SCC Finds that Chickahominy Pipeline is a Public Utility under Virginia Law

Utilities

DEC 22, 2021

RICHMOND – The State Corporation Commission has determined that Chickahominy Pipeline, LLC is a public utility. The finding means SCC approval is necessary before the company can construct and operate an 83-mile natural gas transmission line across several Central Virginia counties.

In its final order, the Commission adopted the recommendations of an SCC hearing examiner in a report filed on November 15. The recommendation included denying the company’s petition for a declaratory judgment.

Chickahominy Pipeline filed a petition on September 3, 2021, arguing that it is not a public utility because it is transporting but not selling natural gas to its own affiliated company, Chickahominy Power. That company intends to build a gas-fired, electric generation facility in Charles City County approved by the SCC in May 2018 (SCC case PUR-2017-00033).

Chickahominy Pipeline plans to interconnect with an existing interstate natural gas pipeline in in Louisa County. Gas purchased from a wholesale supplier would then be transported by the line through Louisa, Hanover, Henrico and New Kent Counties before reaching the Charles City power plant site.

The Commission agreed that the pipeline company will own and operate a facility through which natural gas will be sold and used for the purpose of heat, light or power [Virginia Code Section 56-265.1 (b)]. Thus, a certificate of public convenience and necessity is required before constructing facilities for use in public utility service.

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Contact: Ken Schrad, 804-371-9858

Case Number: PUR-2021-00211
View Final Order - PUR-2021-00211