Gas drillers tapping into the Marcellus Shale are shipping more fracking waste to neighboring Ohio for disposal deep underground, putting it on pace to bank nearly $1 million in fees this year from out-of-state drillers, the Pittsburgh Tribune-Review reported July 5.

The amount of wastewater Ohio accepted from out-of-state drillers jumped 25 percent in the first quarter, compared with the last quarter of 2010, likely in part because Pennsylvania officials this year increased pressure on drillers to keep fracking waste out of surface water, said Tom Tomastik of the Ohio Department of Natural Resources.

Drillers “have to do something with this waste,” said Pam Melott, manager at WTC Gas Field Services, one of several haulers newly registered to ship to Ohio. “There’s a lot of prospective customers. Our customers have called me and they want to know, `What are we going to do?’ … So, yes, they’re very interested in this.”

Pennsylvania has six active deep-injection disposal wells, all in the western half of the state, but state Department of Environmental Protection records show drillers rely completely on Ohio to take their waste. Companies sent nearly 14.8 million gallons for underground disposal in the last six months of 2010, the most recent statistics available.

Drillers are contemplating developing disposal wells in both states, government regulators and industry officials said. More haulers are registering to carry shipments to Ohio, and one developer is considering a rail line covering several hundred miles, Tomastik said.

To free gas from the rock formation more than a mile underground, drillers use more than 4 million gallons of water per well. Laced with chemicals and shot at high pressure, the fluid breaks through the earth, but more than a fifth of it returns to the surface with chemicals, solids and metals freed from underground. That water must be treated either for reuse or disposal.

The Pennsylvania DEP in August set stricter standards for the amount of solids wastewater plants can take in. This spring, the agency asked drillers to stop taking Marcellus water, sparking the search for options.

Every oil and gas well produces brine, and that salty water has to go somewhere, said Patrick Creighton, spokesman for the Cecil-based Marcellus Shale Coalition, which represents drillers.

As regulations tightened and pressure mounted, more Marcellus shale drillers moved toward recycling. Several of the region’s most active drillers said they recycle 90 percent to 100 percent of the water they use, sending what can’t be recycled to Ohio or to a specialized treatment plant in Williamsport.

Some of the wastewater may take years to return to the surface. It contains such high concentrations of salt that often it can’t be recycled, said Matt Pitzarella, spokesman for Texas-based Range Resources, which has offices in Cecil.

Underground injection wells long have been the primary disposal spots in states including Texas, Louisiana and Arkansas — but not in Pennsylvania, experts and industry officials said.

To bore an affordable, effective disposal well requires a permeable layer of earth that will absorb the waste and an impermeable layer above to trap it, all about 4,000 to 5,000 feet underground, said Badie Morsi, director of the University of Pittsburgh’s Petroleum Engineering Program. Pennsylvania has that type of rock, but companies are either tapping it for gas or using it for underground gas storage, experts and industry officials said.

Ohio, in contrast, has plenty of unused, permeable, relatively shallow sandstone, Morsi said.

Since the Pennsylvania DEP’s request to keep drilling waste out of rivers, inquiries nearly tripled for disposal wells in Pennsylvania, said David Sternberg, a spokesman at the EPA, which oversees the state’s disposal wells. Yet, no developers have applied, he said.

Those developers likely would have to drill 12,000 to 15,000 feet to find acceptable disposal space, Morsi said. That could cost three times as much as boring a well in Ohio, he said.

Tags: Marcellus Shale, natural gas, Ohio, Pennsylvania, utilities

This entry was posted on Wednesday, July 6th, 2011 at 12:25 pm and is filed under Community, Utilities.
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Columbia Gas of Ohio will upgrade approximately 20,000 feet of natural gas main line in Toledo’s Hamilton Street area.

The $1.5 million upgrade will begin on June 27 and is scheduled to finish next fall. The project plans to upgrade the existing steel pipe with plastic pipe and will temporarily stop natural gas service for those in the area.

Those impacted will included both residential and commercial customers near Brown, Nebraska and Hawley avenues as well as Campbell Street. Customers whose service could be stopped will be contacted before the work begins.

Columbia has a $2 billion plan to upgrade its pipeline system over the next 25 years. Serving approximately 1.4 million customers in 61 Ohio counties, it is the largest natural gas utility in the state.

Tags: Columbia Gas of Ohio, Service Upgrades, Toledo, utilities

This entry was posted on Wednesday, June 22nd, 2011 at 1:35 pm and is filed under Community, Utilities.
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The Andersons Inc. recently signed a petition addressed to the U.S. Congress requesting that it deny subsidy funding to the natural gas industry.

