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Congress Asked to Support Appalachian Storage Hub Initiative

  July/August 2018 / Vol 8 Issue 5

Congress Asked to Support Appalachian Storage Hub Initiative
By: Robert Johnson, President, ADKL LLC

 

A group of Pennsylvania legislators recently asked Congress to move forward Federal legislation supporting the development of oil/gas storage hubs across the Tri State Region including Ohio, Pennsylvania, and West Virginia. Natural gas development continues to be one of the most important economic initiatives in the region.

PA Senator Camera Bartolotta (R-Washington) sponsored Senate Resolution #375. This resolution was co-sponsored by Senators: Don White, Randy Vulakovich, Jim Brewster, Guy Reschenthaler, and Judy Schwank. PA State Representative Jim Christiana (R-Beaver) supported this resolution in the House.

Senate Resolution #375 calls for Congress to adopt legislation regarding the following:
• Support the Appalachian Energy and Manufacturing Infrastructure Revitalization Act proposed in S. 1340. This bill would improve the infrastructure permitting process by directing the Secretary of Energy and the Secretary of Commerce to approve the project as an Appalachian ethane storage hub, identify the lead Federal and State agency liaisons and coordinate with them on designating the project
• Support S. 1340 directing the Federal Energy Regulatory Commission (FERC) to consider relevant licenses and permits for the requisite pipeline infrastructure and requiring the other Federal agencies to complete consideration of their respective permits within 60 days of the completion of the FERC licensing or have their jurisdictional permits deemed approved
• Support the Capitalizing on American Storage Potential Act proposed in H.R. 3143 and S. 1337 would make a regional NGL storage hub eligible for the Department of Energy’s successful Title XVII loan guarantee program
• Support the Appalachian Ethane Storage Hub Study Act proposed in S. 1075 and H.R. 2568 to help assess the feasibility and potential benefits of establishing a subterranean ethane storage and distribution hub in central Appalachia

We thank Pennsylvania General Assembly members for their support of the storage hub initiative.

Why is the Appalachian Storage Hub important?
• Many Experts state a liquid-ethane storage system must be built underground to support the region’s growing petrochemical industry
• Shell and other companies moving into the region will need access to storage for manufacturing

A full-scale ethane storage hub has an estimated cost of $10 billion. Ohio, Pennsylvania, and West Virginia will all benefit from this important infrastructure initiative. The Pittsburgh Regional Alliance, the West Virginia Energy Institute and other organizations are involved in promoting the ethane storage hub.

The Appalachian Storage Hub Conference was recently held in Southpointe, Washington County PA and this event attracted over 100 attendees.

We encourage all energy employees and those associated with the industry to support this high priority initiative. Please contact me at rjohnson@adkl.org if you would like to be involved.


Robert Johnson
President, ADKL LLC
www.adkl.org

 

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