Pipeline Modernization and Consumer Protection Act - Requires each operator of a gas pipeline facility, in accordance with an integrity management program, if applicable, to accelerate the repair, rehabilitation, and replacement of gas piping or equipment that is leaking or may pose high risk of leaking.
Requires each state regulatory authority and each nonregulated gas utility, in complying with such requirements, to: (1) develop prioritized timelines to repair or replace all leaking or high-risk piping or equipment, and (2) require use of best available technology to detect gas leaks.
Directs the Administrator of the Pipeline and Hazardous Materials Safety Administration to issue non-binding best practices guidelines for identifying and classifying high-risk pipeline infrastructure and leaks for repair or replacement.
Directs the Administrator and the heads of other applicable federal agencies to work jointly to establish and publish forms that adopt a standard definition and methodology for calculating and reporting information on the causes of unaccounted-for gas.
[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4338 Introduced in House (IH)]
113th CONGRESS
2d Session
H. R. 4338
To amend title 49, United States Code, to require gas pipeline
facilities to accelerate the repair, rehabilitation, and replacement of
high-risk pipelines used in commerce, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
March 27, 2014
Mr. Rangel (for himself and Ms. Norton) introduced the following bill;
which was referred to the Committee on Transportation and
Infrastructure, and in addition to the Committee on Energy and
Commerce, for a period to be subsequently determined by the Speaker, in
each case for consideration of such provisions as fall within the
jurisdiction of the committee concerned
_______________________________________________________________________
A BILL
To amend title 49, United States Code, to require gas pipeline
facilities to accelerate the repair, rehabilitation, and replacement of
high-risk pipelines used in commerce, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Pipeline Modernization and Consumer
Protection Act''.
SEC. 2. REPLACEMENT PROGRAMS FOR HIGH-RISK NATURAL GAS PIPELINES.
(a) Findings.--Congress finds that--
(1) Federal requirements related to repairing pipeline
leaks are limited to ``hazardous'' leaks, which are leaks that
represent an existing or probable hazard to persons or property
and require immediate repair;
(2) there are no Federal requirements to address slower or
less hazardous leaks, which can allow the leaks to persist
unrepaired indefinitely;
(3) in States without a standard definition and methodology
for calculating unaccounted-for gas (the difference between the
amount of gas purchased by a utility and the amount used or
sold to customers), data inconsistencies may be pervasive and
these inconsistencies hinder the ability of regulators to
monitor gas system and utility performance;
(4) the cost of leaked or otherwise unaccounted-for natural
gas in the distribution system is typically passed on to
ratepayers without limitation as an accepted cost of service,
which removes financial incentive for utilities to minimize the
leaks;
(5) methane, the primary constituent of natural gas, is a
greenhouse gas at least 20 times more potent than carbon
dioxide;
(6) according to the Pipeline and Hazardous Materials
Safety Administration, the United States natural gas
distribution system still includes 61,000 miles of bare steel
pipe without adequate corrosion protection and 32,000 miles of
cast iron pipe, which was installed beginning in the 1830s and
can be prone to failure;
(7) major recent pipeline explosions that led to human
fatalities, including those in Austin, Texas, Philadelphia,
Pennsylvania, and Allentown, Pennsylvania, have been traced to
aging, leaking, and high-risk pipeline infrastructure;
(8) natural gas distribution utilities may be discouraged
from making capital expenditures for the replacement of leaking
and failure-prone pipelines because traditional ratemaking
structures may not allow for cost recovery on a timely basis;
and
(9) according to the Pipeline and Hazardous Materials
Safety Administration, the natural gas pipeline replacement
programs established as part of the ratemaking process in 27
States and the District of Columbia have played a vital role in
enhancing public safety by better ensuring the prompt
rehabilitation, repair, or replacement of high-risk natural gas
distribution infrastructure.
(b) Natural Gas Distribution Companies.--
(1) In general.--Chapter 601 of title 49, United States
Code, is amended by inserting after section 60112 the
following:
``Sec. 60112A. Replacement programs for high-risk natural gas pipelines
``(a) Definition of Gas Pipeline Facility.--In this section, the
term `gas pipeline facility' includes--
``(1) a distribution facility; and
``(2) a gas utility.
``(b) In General.--Each operator of a gas pipeline facility shall,
in accordance with an integrity management program required under
section 60109 of this title, if applicable, accelerate the repair,
rehabilitation, and replacement of gas piping or equipment that--
``(1) is leaking; or
``(2) may pose high risks of leaking, or may no longer be
fit for service, because of--
``(A) inferior materials;
``(B) poor construction practices;
``(C) lack of maintenance; or
``(D) age.
