Senate Bill S2186

                                 BILL NUMBER:  S2186

 TITLE OF BILL :

An act to amend the public service law, in relation to requiring
liquid petroleum pipeline facilities to accelerate the repair,
rehabilitation, and replacement of equipment or pipelines that are
leaking or at a high-risk of leaking

 PURPOSE OR GENERAL IDEA OF BILL :

The purpose of this bill is to make operators of gas pipeline
facilities accelerate the repair, rehabilitation, and replacement of
gas piping equipment. This bill will also make facilities adopt a cost
recovery program, a standard definition and methodology for
calculating and reporting unaccounted for gas to improve data quality,
and limits on cost recovery for the lost and unaccounted for gas. It
will also require the use of the best available technology to detect
gas leaks. This bill will help to set guidelines pertaining to
classifying hazardous pipelines, creating a methodology for
calculating unaccounted for gas, and establishing a database of
pipeline infrastructure in cities of one million or more.

 SUMMARY OF SPECIFIC PROVISIONS :

Section 1 amends the public service law by adding a new section 63-gg
              

called Pipeline modernization and consumer protection. Part 1
establishes the definition of "gas pipeline facility", which is a
distribution facility and gas utility.

Part 2 establishes that each operator of a gas pipeline facility will,
accelerate the repair, rehabilitation, and replacement of gas piping
or equipment that is: (a) leaking; or (b) may pose high risks of
leaking or may no longer be fit for service, because of: (i) inferior
materials, (ii) poor construction practices, (iii) lack of
maintenance, or (iv) age.

Part 3 establishes that in complying with subdivision two of this
section, the commission shall: (a) develop prioritized timeliness to
repair all leaks based on the severity of the leak; (b) adopt a
cost-recovery program; (c) adopt a standard definition and methodology
for calculating and reporting unaccounted for gas to improve data
quality; (d) adopt limits on cost recovery for the lost and
unaccounted for gas; and (e)require the use Of the best available
technology to detect gas leaks.

Part 4 establishes that the New York State energy research and
development authority will issue non binding guidelines to identify
the best practices for classifying high-risk pipeline infrastructure
and leaks for repair or replacement. This will take place no later
than one year after the effective date.

Part 5 establishes that the New York State energy research and
development authority and the commission, no later than a year after
the effective date, will create and publish forms that adopt a
standard definition and methodology for calculating and reporting
unaccounted for gas.

Part 6 establishes that operators of gas pipeline facilities in cities
with a population of one million or more shall establish a database of
pipeline infrastructure that will be shared with the coordinated
building inspection data analysis.

 JUSTIFICATION :


Federal requirements related to repairing pipeline leaks are limited
to hazardous leaks, which are leaks that represent an existing or
probable hazard to persons or property and require immediate repair.
There are no Federal requirements to address slower or less hazardous
leaks, which can allow the leaks to persist unrepaired indefinitely.

According to the Pipeline and Hazardous Materials Safety
Administration, the United States natural gas distribution system
still includes 61,000 miles of bare steel pipe without adequate
corrosion protection and 32,000 miles of cast iron pipe, which was
installed beginning in the 1830s and can be prone to failure. Major
repent pipeline explosions that led to human fatalities occurred in:
Austin, Texas; Philadelphia, Pennsylvania; and Allentown,
Pennsylvania. These explosions were the result of aging, leaking, and
high-risk pipeline infrastructure.

This bill will help create a higher standard of safety in terms of
pipeline infrastructure, and will lower the cost of the rate that
consumers have to pay for lost and unaccounted for gas. This bill will
also help to improve the environment by limiting the amount of natural
gas that leaks out of faulty pipelines.

 PRIOR LEGISLATIVE HISTORY :

S.3586 of 2015-2016 (Espaillat): Died in Energy & Telecommunications
A.2547 of 2015-2016 (Rodriguez): Died in Energy
S.7010 of 2014 (Espaillat): Died in Energy & Telecommunications
A.9336 of 2014 (Rodriguez): Died in Energy

 EFFECTIVE DATE :
This act shall take effect immediately.