Underground Construction - March 2021 - 8

NEWSLINE LATEST INDUSTRY DEVELOPMENTS
11 Rescued from Flooded Streets
After Main Break
At least 11 people were rescued Feb. 16 after a large
water main break in Philadelphia left cars submerged
and the area completely flooded, authorities said.
The 48-inch break occurred around 6 p.m.
in the Nicetown area of North Philadelphia,
news outlets reported.
Flood waters consumed the streets, swamping
cars and leaving workers and customers of a

nearby U-Haul storage facility trapped inside,
authorities said.
Philadelphia Fire Commissioner Adam Thiel said
one woman was freed from her car, which was
immersed in the floodwater, and 10 others were
rescued from the U-Haul facility.
It's unclear what caused the rupture. Similar water main breaks have occurred blocks from the site,
including a break in 2015 near the Bakers Square
shopping center that flooded the streets with nearly
7 million gallons of water, news outlets reported.

New Two-Day Record for U.S. Natural Gas Delivery
The massive February winter storm that
swept across the U.S. forced many cities to
experience record-breaking temperatures
which also led to a new two-day record for
natural gas delivery.
151.7 billion cubic feet (Bcf) of natural
gas was delivered in the U.S. on Feb. 14 and
149.8 Bcf was delivered on Feb. 15 making
it the second highest delivery day ever and
setting a record for the largest demand for a
two-day period, according to the American Gas Association (AGA).
Despite the extreme cold across the U.S., the AGA states there were sufficient natural gas
supply and delivery capacity for space heating, hot water, cooking, manufacturing, electricity
generation and our export agreements with foreign allies.
" Natural gas companies are able to reliably deliver for their customers even in the most
challenging circumstances due to thorough preparation and a dependable and resilient delivery
system, the importance of which comes into clear focus during extreme weather events like we
are seeing right now in many parts of the country, " said AGA President and CEO Karen Harbert.
On Feb. 14, 69.8 Bcf of natural gas flowed to the residential and commercial sector and
27.8 Bcf was used in the industrial sector. 37.7 Bcf of natural gas was used to generate electricity
and 12.6 Bcf was exported, either by pipeline to Mexico or transported as liquified natural gas by
ship. On Feb. 15, 68.9 Bcf of natural gas flowed to residential and commercial sector, 27.5 Bcf
to industrial, 39.7 Bcf to power generation and 9.8 Bcf was exported.
Even with preparation, some natural gas providers are still faced delivery challenges due to
the weather.
Millions of customers in northern Mexico are also facing power outages because of the
disrupted electricity production in Texas.
While natural gas utilities faced some unprecedented challenges and spot prices climbed
in some regions due to spikes in demand, families and businesses that use natural gas were
protected from higher prices by the careful planning of their utilities.
Natural gas utilities use multiple long-term contracts that seek to guarantee enough supply
to meet demand and to lock-in affordable prices. Utilities also buy natural gas in the summer
when it is more affordable and store it to deliver on the coldest days. Thirty-eight percent of
the natural gas delivered on Feb. 15 came from storage.
The previous two-day record was set on Jan. 30 and Jan. 31, 2019, when 155 Bcf and
141 Bcf were delivered or exported. Since then, natural gas utilities have added approximately
1.25 million residential customers and 50,000 businesses.
-Brianna Rodriguez, Managing Editor

MARCH 2021 | UCONonline.com

Senator Seeks Probe of Natural
Gas Price Spikes During Storm
A Democratic senator is calling for federal investigations into possible price gouging of natural gas
in the Midwest and other regions following severe
winter storms that plunged Texas and other states
into a deep freeze that caused power outages in
millions of homes and businesses.
Minnesota Sen. Tina Smith says natural gas spot
prices spiked as high as 100 times typical levels,
forcing utilities and other natural gas users to
incur exorbitant costs, many of which were
passed on to customers.
In a letter sent Feb. 20 to federal regulators,
Smith said the price spikes will not just harm
consumers but could " threaten the financial
stability of some utilities that do not have sufficient
cash reserves to cover their short-term costs in
this extraordinary event. " The letter was sent to the
Energy Department, Federal Energy Regulatory
Commission (FERC) and the Commodities Futures
Trading Commission.
The extreme weather spurred residents from
Mississippi to Minnesota to crank up electric heaters
and pushed demand for electricity beyond the
worst-case scenarios planned for by grid operators.
At the same time, many gas-fired power plants in
Texas and other states were knocked offline because of icy conditions, and some plants appeared
to suffer fuel shortages as natural gas demand
spiked nationwide.
More than 70 deaths across the U.S. have been
blamed on the storms.
In Winfield, Kans., the city manager reported that
a unit of natural gas that sold for about $3 earlier
this month sold for more than $400. City Manager
Taggart Wall told KWCH-TV in Wichita that Winfield,
which budgets about $1.5 million a year for natural
gas, expects to pay about $10 million for the week
of the storm alone. Residential customers could see
bills as high as $2,500 for February, he said.
In Morton, Ill., officials reported that gas normally
sold for about $3 per unit cost nearly $225 as
demand soared because of the deep freeze.
A spokesman for the American Gas Association,
which represents more than 200 local energy
companies, said Feb. 14 and 15 set a record for the
largest natural gas demand in U.S. history over a
two-day period.
While natural gas utilities faced " unprecedented challenges " and " spot prices climbed in some
regions due to spikes in demand, families and

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Underground Construction - March 2021

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