PSC: Damage to gas pipelines at unacceptable levels

PSC working to lower number of dig-in incidents

Kentucky Public Service Commission has set new base rates for the two largest electric providers in Kentucky.

FRANKFORT, Ky. (WTVQ) – Just over nine months ago, the Kentucky Public Service Commission assumed responsibility for enforcing the state’s call-before-you-dig law as it relates to natural gas or hazardous liquid lines.

Since July 14, 2018, the PSC has received more than 700 reports of excavation-caused damage to natural gas lines in the state.

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Last year’s changes to the underground facility protection statute require operators of natural gas lines to file reports with the PSC on all incidents of excavation damage. The PSC then evaluates the reports, conducts any needed additional investigation, and assesses financial penalties if violations are uncovered.

The PSC says about 48 percent of the violations thus far involve professional excavators who either failed to call 811 to have gas lines located or didn’t follow the statutory requirements for excavation near gas lines; 45 percent involve natural gas operators who did not locate lines accurately or properly; the remaining 7 percent involve people doing excavation on their own property and either not calling 811 or not following proper excavation practices.

Of the 701 reports filed with the PSC through March, 264 have been reviewed and closed, with 77 requiring no further action and penalties imposed in 187 cases.

PSC Executive Director Gwen R. Pinson explained that the penalties collected are being used to fund expanded outreach, training and education efforts aimed at excavators, pipeline operators, municipal utilities and the public.

The PSC also says it is working to process damage reports more quickly, beginning with the more than 400 reports awaiting final determinations, she said.

The changes to the law were made to bring Kentucky into line with federal pipeline safety standards, which the PSC enforces under an agreement with the US Department of Transportation.

Kentucky has a statewide 811 service that, by law, must be called at least two working days prior to beginning excavation. This advance notification is intended to allow ample time for utility lines to be located and marked so that excavation can proceed safely. Natural gas providers and hazardous liquid pipeline operators are required to provide the location of their lines to the 811 center.

Excavators, including homeowners, could be penalized for not calling 811, ignoring location markers or using improper excavation methods. Operators could be penalized for not responding to requests to locate lines or for improperly or inaccurately locating or marking underground facilities.

About 240 entities operate natural gas or hazardous liquid pipelines in Kentucky. They include local gas distribution companies fully regulated by the PSC and municipal natural gas providers and other entities, such as housing authorities, that are regulated by the PSC for safety only.

Penalties are up to $1,250 for a first violation, $2,000 for a second violation, and $4,000 for subsequent violations.

The PSC is an independent agency attached for administrative purposes to the Energy and Environment Cabinet. It regulates more than 1,100 gas, water, sewer, electric and telecommunication utilities operating in Kentucky.