF of Article

-- TribLive: Upper Burrell Twp. Considers Oil & Gas Wastewater Injection Well Rules In Westmoreland County [‘They Can’t Use Upper Burrell As A Garbage Place To Dump Bad Water’] 

-- Marcellus Drilling News: Homer City Coal-Fired Power Plant To Be Demolished, New Natural Gas-Fired Power Plant To Be Built  [PDF of Article

-- Power Magazine: Largest PA Coal-Fired Power Plant Will Convert To Natural Gas  [Homer City]

-- E&E News/Politico: PJM Boosts Natural Gas Ahead Of Wind, Solar In Contentious Electric Grid Interconnection Review Plan

-- E&E News/Politico: Williams Pipeline CEO Urges Republicans To Put FERC In Sole Charge Of Energy Permits, States Should Be Removed From The Process 

-- CNX Resources Announces Acquisition Of Apex Energy Upstream, Midstream Business

-- TribLive: CNX Resources To Acquire Apex, Gain 36,000 Acres In Westmoreland County

-- Inquirer Column: Gov. Shapiro Fast-Tracks Oil Refinery Redevelopment, Impacted Residents Call For Philadelphia City Council Hearings

-- TribLive: Plum Boro Homeowner Accused Of Trying To Blow Up His House With Natural Gas In Allegheny County 

-- Marcellus Drilling News: State Of Ohio Cleanup Of Martins Ferry Oil & Gas Waste Processing Facility Owned By PA Company In WV One-Third Complete  [PDF of Article]

-- WTRF: Controversy Continues As State Cleanup Of Martins Ferry Oil & Gas Waste Processing Facility Owned By PA Company In WV

-- Reuters: Natural Gas Prices Rose 30-50% In 2024; Key Global Natural Gas Prices Set To Keep Rising Into 2025 

-- Reuters: US LNG Gas Exports To Europe Surge In November On Higher Prices

-- Bloomberg: European Natural Gas Rises As Colder Weather Forecasts Add To Worries

-- Reuters: Shell, QatarEnergy Sign Long-Term Purchase Agreement To Sell LNG Gas To China

-- Reuters: Rising LNG Gas Export Facility Costs Make New US Project Less Competitive, Says Analyst

[Posted: December 5, 2024]  PA Environment Digest

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