A subsidiary of Kinder Morgan Inc. has announced plans to provide responsibly sourced natural gas to customers, demonstrating the company’s commitment to a lower carbon future.
Tennessee Gas Pipeline (TGP) filed a proposal with the Federal Energy Regulatory Commission (FERC) on Dec. 15 to implement a responsibly sourced natural gas (RSG) supply aggregation pooling service at select locations across the TGP system.
RSG is third-party certified natural gas that meets certain environmental, social and governance standards, particularly related to methane emission reductions.
The proposed service is designed to enable suppliers and customers on TGP to purchase and sell RSG supply at non-physical trading locations, ultimately serving end-users, utilities, power plants and LNG facilities connected to the TGP system.
Producers who have already obtained RSG certifications from qualified third-party organizations are anticipated to supply the RSG needed for the proposed pooling service, and the supply is expected to grow as RSG becomes the fuel of choice among customers. Pending regulatory approval from the FERC, this service is expected to be available in the first quarter of 2022.
“We are pleased that TGP is the first pipeline system to offer this RSG supply aggregation pooling service,” said Ernesto Ochoa, TGP vice president of commercial. “We believe this lower methane intensity fuel is an essential component of the energy transition, and TGP is uniquely positioned to be the transporter of choice because of its connectivity to key basins and end-users. We are excited to continue to work with current and future customers to encourage the delivery of RSG supply into our systems and pursue new ways to facilitate the availability of these molecules to the market.”
Operated by Kinder Morgan, TGP is an approximately 11,760-mile pipeline system that transports natural gas supplied from the Northeast United States, to diverse end-use demand markets including New York City and Boston in the Northeast, the Louisiana and Texas Gulf Coast and Mexico.
Kinder Morgan is one of the largest energy infrastructure companies in North America, which owns an interest in or operates approximately 83,000 miles of pipelines and 144 terminals. The company’s pipelines transport natural gas, renewable fuels, refined petroleum products, crude oil, condensate, CO2 and other products, and our terminals store and handle various commodities including gasoline, diesel fuel, chemicals, ethanol, metals and petroleum coke.Tags: Kinder Morgan, Responsibly Sourced Gas (RSG), Tennessee Gas Pipeline Co.