New York waited too long to deny pipeline’s water permit, FERC rules

Aug. 7, 2018
The US Federal Energy Regulatory Commission ruled that the New York State Department of Environmental Conservation waived its authority to deny the Northern Access Pipeline Project a crucial water permit because the state agency did not act within a year of receiving the interstate natural gas pipeline sponsors’ application for it.

The US Federal Energy Regulatory Commission ruled that the New York State Department of Environmental Conservation (NYSDEC) waived its authority to deny the Northern Access Pipeline Project a crucial water permit because the state agency did not act within a year of receiving the interstate natural gas pipeline sponsors’ application for it.

Sponsors National Fuel Gas Co. and Empire Pipeline Inc. applied for a NYSDEC certification under Section 401 of the federal Clean Water Act on Mar. 2, 2016, FERC said in its Aug. 6 ruling. NYSDEC denied the application on Apr. 7, 2017, which was more than a year after the state agency received it, a deadline established in CWA Section 401. NYSDEC essentially waived its CWA certification authority when it did this, the ruling said.

The commission reached a similar conclusion nearly a year earlier when it ruled that NYSDEC waived its authority to approve or deny a CWA Section 401 permit for the Millennium gas pipeline’s 7.8-mile Valley Lateral in Orange County, NY, after failing to act within a year (OGJ Online, Sept. 18, 2017).

In an Aug. 7 statement, Williamsville, NY-based NFGC said FERC’s ruling a day earlier removed a major barrier for the Northern Access project while making the energy grid more reliable and resilient. “We remain committed to the project, and due to the significant delay caused by the actions of the state agency, our team is developing a revised timeline including reviewing the status of various other relevant permits,” it said.

The 60-page ruling, which addressed several other issues, was prepared following a hearing by the full FERC. Commissioner Richard Glick dissented.

Contact Nick Snow at [email protected].

About the Author

Nick Snow

NICK SNOW covered oil and gas in Washington for more than 30 years. He worked in several capacities for The Oil Daily and was founding editor of Petroleum Finance Week before joining OGJ as its Washington correspondent in September 2005 and becoming its full-time Washington editor in October 2007. He retired from OGJ in January 2020.