Reports

The report commissioned by New Jersey Conservation Foundation outlines the fact that while New Jersey is making strides toward clean energy, many in the state continue to burn natural gas and other fossil fuels directly in their homes, producing greenhouse gas emissions and harmful indoor air pollution. New Jersey is falling behind in achieving its building decarbonization goals compared to neighboring states, as the transition to clean, electric buildings are underway throughout the U.S. and globally.

A new study finds that development of natural gas pipelines and associated infrastructure is resulting in significant costs to the environment and communities in the Delaware River Basin (DRB). The costs that can be quantified could be as much as $2.4 billion for two pipelines alone — in addition to costs that can’t yet be quantified. Among the key findings:

• Mariner East 2 and PennEast would disrupt about 2,200 acres of land in the DRB for pipeline construction and long-term operation. These costs would result in a present-value loss of ecosystem services of about $11 million for Mariner East 2 and $43 million for PennEast.
• One million people consume water from public water systems that could be at risk of contamination or degradation due to the PennEast pipeline, and another 85,000 due to the Mariner East 2 pipeline. PennEast would also risk contamination to 792 domestic wells, with another 785 at risk from Mariner East 2.
• As of February 2019, there were about 240 inadvertent returns of drilling fluid to land and water along the Mariner East 2 route, and the Pennsylvania Department of Environmental Protection had issued 94 notices of permit violations.
• Even using a relatively high jobs factor, all forms of renewable energy or energy conserving job options evaluated would be expected to create more jobs than PennEast — from 2,744 to 13,719 additional jobs for the same level of investment.

A new report from Oil Change International debunks the myth that natural gas can be a bridge to a clean, affordable energy future. In New Jersey, it is clear that the state cannot reach its goal of 100% clean energy without reducing — and then eliminating — gas by 2050.

• Currently, most natural gas use in New Jersey is for heating space and water in building systems (53%), followed by gas-fired electric generation (39%). In order to reduce harmful greenhouse gas emissions, New Jersey must reduce consumption of gas, not increase it.
• To meet the clean energy goals of PJM states, clean electricity will expand to support new uses such as powering transportation and for use in buildings to heat and cool space and water.
• The PJM grid is the largest in the U.S., reaching from Illinois to North Carolina. By collaborating with other states, New Jersey can help drive the transformation of the regional electric grid to 100% clean energy.

The proposed PennEast pipeline is a solution in search of a problem, and data and analysis shows the pipeline isn’t needed to satisfy need, to reduce natural gas prices, or to ensure reliability or a low-cost transition to a clean energy future.

• New Jersey currently has substantial excess pipeline capacity to meet its needs — even during extreme cold periods — and PennEast would add to the unnecessary capacity.
• By creating a further glut of capacity, PennEast would increase costs to New Jersey consumers by $180 million to $280 million per year.
• Independent research found that PennEast inflated its estimated job numbers by at least 66% and that the project would result in only 10 ongoing jobs in New Jersey.

PennEast is not needed to meet peak winter gas demands, not even for a single day, even during extreme weather events.

• Latest data analyzed from January 2018 show that there is existing “extra” pipeline capacity available to provide natural gas to customers.
• The addition of the new Atlantic Sunrise pipeline capacity in the region by June 2018 will further increase excess regional gas capacity by 14%.

Energy Expert Report, Ratepayer Advocate Agency Invalidate Alleged Need for PennEast

• The agency “is concerned that the DEIS does not address that the ‘need’ for the Project appears to be driven more by the search for higher returns on investment than any actual deficiency in gas supply or pipeline capacity to transport it.”

Energy Experts Debunk PennEast Justification for Proposed Pipeline – Only Purpose Is Profit

• Local gas distribution companies in New Jersey and eastern Pennsylvania have more than enough firm delivery capacity to meet customer demand, even during peak winter periods.
• PennEast would likely increase costs for residents, and any alleged “savings” are the result of faulty assumption and analysis.

SRL Pipeline Would Increase Consumer Costs and Utility Profits Without Improving Reliability

• Expert gas analysts at Skipping Stone estimate homeowners would see rates increase by almost 7% if the costly SRL pipeline is built.
  • Residents would be forced to pay the $178 million cost of the proposed 28-mile pipeline.
• NJNG does not need SRL for “resiliency.”
  • Its network is already “conducive to quick repair/replacement.”
  • NJNG has multiple north/south and east/west transmission pipelines covering its service area, and it obtains gas from multiple suppliers at multiple points.
• The experts conclude the only purpose of SRL is to inflate the company’s profits at the expense of ratepayers.

PennEast Pipeline Job Creation Claims Significantly Overstated, Study Finds

• The Goodman Group Ltd. finds PennEast overstated the total jobs it will create, “by approximately two-thirds or more.”
• Half or more PennEast jobs would go to workers outside of New Jersey and Pennsylvania.