``(c) Policy Options.--
``(1) In general.--In complying with subsection (b), each
State regulatory authority and each nonregulated gas utility
shall consider--
``(A) developing prioritized timelines to repair
all leaks based on the severity of the leak, including
non-hazardous leaks, or replace identified leaking or
high-risk piping or equipment, including leaks
identified as part of an integrity management plan
developed under section 192.1007 of title 49, Code of
Federal Regulations, if applicable;
``(B) adopting a cost-recovery program that
includes--
``(i) replacement plans with targets and
benchmarks for leaking or high-risk
infrastructure replacement;
``(ii) consideration of the economic,
safety, and environmental benefits of reduced
gas leakage, including consideration of reduced
operation and maintenance costs and reduced
costs attributable to lost or unaccounted-for
natural gas; and
``(iii) reporting on the reductions in lost
or unaccounted-for gas as a result of pipeline
replacements;
``(C) adopting a standard definition and
methodology for calculating and reporting unaccounted-
for gas to improve data quality;
``(D) adopting limits on cost recovery for lost and
unaccounted-for gas; and
``(E) requiring use of best available technology to
detect gas leaks.''.
(2) Technical and conforming amendment.--The table of
sections for chapter 601 of title 49, United States Code, is
amended by inserting after the item relating to section 60112
the following:
``60112A. Replacement programs for high-risk natural gas pipelines.''.
(c) Non-Binding Guidelines for Identifying and Classifying High-
Risk Pipeline Infrastructure.--
(1) In general.--Not later than 1 year after the date of
enactment of this Act, the Administrator of the Pipeline and
Hazardous Materials Safety Administration shall, after
consultation with State regulatory authorities, the Secretary
of Energy, the Administrator of the Environmental Protection
Agency, the Federal Energy Regulatory Commission, and other
appropriate Federal agencies, and after notice and opportunity
for comment, issue non-binding guidelines identifying best
practices under section 60112A of title 49, United States Code
(as added by subsection (b)).
(2) Preserving the integrity of actions already taken by
state regulatory authorities.--In formulating guidelines under
paragraph (1), the Administrator of the Pipeline and Hazardous
Materials Safety Administration shall, to the extent
practicable, preserve the integrity of, and be guided by,
actions already taken by State regulatory authorities to ensure
proper identification, classification, and timely repair of
high-risk pipeline infrastructure and leaks, including actions
taken after consideration of the standard under section
303(b)(6) of the Public Utility Regulatory Policies Act of 1978
(15 U.S.C. 3203(b)(6)).
(3) Revision of guidelines.--Not less frequently than once
every 7 years, the Administrator of the Pipeline and Hazardous
Materials Safety Administration shall review and, as
appropriate, revise the guidelines issued under paragraph (1)
to reflect changes in the composition and safety performance of
the pipeline infrastructure in the United States.
SEC. 3. DATA STANDARDIZATION.
(a) In General.--Notwithstanding any other provision of law, not
later than 1 year after the date of enactment of this Act, the
Administrator of the Pipeline and Hazardous Materials Safety
Administration and the heads of other applicable Federal agencies
shall, in consultation with State and local agencies under subsection
(c), work jointly to establish and publish forms that adopt a standard
definition and methodology for calculating and reporting unaccounted-
for gas, including, when possible, information on the causes of
unaccounted-for gas and the quantities associated with each cause, for
use by applicable Federal agencies to standardize the data collected on
unaccounted-for gas.
(b) Administration.--In carrying out this section, the
Administrator of the Pipeline and Hazardous Materials Safety
Administration and the heads of other applicable Federal agencies may--
(1) establish an interagency working group; and
(2) enter into a memorandum of understanding.
(c) Consultation With State and Local Agencies.--The Administrator
of the Pipeline and Hazardous Materials Safety Administration and the
heads of other applicable Federal agencies shall offer to work with
State and local regulatory authorities to adopt a standard definition
and methodology for calculating and reporting unaccounted-for gas to
standardize the data collected by Federal, State, and local
governments.
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Introduced in House
Introduced in House
Referred to the Committee on Transportation and Infrastructure, and in addition to the Committee on Energy and Commerce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Committee on Transportation and Infrastructure, and in addition to the Committee on Energy and Commerce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Subcommittee on Railroads, Pipelines, and Hazardous Materials.
Referred to the Subcommittee on Energy and Power.
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