The company, along with a number of other manufacturing and agricultural organizations, wrote that it opposed “legislation that the Congress may consider that would provide subsidies or mandates that artificially increase the demand for natural gas in the transportation and power sectors.”

“We urge the Congress to allow the market to set supply and demand for natural gas instead of picking ‘winners’ and ‘losers’ through legislation,” the letter stated.

The Andersons specifically opposed HR 1380 or the “NAT GAS Act,” a subsidy for natural gas-fueled vehicles.

Debra Crow, a spokeswoman for The Andersons, said the company’s chief concern was that a subsidy would raise the demand, thus price, for natural gas, which is also used in agriculture.

“Our biggest concern is that natural gas is used in the production of some of the nutrients that go into farms,” Crow said. “Our biggest concern is the impact that it would have on the farmers.”

It would also make business more costly for The Andersons, she said, as the company is a major plant nutrient distributor.

The Andersons followed with its own follow-up letter. The highlights were:

O “Natural gas is a vital feedstock for the production of ammonia, which is the building block for all nitrogen fertilizers. Nitrogen applications are absolutely essential to maintaining the high crop yields of modern agriculture that keep America’s crop production abundant, affordable and a vital export.”

O “Creating an inflated market for natural gas through this legislation would sharply increase the cost and availability of this vital input and put a strain on the American farmer. The farmer will be required to choose between higher production costs and lower yields.”

O “This legislation will likely lead to a greater dependence on nitrogen imports. Subsequent to the sharp rise in natural gas prices in 2001 close to 40 percent of the U.S. nitrogen production industry shuttered leaving the U.S. farmer dependent on imports for as much as 50 percent of their needs from many of the same countries we rely on for oil.”

O “Natural gas is not an industry in its infancy. It is not a renewable fuel, and it is not an industry providing new markets for American agriculture. Should investors determine that natural gas as a vehicle fuel makes economic sense, capital will flow naturally into this sector. If this market does not develop, then there is an economic reason why this should not prosper.”

Chris Kozak, communications and community relations manager for Columbia Gas of Ohio, said concerns about rising demand would be largely eliminated should more drilling opportunities be opened in newly discovered shales in Pennsylvania and Ohio.

“The best solution is bringing more supply to market,” he said.

Those shales hold $2 trillion worth of natural gas, about a 125-year supply, Kozak said. Kozak said he respected The Andersons needs to look out for its own best interest and said the companies share a similar goal of a healthy supply of natural gas. O

Tags: Chris Kozak, Columbia Gas of Ohio, natural gas, Patrick Timmis, The Andersons, utilities

This entry was posted on Friday, June 10th, 2011 at 3:36 pm and is filed under Community, Utilities.
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Toledo-Lucas County Port Authority and Columbia Gas announced May 12 a partnership combining the BetterBuildings Northwest Ohio and Columbia Gas Home Performance Solutions programs to create energy-efficient careers and reduce energy costs to homeowners.

“BetterBuildings Northwest Ohio is focused on providing financing and easy access to cost-effective energy efficiency improvements,” said Kevin Moyer, executive director of BetterBuildings Northwest Ohio. “It is our goal to provide more comfortable homes, buildings and communities, all while creating stronger bottom lines.”

The Port Authority hired two home energy experts and provided them with $10,000 in specialized equipment and 140 hours of training through Columbia Gas and Owens Community College. The experts will perform home energy evaluations to residential gas-heating customers as part of the Columbia Gas Home Performance Solutions program.

“The Home Performance Solutions program will make your home more comfortable year-round and put money back into your pocket,” said Chris Kozak, communications and community relations manager for Columbia Gas of Ohio. “These savings will have a tangible impact for decades and free up funds in a household¹s budget.”

The home energy audits will cost $50. When recommended energy-efficient improvements are installed, Columbia Gas will provide rebates up to 70 percent and reimburse the audit fee. Columbia Gas has conducted more than 7,900 audits so far with an average annual savings of $300 per home.

BetterBuildings Northwest Ohio aims to transform how communities use energy by making “cost-effective energy practices and technology more accessible to individuals, businesses and governmental entities across Northwest Ohio.” The program provides low-cost financing to owners for high-efficiency improvements to buildings of virtually any type.

BetterBuildings Nortwhest Ohio received a $15 million start-up grant in 2010 from the U.S. Department of Energy. It was one of 25 programs to receive a grant through the Retrofit Ramp-Up project through the $80 billion American Recovery and Reinvestment Act.

