Williams Partners L.P. announced that Transcontinental Gas Pipe Line Company, LLC (Transco) has filed an application with the Federal Energy Regulatory Commission (FERC) seeking authorization for its Gateway Expansion Project, designed to create 65,000 dekatherms per day of firm transportation capacity for northeastern markets in time for the 2020/2021 winter heating season.
Transco has executed precedent agreements with PSEG Power, LLC (PSEG) and UGI Energy Services, LLC for firm transportation service under the project. Once complete, the project will help meet the growing demand for natural gas by northeastern consumers in New Jersey and New York.
PSEG supplies its affiliate Public Service Electric & Gas Company, which is New Jersey's largest provider of electric and gas service – serving 2.2 million electric customers and 1.8 million gas customers. UGI Energy Services supplies and markets natural gas and electricity to 40,000 customers across the Mid-Atlantic and Northeastern U.S.
“An abundant, reliable supply of natural gas provides northeastern consumers with affordable, clean energy critical to helping reduce carbon emissions and growing the region’s economy,” said Frank Ferazzi, senior vice president of Williams Partners’ Atlantic-Gulf operating area. “The Gateway Expansion Project will help fuel the region’s growth, leveraging existing pipeline infrastructure to meet our customers’ rising natural gas demand with minimal environmental impacts.”
“This project is just the latest example of the continued demand along the Transco system, driving ongoing expansion opportunities and increasing the volumes that we move on our system,” said Micheal Dunn, chief operating officer of Williams Partners’ general partner. “Growth opportunities continue to emerge along Transco, because of its irreplaceable position to deliver the low cost reliable natural gas our customers demand.”
Subject to regulatory approval, the Gateway Expansion Project will consist of adding electric horsepower at an existing Transco compressor station in New Jersey, in addition to making modifications to two existing Transco meter stations. Virtually all of the project activities are proposed within Transco’s existing rights of way and/or property boundaries.
The certificate application reflects an expected capital cost of $84.6 million and a target in-service date of Nov. 1, 2020.
Transco delivers natural gas to customers through its 10,200-mile pipeline network, with a mainline extending nearly 1,800 miles between South Texas and New York City. The system is a major provider of cost-effective natural gas services that reach U.S. markets in 12 Southeast and Atlantic Seaboard states, including major metropolitan areas in New York, New Jersey and Pennsylvania.
