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Infrastructure Trade Groups Urge Northam To Reaffirm Pipeline Permits

Last week, a coalition of more than 25 infrastructure trade groups and labor unions released a letter to Governor Ralph Northam, urging his administration to reaffirm the state and federal permits already issued for the Atlantic Coast Pipeline. The move follows continued protests in the western portion of the Commonwealth that have gained national attention.

Delaying the construction of the pipeline, according to Gordon Dixon, CEO of Associated General Contractors of Virginia, will, “damage(s) Virginia’s reputation as a business-friendly state.”

President of the Energy Equipment and Infrastructure Alliance (EEIA) Toby Mack says, “If this opposition rearguard action were to stand, permits for any Virginia construction project involving water crossings, including roads, bridges, electric transmission lines or virtually any form of infrastructure can now be called into question.”

The letter, headlined as: “Energy Infrastructure Workers and Businesses Concerned About Project Uncertainty,” reads:

“The undersigned trade organization represent businesses and workers who build and provide equipment, materials, supplies, and services to energy infrastructure projects. Prominent among those projects is the Atlantic Coast Pipeline (ACP), which will provide Virginians with greatly expanded access to affordable and reliable natural gas and the clear power it provides. 

We are writing to express our concern with recent action by the Virginia State Water Control Board which directed the Virginia Department of Environmental Quality to open a new public comment period challenging whether Nationwide 12 federal water quality permits, previously issued by the U.S. Army Corps of Engineers (USACE) for all of the ACP’s nearly nine hundred Virginia water crossings, were adequate to protect the state’s water quality. 

The federal permits were issued after the project’s developers spent more than three years devising the safest and most environmentally responsible route for the pipeline, studying more than 6,000 miles of potential routes before choosing the best 600-mile route with the least impact. More than 300 route adjustments were made to avoid environmentally sensitive areas such as wetlands, wildlife habitats, drinking water sources and sensitive geologic features. Construction on methods have been designed and mandated to minimize impacts on water bodies and sensitive aquatic species habitats, and to control erosion and sedimentation. 

Nevertheless, ACP’s opponents argue that the USACE Nationwide 12 permits should be rescinded in favor of requiring state agencies to approve individual permits for each of the pipeline’s water crossings, a process that would significantly delay and add unnecessary cost to the project without benefit. The Board’s action opens the door to that possibility. 

A policy enabling retroactive rescission of carefully considered and duly issued federal permits will call into question the force and effect of any Nationwide 12 permits for any Virginia construction project involving water crossings, including roads, bridges, electric transmission lines or virtually any form of infrastructure. This will undermine the reliability and certainty of duly issues construction permits in the State, impair private investment in much-needed infrastructure projects and damage the State of Virginia’s reputation as a good place to do business. 

We therefore urge you to courage the Board and the Department of Environmental Quality to reaffirm the previously-issues permits and allow construction to continue as planned for the benefit of all Virginians.”

The EEIA reports that the ACP will create over 17,000 jobs from “construction subcontractors and equipment sellers to hotels and restaurants.”

The pipeline will generate over $28 million annually in local taxes to fund schools, roads, and public safety programs. As well, the approximate energy savings for Virginians is estimated at $377 million per year through cleaner-burning natural gas.

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