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Natural Gas Pipeline Siting Overview Highlights

The Natural Gas Transmission Pipeline Siting Act (NGPSA), ss. 403.9401-.9425, F.S., applies to the construction and operation of intrastate (within Florida) natural gas pipelines. For interstate pipelines, the company would deal with the Federal Energy Regulatory Commission on an Environmental Impact Statement (EIS) and coordination of federal regulatory issues, plus the department for state-level regulatory matters such as wetlands crossings, discharge of hydrostatic test waters, etc; other state and local agencies may also be involved from a regulatory standpoint.  Additional thresholds to determine whether an intrastate pipeline line must be licensed under the NGPSA include the definition of a pipeline: “The term does not include a gathering line, but the term includes a transmission pipeline that transports gas from a gathering line or a storage facility to a distribution center or a storage facility or that operates at a hoop stress of 20 percent or more of specified minimum yield strength, as defined by federal law, or that transports gas within a storage field.”  Furthermore, exemptions to the Act include whether (a) it crosses a county line and is 15 miles or more in length; (b) it is owned and operated by a local distribution company; (c) it is being licensed as an associated facility under the Power Plant Siting Act.  However, an applicant can request that a project under these thresholds be allowed to use the Act.

    The procedural rule is 62-807, F.A.C., and the application guide is 62-807.900, F.A.C.  All nonprocedural rules that would otherwise apply to such a facility will apply to a certified facility.

    The certification process (see flowchart) and procedural requirements are very similar to those for electrical transmission lines, including the ability of parties to propose alternate corridors and the possibility that an alternate will be the one certified (see TLSA alternates).  A difference between the two Acts is that while under the Transmission Line Siting Act, corridors can be up to a mile in width, under the NGPSA, corridors can only be 1/3 mile wide.  This reduces the amount of area which must be reviewed, and the number of persons which may become concerned that their property will be close to, or needed for, the pipeline.   

     As with Transmission Line Siting, the issue of safety and land ownership frequently comes into play in relation to the location issue.  In Florida, safety jurisdiction for Natural Gas Pipelines lies with the Public Service Commission, but the SCO can occasionally answer some questions, or can assist in directing the person to the most appropriate contact at the PSC.  Regarding land ownership, generally, a NGP company will attempt to work out any necessary arrangements via the acquisition of easements or fee simple title, but the granting of certification does empower the company with the right of eminent domain.

    No projects have been certified as yet under the NGPSA.  One application was submitted, but was withdrawn approximately halfway through the review process.  However, the SCO receives calls from time to time about the possibility of constructing other lines.  One pipeline has been built recently across the Gulf of Mexico, but this was not subject to the NGPSA.  Two others which would come from the Bahamas to eastern Florida are under consideration, but again, these would not be subject to the NGPSA.


 

 

 

 

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Last updated: August 13, 2008

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