Yesterday the 2nd U.S. Circuit Court of Appeals ruled in favor of an appeal by Valley Lateral, a 7.8-mile pipeline proposed by Millennium Pipeline Co., after New York State regulators sought to block the federally-approved pipeline project.
The project had been given the greenlight by the Federal Energy Regulatory Commission (FERC) in November 2016, but the state Department of Environmental Conservation (DEC) rejected permits for the project more than a year after FERC’s approval. FERC later overruled the DEC, which lead to DEC appealing the decision to the 2nd Circuit. The ruling upholds the federal natural gas pipeline review process, which grants major state agencies one-year to review and approve permits for FERC projects. DEC had taken more than a year before denying the application for Valley Lateral.
Below is a statement you can attribute to me, Craig Stevens, spokesman for the GAIN Coalition. Also, you can follow us on Twitter @GAINNowAmerica.
“The ruling validates federal policy with regard to approving natural gas projects. It is a welcome sign for an industry that depends on regulatory certainty in order to plan for projects that can often cost hundreds of millions or even billions of dollars. The 2nd Circuit’s ruling makes clear that states have a role in these projects, but cannot legally cause death by delay.”