Columbia Gas of Ohio, an energy distribution company of NiSource Inc., is the largest natural gas utility in Ohio with approximately 1.4 million customers in 61 of the 88 counties. The Columbia Gas Home Perforance Solutions program also recently partnered with Huntington Bank to assist homeowners in securing funds for recommended improvements at a reduced interest rate.

To schedule a home energy audit, customers can visit ColumbiaGasOhio.com/HPS or call (877) 644-6674.

Tags: Columbia Gas of Ohio, Consumer, Energy, Toledo-Lucas County Port Authority, utilities

This entry was posted on Friday, May 13th, 2011 at 4:32 pm and is filed under Community, Utilities.
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Columbia Gas and the Toledo-Lucas County Port Authority will announce on May 12 a new partnership for energy-efficient careers.

As a part of the BetterBuildings Northwest Ohio program, Columbia Gas and the Port Authority have combined efforts to help “create green jobs, foster economic development and encourage area homeowners to be more energy conscious.”

Funding for the project is provided by the U.S. Department of Energy.

The announcement will be made at the Toledo-Lucas County Port Authority at 11 a.m. where details of the project will be revealed.

Tags: Columbia Gas of Ohio, Economy, Employment, The Toledo-Lucas County Port Authority, utilities

This entry was posted on Wednesday, May 11th, 2011 at 12:17 pm and is filed under Community, Economy, Utilities.
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The Obama administration and environmental interests generally agree that global warming is a threat that must be dealt with.

But they’re on opposite sides of a Supreme Court case over the ability of states and groups such as the Audubon Society that want to sue large electric utilities and force power plants in 20 states to cut their emissions.

The administration is siding with Columbus, Ohio-based American Electric Power Co. and three other companies in urging the high court to throw out the lawsuit on grounds the Environmental Protection Agency, not a federal court, is the proper authority to make rules about climate change. The justices will hear arguments in the case April 19.

The court is taking up a climate change case for the second time in four years. In 2007, the court declared that carbon dioxide and other greenhouse gases are air pollutants under the Clean Air Act. By a 5-4 vote, the justices said the EPA has the authority to regulate those emissions from new cars and trucks under that landmark law. The same reasoning applies to power plants.

The administration says one reason to end the current suit is that the EPA is considering rules that would reduce carbon dioxide emissions from power plants. But the administration also acknowledges that it is not certain that limits will be imposed.

At the same time, Republicans in Congress are leading an effort to strip the EPA of its power to regulate greenhouse gases.

The uncertainty about legislation and regulation is the best reason for allowing the case to proceed, said David Doniger, a lawyer for the Natural Resources Defense Council, which represents Audubon and other private groups dedicated to land conservation.

“This case was always the ultimate backstop,” Doniger said, even as he noted that the council would prefer legislation or EPA regulation to court decisions. The suit would end if the EPA does set emission standards for greenhouse gases, he said.

The legal claims advanced by six states, New York City and the land trusts would be pressed only “if all else failed,” he said.

When the suit was filed in 2004, it looked like the only way to force action on global warming. The Bush administration and the Republicans in charge of Congress doubted the EPA’s authority to regulate greenhouse gases.

Federal courts long have been active in disputes over pollution. But those cases typically have involved a power plant or sewage treatment plant that was causing some identifiable harm to people, and property downwind or downstream of the polluting plant.

Global warming, by its very name, suggests a more complex problem. The power companies argue that any solution must be comprehensive. No court-ordered change alone would have any effect on climate change, the companies say.

“This is an issue that is of worldwide nature and causation. It’s the result of hundreds of years of emissions all over the world,” said Ed Comer, vice president and general counsel of the Edison Electric Institute, an industry trade group.

The other defendants in the suit are Cinergy Co., now part of Duke Energy Corp. of North Carolina; Southern Co. Inc. of Georgia; Xcel Energy Inc. of Minnesota; and the federal Tennessee Valley Authority. The TVA is represented by the government and its views do not precisely align with those of other companies.

Eight states initially banded together to sue. They were California, Connecticut, Iowa, New Jersey, New York, Rhode Island, Vermont and Wisconsin. But in a sign of the enduring role of partisan politics in this issue, New Jersey and Wisconsin withdrew this year after Republican replaced Democrats in their governor’s offices.

Another complication is that the administration and the companies may be on the same side at the Supreme Court, but the power industry is strongly opposing climate change regulation. The Southern Co. is a vocal supporter of GOP legislation to block the EPA from acting.

“It’s two-faced for them (the companies) to come into court and say everything is well in hand because EPA is going to act,” said Doniger, the NRDC lawyer.

