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California regulators propose plan that could close Aliso Canyon
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California regulators propose plan that could close Aliso Canyon

The California Public Utilities Commission unveiled a proposal this week that could potentially close Aliso Canyon gas storage field in coming years, but local activists and politicians say that doesn’t provide a quick and clear enough timetable for closing the site of the largest natural gas leak in American history.

Residents of Porter Ranch and surrounding San Fernando Valley communities have been crying out for the closure of the Southern California Gas Co.-owned site since the leak occurred over a four-month period in late 2015 and early 2016. The disaster released an estimated 100,000 tons of methane and other chemicals into the air, forcing more than 8,000 families to flee their homes, with many reporting headaches, nosebleeds and nausea.

On Wednesday, the CPUC unveiled a proposed decision regarding the future of Aliso Canyon. The plan, which will be discussed at the commission’s Dec. 19 meeting, calls for moving forward with possible closure of the site once Southern California’s demand for natural gas declines to a level at which peak demand can be met without Aliso Canyon.

Demand is expected to continue its downward trajectory in the coming years as California increases its use of renewable energy sources.

The CPUC is proposing to initiate proceedings to review and possibly close the facility once peak demand forecast in two years declines to 4,121 million cubic feet per day – and a biennial assessment shows that would not jeopardize jeopardize the reliability of natural gas or reasonable rates. The current forecast for peak demand is 4,618 million cubic feet per day, and it is expected to drop to 4,197 million in 2030, according to a CPUC fact sheet.

“We continue to review the decision but share the commission’s view that Aliso Canyon is a necessary part of California’s energy infrastructure today,” SoCalGas spokesman Chris Gilbride said Friday. , in a press release.

Several politicians who represent Porter Ranch and support closing Aliso Canyon have expressed frustration with what they see as a lack of urgency and clarity about when the site will realistically cease operations.

“The optimistic part is that there is a way to close it,” Rep. Pilar Schiavo (Chatsworth Democrat) said in a telephone interview. “The skeptical side, though, is that there really is no timetable. It’s not clear.

State Sen. Henry Stern (D-Calabasas) said he wants the CPUC to provide evidence why a progressive schedule is in the public’s best interest.

“It is up to the CPUC to prove to the public that this proposal to extend the life of Aliso Canyon is not just a gift to SoCalGas at the expense of the community,” he said in a press release. statement about.

Los Angeles County Supervisor Lindsey Horvath called the proposed decision “unacceptable” in a statement and said it “does not prioritize the health and well-being of a community that has bore the brunt of the worst natural gas leak in American history.

“My position remains unchanged: we need a clear end date and a plan for complete closure,” she said.

That sentiment was echoed by Matt Pakucko, president of the advocacy group Save Porter Ranch, which fought to shut down the storage facility shortly after the leak.

He said the commission was “kicking the can down the road” with its proposed biennial evaluation process.

“They check every two years instead of immediately closing the facility like residents and our group have been asking for years,” Pakucko said.

The company has a contentious relationship with the Porter Ranch community and, following the leak, faced a litany of lawsuits alleging that it knew about problems at the site and failed to resolve them. The firefighters too filed a lawsuit alleging the company failed to inform them of the extent of their exposure to harmful chemicals during their response to the leak.

In 2016, SoCalGas pleaded no contest to a misdemeanor charge for failure to immediately report the gas leak, and in 2021 agreed to pay up to $1.8 billion to settle the claims of more than 35,000 victims.

Since then, the company has implemented a number of safety improvements at Aliso Canyon as part of various legal settlements and agreements with government agencies.

This includes installing an infrared methane monitoring system, having a state agency conduct safety tests on all 114 wells, hiring employees to operate new leak detection systems 24 hours over 24, adopting new reporting policies for hazardous material releases and increasing employee safety training.

Pakucko said he places the blame for continued use of gas installation on Governor Gavin Newsom.

“It’s not about energy, it’s about health,” Pakucko said.

In 2019, Newsom called on the CPUC to consider accelerating the permanent shutdown of the installation. But in 2023, its CPUC appointees voted 5-0 in favor of authorizing SoCalGas. store much more fuel on the site to help lower gas prices.

In a 2023 email, Newsom spokesperson Alex Stack said the governor “appreciates (the Public Utility Commission’s) efforts to keep energy affordable and reliable for ratepayers, and he continues to ‘Encourage the commission to accelerate its work to permanently close the facility under the California agreement. transition away from fossil fuels.

Rising natural gas costs were a big problem last winter when SoCalGas said the average bill for its 21.8 million customers in January 2023 was about $300, more than double the January 2022 average.

The company blamed the price surge on unusually cold winter weather and constraints on pipelines and gas storage facilities. Others blamed the company mismanage your inventory and increasing exports to Europe to take advantage of high prices due to the Russo-Ukrainian war.