Press Release

PUC Approves Modified $200,000 Settlement with Columbia Gas

Published on 9/11/2014

Filed under: Gas

HARRISBURG – The Pennsylvania Public Utility Commission (PUC) today modified a settlement agreement with Columbia Gas of Pennsylvania Inc. (Columbia Gas) that is the result of an investigation into various operating practices and incidents involving a third-party contractor.

The Commission voted 5-0 to increase the civil penalty from $110,000 to $200,000. Given the high number and the nature of the alleged violations, the Commission modified the civil penalty to deter Columbia Gas from future violations. The parties have 20 days to withdraw from the modified settlement agreement. If neither party withdraws, the Order will become final.

The informal investigation was instituted on Aug. 30, 2012, by the PUC’s independent Bureau of Investigation and Enforcement (I&E) and focused on whether Columbia Gas complied with state and federal regulations regarding valve maintenance, operating pressures and excavation damage over a period of years. The practices in question relate to incidents in Washington, Somerset, Fayette and Allegheny counties between December 2011 and July 2013.

The parties filed a settlement agreement on Feb. 6, 2014, to resolve the investigation. The settlement provided that Columbia Gas would pay a $110,000 civil penalty, which was modified by the Commission to $200,000; engage in corrective actions; and implement revisions to its operating procedures. The agreement was issued for comments on June 5. Both parties issued comments in support of the settlement.

Columbia provides natural gas service to approximately 417,000 residential, commercial and industrial customers in 26 counties in Pennsylvania.

The Pennsylvania Public Utility Commission balances the needs of consumers and utilities; ensures safe and reliable utility service at reasonable rates; protects the public interest; educates consumers to make independent and informed utility choices; furthers economic development; and fosters new technologies and competitive markets in an environmentally sound manner.

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Docket No. M-2014-2306076

Contact:

• Deputy Press Secretary
  717-787-5722