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New York PSC Affirms Reliability Need for NESE Pipeline in 6–1 Vote

A state water-quality permit from environmental regulators remains the decisive hurdle before any construction.

Overview

  • The commission approved National Grid’s long-term gas plan 6–1 and directed the utility to file demand-forecast improvements, LNG facility reviews, and contingency analyses with and without the NESE project.
  • PSC Chair Rory Christian cited severe cold-weather risks and the need to ensure safe, adequate service, while noting the regulator does not issue the permits the pipeline still requires.
  • DEC said the pipeline’s application was deemed complete for public review in July, the public comment period closed August 16 with roughly 17,000 submissions, and no final decision has been made.
  • National Grid estimates customers would cover the $1.064 billion construction cost with an average bill increase of about 3.5%, while the company projects multi‑billion‑dollar reliability and electric‑system savings over time.
  • The project would carry fracked gas from Pennsylvania through New Jersey under Raritan Bay into New York City, drawing opposition from environmental groups and several legislators and support from business groups citing growing demand, including data centers.