Kentucky Gas Pipeline Project Receives Legislative Support Amid Regulatory Disputes
House budget committee chair Jason Petrie is proposing legislation to exempt the Pennyrile Regional Energy Agency's gas pipeline from state regulation, a move aimed at facilitating industrial development. The pipeline, costing $120 to $150 million, seeks to enhance gas supply to large users, including a military installation.
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The Pennyrile Regional Energy Agency (PREA) is pursuing a 53-mile natural gas pipeline across five Kentucky counties, with legislative support from House budget committee chair Jason Petrie. The project, estimated at $120 to $150 million, aims to supply gas to large consumers, including a Novelis aluminum recycling plant and Fort Campbell military base.
Currently, PREA is involved in a court dispute over the need for Public Service Commission (PSC) approval, a situation Petrie's proposed legislation seeks to resolve by granting an exemption for PREA. While Petrie claims oversight exists through federal regulations, concerns have been raised about the absence of consumer protections for areas outside the local municipalities involved.
PREA has faced delays and is currently suing landowners for access to land needed for construction, citing eminent domain. The project's future hinges on legislative action and court rulings regarding regulatory oversight.
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