Wednesday, April 24, 2019

Coalition Of Businesses Oppose Latest Plan To Make Laurel Pipeline Bi-Directional

On April 23, a coalition of businesses filed a formal protest with the Federal Energy Regulatory Commission in position to Buckeye Pipeline's request to make the Laurel Pipeline bi-directional from Altoona to Pittsburgh.
Buckeye had earlier proposed to make the pipeline, which now flows from east to west, only flow from west to east, cutting off the Pittsburgh market from Philadelphia Area refineries.
Members of the coalition include Giant Eagle, Inc.; Guttman Energy, Inc; Lucknow-Highspire Terminals, LLC (a Gulf Oil affiliate); Monroe Energy, LLC; Philadelphia Energy Solutions Refining and Marketing, LLC; and Sheetz, Inc.
Under the proposed “bi-directional” service proposal now in front of the Federal Energy Regulatory Commission, Buckeye would push fuel from the Midwest into Western Pennsylvania at higher tariff rates, thereby benefiting Midwest refineries and, at times, preventing lower-priced fuels from the East Coast from reaching Western Pennsylvania.
Buckeye is attempting to move forward under the same full reversal agreements with Midwest refiners that were in place when the Pennsylvania Public Utility Commission rejected the full reversal proposal in 2018.
In fact, Buckeye is still fighting for full reversal through an appeal of the PUC’s decision to the Commonwealth Court of Pennsylvania.
Buckeye’s ultimate goal remains to limit or completely cut off Western Pennsylvania from accessing gasoline manufactured on the East Coast, which is cheaper the majority of the year, according to the coalition.
Click Here for a copy of the protest.  Questions about the coalition’s action should be directed to David La Torre by sending email to:
(Map: Original Buckeye flow reversal plan.)
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