Amendment #12 to H4738

Establishing Standards for Approval of Gas Capacity Contracts

Mr. Kulik of Worthington moves to amend the bill by adding the following section: SECTION X.

“Section 94A of Chapter 164 of the General Laws is hereby amended by adding the following paragraph:- As part of the review of a contract with a term of more than 1 year for new gas pipeline capacity, the department shall determine whether such contract is in the public interest. The department shall not approve such a contract unless, as part of its public interest determination, the department finds that: (i) such contract is necessary to satisfy demand for gas by, and is cost-effective for, ratepayers of such company; (ii) such contract compares favorably to other reasonably available options in terms of its impact on rates, the economy, environment, climate, local communities, public health, safety and welfare; (iii) the parties to the proposed contract have attempted, in good faith, to identify and evaluate alternatives that would reduce or eliminate the need for private land takings or public land disposition including, but not limited to, expanded and more long-term utilization of existing gas infrastructure, distribution system repairs and upgrades, contracts for gas storage along unconstrained pipeline corridors, enhancement of peak-shaving measures and colocation of gas infrastructure with major roadways; and (iv) for contracts exceeding a term of 3 years, the parties to the proposed contract have attempted, in good faith, to identify and evaluate demand-side options to reduce or eliminate the need for new gas infrastructure”.