NARUC publishes handbook on state natural gas distribution infrastructure replacement programs

Published on February 11, 2020 by Kevin Randolph

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The National Association of Regulatory Utility Commissioners (NARUC) recently published a new informational handbook that highlights natural gas distribution infrastructure replacement programs in 41 states and the District of Columbia.

The handbook, Natural Gas Distribution Infrastructure Replacement and Modernization: A Review of State Programs, examines the state of U.S. natural gas distribution infrastructure, natural gas consumption trends and the benefits of collaboration between local gas distribution companies and utilities, state public utility commissions and other stakeholders to prioritize infrastructure repair and replacement.

The publication also notes statutes and regulations that guide infrastructure replacement programs in each state and includes state-specific factors that can guide practices.

The handbook also cites data from the U.S. Energy Information Administration and the Pipeline and Hazardous Materials Safety Administration that shows significant progress in replacing aging bare steel and cast iron main miles and service counts across the U.S. in recent years. Bare steel and cast iron, however, still make up 5.1 percent of main miles and 2.7 percent of service lines, which demonstrates the need for continued action on infrastructure replacement, NARUC said.

“Aging infrastructure presents safety and reliability risks,” NARUC President Brandon Presley of the Mississippi Public Service Commission, said. “Proactively managing the prioritization, financing, and execution of infrastructure upgrades is a critical function for state regulators.”

The report was developed under the Natural Gas Infrastructure Modernization Partnership (NGIMP) between NARUC and the United States Department of Energy. It was authored by Andreas Thanos of the Massachusetts Department of Public Utilities and NARUC Senior Manager Kiera Zitelman.

“Public utility commissions have an integral regulatory role in encouraging utilities in appropriate and prudent utility replacement and modernization programs,” Commissioner Diane X. Burman of the New York State Public Service Commission, who chairs NARUC’s Committee on Gas and NGIMP, said. “This handbook facilitates communication among states, utilities, and all stakeholders on successful approaches to infrastructure replacement with an emphasis on reliability, integrity, and safety of the natural gas distribution system.”