FERC Tuesday issued a certificate for CenterPoint Energy Gas Transmission Co.’s (CEGT) proposal to build a pipeline and additional compression to serve a power plant in Arkansas and other shippers.

In light of the fact that the project should have no negative impact on existing customers, has not been protested by other pipelines in the CEGT market area and should have minimal effects on landowners, “we find approval of CEGT’s proposal to be in the public convenience and necessity,” the Federal Energy Regulatory Commission (FERC) said in the order [CP08-69].

The project, known at the Tontitown Project, calls for the construction of an approximately 16-mile, 24-inch diameter pipeline in Logan and Franklin counties, AR. The pipeline will loop CEGT’s existing Line OM-1. In addition, a 10,310-horsepower Poteau compressor station is proposed to be constructed on CEGT’s parallel Lines O and O-1-O near the city of Poteau in Le Flore County, OK.

The proposed pipeline and compression facilities are expected to add approximately 132 MMcf/d of incremental capacity to CEGT’s system, the majority of which (90 MMcf/d) will be used to serve the electric generation requirements of Southwestern Electric Power Co.’s power plant in Tontitown, AR. The uncontracted capacity will be posted and made available to existing shippers, according to CEGT.

The estimated cost of the project is $52.3 million. The Commission granted CEGT’s request to roll the project costs into its system rates in a future general Section 4 rate proceeding, absent any material change in circumstances.

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