Whitecap Energy System, a venture by Coastal Corp. and PeoplesEnergy, has begun an open season to determine customer interest inan underwater line along the western shore of Lake Michigan, fromIndiana and Illinois into southeastern Wisconsin.

The line would run from a connection with ANR Pipeline in CreteTownship, IL about 21 miles to the bottom end of Lake Michigan atthe Illinois/Indiana border and then underwater along the lakeshore, past Chicago and into Wisconsin.

“There are a lot of power plants along the lake shore, but it’sa heavily populated area,” Coastal spokesman Joe Martucci said.”And the region needs more megawatts,” — possibly as much as10,000 MW within the next five years. Whitecap’s sponsors arebetting there would be less disruption and opposition to the lakeline than there would be to feeder lines coming in from the westthrough Chicago suburbs. It also would connect with ANR’s mainline,rather than its Wisconsin spur.

ANR also is running a companion open season for space on itsmainline from the Joliet (IL) hub or other ANR receipt points to aconnection with the Whitecap system. Both open seasons for firmtransportation are running through June 13.

The first segment of the Whitecap System, from Crete Twp. to LakeMichigan is targeted for service in April 2002. Service on theremaining 90 miles could come as early as November 2002. In an earlierannouncement of plans for the line, the sponsors estimated it wouldcost $300 million and carry up to 1.4 Bcf/d of gas (see Daily GPI, Dec. 7). Contact Judy Sirut at ANR (313)496-3670 or Todd Duffield of Peoples energy at (312) 240-3607 forinformation on proposed rates and services or to obtain an open seasonpackage.

ANR and Peoples also said Whitecap would not compete with theGuardian project, proposed 149-mile line from the multi-pipelineJoliet Hub north to a connection at Ixonia, WI. ANR has beenvigorously opposing Guardian, claiming it would be “redundantcapacity” and cause its customers, particularly Wisconsin Gas, to turnback 650 MMcf/d in firm capacity (see Daily GPI, Dec. 30, 1999).

Guardian’s sponsors are WICOR, parent of Wisconsin Gas, CMS Energyand Northern States Power subsidiary Viking Gas Transmission. TheGuardian line is backed by Wisconsin consumers, who want to seepipeline competition with ANR, currently the only major pipeline intoWisconsin (see Daily GPI, Dec. 2, 1999).Another competing line is being planned by Kinder Morgan and NicorEnergy. The $75 million Horizon Pipeline, from Joliet into northernIllinois also could be expanded to serve Wisconsin markets.

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