A federal appeals court rejected a New York agency's latest attempt to stop development of Millennium Pipeline Co. LLC's Valley Lateral natural gas transportation project, which would feed CPV Valley's 720-MW CPV Valley Energy Center in Orange County, N.Y.
The U.S. Court of Appeals for the 2nd Circuit denied a request for a stay of construction on the lateral project in a two-page Dec. 7 order. In early November, the 2nd Circuit granted the New York agency's request for an emergency stay of construction until the agency's challenge to the project could be heard.
In the same order, the court asked its clerk to expedite the review of the case, which will be heard by the judges as early as Jan. 24, 2018. (U.S. Court of Appeals for the 2nd Circuit dockets 17-3503, 17-3770)
Millennium was pleased the court dissolved the stay after hearing arguments from the New York State Department of Environmental Conservation. The company has not released a construction start date.
"We will continue to operate within the law as we plan next steps for the project," Millennium spokeswoman Michelle Hook said. "We also vow to adhere to the original water and wetlands protections in our original application to NYSDEC."
The New York State Department of Environmental Conservation had asked for the stay as part of its challenge to the project after FERC removed the agency from the permitting process. New York residents who oppose the project supported the state agency. Millennium had intervened on behalf of FERC.
In a Nov. 28 filing supporting its request for a stay, the New York agency argued that allowing Millennium to build the pipeline would compromise its duties to protect state waters and lands. FERC and Millennium asked the court to deny the request for a stay. The company wanted permission to begin construction by Dec. 7, a deadline mandated by the need to finish work before eagles returned to a nest in the area.
Millennium said any project delays could cost customer CPV up to $73 million. Construction of the CPV Valley Energy Center is almost complete. The 7.8-mile Valley Lateral project would deliver up to 127,200 Dth/d of firm gas transportation service to the power plant.
FERC issued a certificate order for the lateral in November 2016. In November 2017, the commission upheld an earlier declaratory order that removed the Department of Environmental Conservation from the water permitting process for the project after the state agency took longer than the yearlong limit prescribed by the Clean Water Act. (FERC docket CP16-17)