Comer said the key point is that judges should not make environmental policy. “This has important implications for jobs. If you raise energy costs in the U.S., does that lead industry jobs to go elsewhere and if it does, do you get the same emissions, just from another country?” Comer said. “These judgments are properly made by elected officials.”

Justice Sonia Sotomayor, who was on the federal appeals court panel that heard the case, is not taking part in the Supreme Court’s consideration of the issue.

The case is American Electric Power Co. v. Connecticut, 10-174.

Tags: Congress, environment, Government, Ohio, Supreme Court, utilities

This entry was posted on Monday, April 18th, 2011 at 1:27 pm and is filed under Community, Environment.
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Columbia Gas of Ohio announced March 30, nearly 125 positions will need to be filled as a result of its ongoing pipeline replacement program. Columbia Gas of Ohio is preparing to spend $140 million in 2011 upgrading its natural gas delivery system across Ohio.

In Northwest Ohio, the 2011 anticipated infrastructure investment of $24 million dollars will create approximately 30 positions in our area.

“We have been working hard for more than two years to upgrade our natural gas distribution system with new infrastructure that will enhance safety and drive economic development,” said Columbia Gas of Ohio President Jack Partridge in a release. “As we ramp up our program, we will create more jobs at Columbia, as well as in the communities we serve through the use of contractors and the purchase of other services and materials.”

These new positions are in addition to 125 positions already filled statewide to meet the demands of the increased workload, according to Columbia Gas.

“The Public Utilities Commission of Ohio is pleased to see Columbia Gas of Ohio add new jobs as part of the company’s ongoing effort to improve the safety and reliability of natural gas service,” said PUCO Chairman Todd A. Snitchler, in a release. “The infrastructure investments approved by the PUCO will help stimulate the regional economy and ultimately lead to better service for customers.”

Columbia Gas plans to invest a total of $2 billion to upgrade nearly 4,000 miles of natural gas pipeline across its Ohio service territory over the next 25 years. These projects are estimated to have a $3.2 billion dollar economic impact on the state of Ohio.

Job openings include Construction Coordinator, Field Technician, Service Technician, and Field/Service Technician positions.

Those seeking more information or qualified applicants interested in applying for these positions are encouraged to visit www.nisource.jobs.

Tags: Columbia Gas of Ohio, Economy, Employment, utilities

This entry was posted on Wednesday, March 30th, 2011 at 11:02 am and is filed under Community, Utilities.
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Columbia Gas of Ohio and Huntington Bank have teamed up to help Northwest Ohioans make their homes more energy efficient.

Through Columbia Gas’ program, Home Performance Solutions, and Huntington Bank’s low-interest financing for recommended repairs, the two companies hope to help citizens save money on their gas and cooling bills.

“We know that with the increasing cost of gasoline and groceries everyone is continuing to look for ways to save money. Not only can we help people save money on their heating bills this year, but we can also help them save money long-term by lending them money to make these long lasting repairs,” said Sharon Speyer, president of Huntington Bank’s Northwest Ohio region, at a press conference.

Through its program, Home Performance Solutions, Columbia Gas offers customers a $50 home energy audit that identifies energy leakages within a house. Customers receive an audit report breaking down the problems and listing the estimated costs of repairs and estimated annual savings of those repairs. Customers who make suggested renovations using pre-qualified contractors are eligible for rebates of up to 70 percent.

With the new partnership, Huntington Bank offers customers low-rate financing, as little as .99 percent, to make the recommended repairs.

“This partnership, I believe, has eliminated the last hurtle for any household to be able to take a part and take advantage of this program,” said Chris Kozak, communications and community relations manager at Columbia Gas.

In order for a customer to receive the Columbia Gas rebates the home energy audit must be performed by a pre-qualified contractor.

There are no income requirements to qualify for Columbia Gas’ home energy audit. Huntington Bank’s loans are subject to credit approval. The offer runs March 1 to Dec. 31.

For more information about Huntington Bank’s loans, visit a local branch or go online to www.huntington.com/energyfix.

To set-up an appointment for a home energy audit, Columbia Gas customers can call 1-877-644-6674 or visit www.columbiagasohio.com/HPS.

Currently, there is roughly a three to four week wait for a home energy audit, Kozak said.

Related Story:

Assistance programs help customers cut energy usage

Tags: Columbia Gas, Columbia Gas of Ohio, Energy, Huntington Bank, utilities

This entry was posted on Wednesday, February 16th, 2011 at 2:40 pm and is filed under Community, Utilities.
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Columbia Gas of Ohio announced a 12 project, 32-mile natural gas infrastructure upgrade in Toledo for 2011.

