Vermont Gas reaches agreement with 94 percent of landowners in pipeline corridor

Vermont Business Magazine Vermont Gas Systems today announced that it has reached right-of-way agreements with 94 percent of landowners in the right-of-way corridor of the Addison Natural Gas Project. This marks a significant increase in landowner agreements since last winter, up from 80 percent in January 2015. Vermont Gas is still waiting for a decision by the Public Service Board on whether it will reopen the Certificate of Public good process regarding the completion of the pipeline. Eminent domain procedures for properties with whom Vermont Gas has not come to agreement also must wait for that decision.

“Iwant to extend sincere appreciation to more than 150 landowners who have engaged with our team to reach agreement. We thank them for their time and effort. Our goal has been to work positively with landowners, with respect for them and their interests as we move forward on this clean energy project,” said Don Rendall, President and CEO of Vermont Gas Systems.

Vermont Gas has stated that construction of the project is "on time and on budget," with completion in late 2016. The project requires acquisition of 100% of the right-of-way in the pipeline corridor. Vermont Gas filed nine eminent domain petitions with the Vermont Public Service Board (PSB) today. Vermont Gas will continue negotiating or mediating with landowners who are willing to seek alternatives to the eminent domain process, the company said in a statement. The right-of-way needed includes access for surveying, construction, and burial and maintenance of the underground pipeline and associated facilities.

The company’s contractors have almost finished construction planned for summer and fall 2015, and the company expects to complete the entire project through Addison County to Middlebury in late 2016.

Out of respect for privacy, Vermont Gas Systems does not release the names of landowners who may be involved in eminent domain proceedings.

“Eminent domain is a last resort. We must file these petitions now because we are at a critical point with respect to maintaining the project construction schedule and controlling costs,” Rendall said. “Wherever possible, we will continue working with landowners outside the eminent domain process to reach agreements.”

In a letter to the Board, the company acknowledged that more than five months ago the PSB stayed action on eminent domain petitions until it issues a decision on whether to re-visit its previous CPG approval of the project.

“We respect and acknowledge the Board’s signal in May that it would stay action on the two petitions we filed in April, one of which has since been resolved. Today’s filing will inform the Board of the status of all remaining landowners. Reaching agreement either through mediation, or as a last resort through eminent domain proceedings, is fundamental to bringing the project to completion,” said James Sinclair, Vice President of System Expansion.

The project will bring a valuable energy choice to 4,000 households, businesses, and institutions such as schools and hospitals in Middlebury, Bristol, Vergennes, New Haven, and other Addison County communities. Natural gas is cleaner and more affordable than heating oil and propane. The company points out that historically more than 80% of potential customers have chosen natural gas where it’s available, including about 95 percent of possible customers in Burlington.

Source: Vermont Gas. 10.21.2015