Press Release

PUC Approves $50,000 Settlement with Dominion Peoples Over Allegations of Gas Safety Violations

Published on 6/21/2007

Filed under: Gas Transportation and Safety

HARRISBURG – The Pennsylvania Public Utility Commission (PUC) today approved a settlement between Dominion Peoples and the PUC’s prosecutory staff which fines the company $50,000 over allegations of gas safety violations.

Commission Chairman Wendell F. Holland issued a statement on this case.

On Dec. 30, 2005, the PUC’s prosecutory staff initiated a complaint against Dominion Peoples alleging that the company failed to adequately examine a section of buried pipeline for evidence of external corrosion or deterioration of the coating and failed to minimize the detrimental effects of stay currents.

On Jan. 23, 2003, Dominion Peoples discovered an external corrosion leak on a pipeline located in Armstrong County. Shortly thereafter, Dominion Peoples installed a band clamp over the leak and replaced a 33-foot section of the pipeline. The company later completed a review of the pipeline and found additional corrosion concerns. By Oct. 10, 2005, a 733-foot section of the pipeline was replaced.

On Feb. 8, 2006, Dominion Peoples filed an answer to the complaint in which it denied the allegation that it failed to adequately examine the pipeline. The company stated that a plan was developed to examine the pipeline in the vicinity of the leak by digging test holes identified in consultation with the Commission’s gas safety inspector in July 2005.

On Sept. 26, 2006, the prosecutory staff issued an amended complaint against the company alleging that the company had improperly capped lines at 33 sites when disconnecting customers who had transfer service to a competitor. The complaint also claimed the company had failed to promptly repair a gas leak under an intersection in Altoona.

The settlement between the company and the prosecutory staff, which was filed on Jan. 8, 2007, provides for the payment of a $50,000 civil penalty.

The Pennsylvania Public Utility Commission balances the needs of consumers and utilities to ensure safe and reliable utility service at reasonable rates; protect the public interest; educate consumers to make independent and informed utility choices; further economic development; and foster new technologies and competitive markets in an environmentally sound manner.         

For recent news releases, audio of select Commission proceedings or more information about the PUC, visit our Web site at www.puc.state.pa.us.

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Docket No. C-20055710

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