“By investing in our infrastructure, we are investing in our community,” said Chris Kozak, communications and community relations manager for the company during a press conference.

The upgrade represents up to $18 million in investment for Toledo and is part of a 25-year, $200 million investment across Northwest Ohio, Kozak said. By the project’s completion, Columbia Gas will have invested $2 billion throughout the state and replaced roughly 400 miles of natural gas lines in Northwest Ohio, he said.

“We’re extremely happy that [Columbia Gas] is going to be able to help us with our infrastructure,” said Mayor Mike Bell. “Things get old and they start to wear out and what we have to do  is be able replace it; that the Columbia Gas crew is prepared to come in and do that is a great thing.”

Columbia Gas will replace the aging bare steel lines, with some dating pre-WWII, with plastic pipelines that are designed to better handle pressure and easier to replace, Kozak said. The new pipes have a 60-to-70-year lifespan and have a safety feature, called an excess flow valve, that will shut off the gas flow in case of a severed line.

“Our hope is to go into one of these neighborhoods, re-wire the entire system, bring the natural gas system up-to-date, make it state of the art,” Kozak said. “With our new automated meter reading devices, we won’t have to come back to that neighborhood for 60 of 70 years unless there is a gas issue.”

Columbia Gas has identified areas where there are high leak issues and will start replacing the pipes in those areas. The 12 different projects throughout the city are expected to affect roughly 5,000 customers, Kozak said.

The old pipelines will be abandoned in place and Columbia Gas will utilize a technique called directional drilling underground to install the plastic lines. Kozak said removing the old steel lines would require an open cut and is more invasive.

Columbia Gas has hired and contracted 12 different employees to install the new lines and it’s estimated for every dollar spent on the project there is a $1.60 economic impact in Northwest Ohio, Kozak said.

Funding for the 25-year project came from Columbia Gas’ 2008 rate case, which increased the average bill by 2.5 percent to the company’s

1.4 million customers.

Tags: City of Toledo, Columbia Gas of Ohio, utilities

This entry was posted on Wednesday, January 26th, 2011 at 7:54 pm and is filed under Community, Utilities.
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Randall Frame

Randall Frame has been named regional president of Toledo Edison for FirstEnergy Corp. based in Akron. Frame will assume his new position upon the completion of the proposed merger of FirstEnergy and Allegheny Energy, which could happen as early as Feb. 1.

The proposed merger was announced in February 2010 and is expected to close in the first quarter of 2011. FirstEnergy reported that shareholders of both companies approved proposals related to the merger.

It has received approval from the state regulatory agencies in Virginia, West Virginia, and Maryland and is awaiting approval in Pennsylvania. It does not require approval in Ohio since it doesn’t involve the acquisition of any utilities here, according to FirstEnergy.

“I’m excited about the area, the opportunity and it appears to be a great place to live. I have been to Toledo many times on business and look forward to getting involved there soon,” Frame said.

Knowing how important it is to take care of customers since they are what make the company, Frame said he will do his best to provide continued customer service to commercial and residential customers in Northwest Ohio.

Frame will be responsible for approximately 400 Toledo Edison employees in Northwest Ohio but not directly for any power generation employees at the Bayshore or Davis-Besse facilities, he said.

Frame has worked at FirstEnergy for 28 years, joining the company in 1982 as an engineering assistant.  In 1990, he was promoted to engineer and in 1994 was named industrial marketing supervisor.  In 1997, Frame was promoted to director, Sales, and in 2004 was promoted to director, Energy Delivery Supply Chain.  He was named as director of  Utility & Corporate Sourcing, Supply Chain, in 2009.

Frame earned a Bachelor of Science Degree in electrical engineering technology from The University of Akron.

He has worked in Akron, Mansfield, Springfield and Youngstown and now looks forward to coming to Toledo, he said.

He and his wife Pam are originally from the Akron area and are pleased to be staying close to their families in Ohio. They have two grown children, Mark and Megan, who live and work in Ohio.

Frame reported that they have begun looking at homes in the Toledo area.

FirstEnergy was created in 1997 by combining Cleveland Electric Illuminating, Ohio Edison and Toledo Edison. It later acquired GPU, Inc. a utility operating in Pennsylvania and New Jersey. Allegheny currently operates in Pennsylvania, Virginia, and West Virginia.

FirstEnergy retains the local operating company names to maintain established relationships with local customers, said a company spokesperson.

Tags: Energy, FirstEnergy, Randall Frame, Toledo Edison, utilities

This entry was posted on Saturday, January 22nd, 2011 at 2:19 pm and is filed under Community, Utilities.
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