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San Diego County News

Independent publication serving San Diego County

CPUC begins penalty consideration case regarding PG&E pipeline

November 13, 2011 By sdcnews

SAN  FRANCISCO–The California  Public Utilities Commission (CPUC) today opened a penalty consideration case  into whether Pacific Gas and Electric Company (PG&E) violated CPUC or  federal rules regarding pipeline classification. If proven, the allegations  would constitute a violation of federal and state pipeline safety  regulations.

PG&E  operates approximately 6,438 miles of high-pressure natural gas transmission  pipeline, which includes approximately 1,060 miles of pipelines in High  Consequence Areas (class 1 locations are generally 10  or fewer buildings intended for human occupancy; class  2 locations are generally  more than 10 but fewer than 46 buildings intended for human occupancy; class  3 locations are generally  46 or more buildings intended for human occupancy; and class  4 locations are generally where  buildings with four or more stories above ground are prevalent).

The CPUC  will review and determine whether PG&E has failed to classify its pipelines  correctly and whether PG&E failed to comply with federal standards requiring  that it regularly study, patrol, and survey these locations for increased  population density.  

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As part of the  CPUC’s examination and orders pertaining to PG&E’s natural gas safety  practices following the September 2010 rupture of a PG&E pipeline in  San Bruno, on  June 30, 2011, PG&E submitted a Class Location Study Report to the CPUC. The study provided the results of PG&E’s system-wide  verification of class location designations for transmission pipe. The report  stated that PG&E’s class location review indicated that some segments of  pipe had, or may have, a maximum allowable operating pressure higher than  appropriate for PG&E’s current class location.  PG&E subsequently lowered pressure  on these lines following submission of their report in June.

The CPUC  enforces a variety of federal and state laws that impose safety requirements  pertaining to the design, construction, inspection, testing, operation, and  maintenance of investor-owned utility intrastate natural gas transmission  pipeline systems in California. 

During  the penalty consideration phase, an Administrative Law Judge (ALJ) will be  assigned to the case and will hear testimony from parties. Based on the record  that will be developed, the ALJ will prepare a recommendation for consideration  by the CPUC’s Commissioners, which could include statutory fines and penalties  against PG&E, if warranted, of up to $20,000 per each day of a continuing  violation of law.

 

 

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