The Greenbrier Pipeline Project

The following statements in quotes are excerpts from the information provided by the company. There will be a running editorial commentary interposed between the quotes.

"The pipeline is proposed by the Greenbrier Pipeline Company, LLC, [otherwise known as Dominion Greenbrier, Inc. (DGI)] an equity venture between Dominion and a subsidiary of Charlotte-based Piedmont Natural Gas. Dominion is a 67-percent equity owner and Piedmont Natural Gas is a 33-percent equity owner."

"The $497 million project will deliver up to 600,000 dekatherms (or approximately 584 million cubic feet) of natural gas per day to serve this growing energy demand."

"Dominion, headquartered in Richmond, Va., is one of the nation’s largest producers of energy, with a production capability of 2.7 trillion British thermal units of energy per day. The company has a power generation portfolio of more than 21,000 megawatts, which is expected to grow to more than 28,000 megawatts by 2005. Dominion is one of the largest independent oil and natural gas exploration and production companies in North America, with nearly 3 trillion cubic feet of equivalent reserves. The company has 7,600 miles of interstate natural gas pipeline and a delivery capability of 6.3 billion cubic feet per day. In addition, the company operates the nation’s largest underground natural gas storage system, over 950 billion cubic feet of storage capacity. Dominion serves nearly 4 million retail natural gas and electric customers."

"Piedmont Natural Gas is an energy and services company primarily engaged in the transportation, distribution and sale of natural gas to over 700,000 residential, commercial and industrial customers in North Carolina, South Carolina and Tennessee. The Charlotte-based company is the second-largest natural gas utility in the Southeast."

These are big powerful wealthy companies!

"DGI’s proposed construction would be located in the state of West Virginia, the Commonwealth of Virginia and the state of North Carolina. DGI plans to begin and complete construction on these facilities in 2004."

The tenor of the preceding statement is that this is a done deal. No doubt that this is the impression left with landowners when they are told that their land will be taken for the pipeline.

"Preliminary plans for facilities include about 200 miles of 30-inch pipe from Dominion’s existing Cornwell Station near Charleston, W.Va., to a point in Rockingham County, N.C.; about 44 miles of 24-inch pipe from Rockingham County to Person County, N.C.; and about 18 miles of 20-inch pipe from Person County to Granville County, N.C.

The pipe will have a maximum allowable operating pressure of 1,250 pounds per square inch (psi) and a minimum operating pressure of 600 psi. About 37,500 horsepower of compression will be required between two sites – Cornwell Station and a new station in Rockingham County."

"Customers of the Greenbrier Pipeline will be new electric power plants, local natural gas distribution companies, marketers and industrials."

"At the construction site, a 75-foot wide area (in some areas, it will be wider)..."

One wonders how much wider. 100 feet, 150 feet?

"... is cleared and graded, and a trench is dug for the pipeline. Stringing of the lengths of pipe occurs along the trench."

"Following construction, a 50-foot permanent easement will be maintained."

"Right-of-way maintenance will include manual or mechanical grass mowing and trimming of trees."

What trees? The 75-foot swath would eliminate any trees at all.

"DGI is one of two interstate natural gas transmission subsidiaries of Dominion, based in Richmond, Va. Also headquartered in Richmond, DGI is a newly formed corporation created for the purpose of providing additional gas supplies into the expanding mid-Atlantic market. DGI will be connected to Dominion’s other interstate natural gas transmission company, DTI. DTI has been in the natural gas business since 1898 [sic?] and operates a regional network of natural gas pipelines and underground storage facilities that serve more than 20 major utilities in West Virginia, Ohio, Pennsylvania, New York, Virginia, and other states in the Northeast and Mid- Atlantic regions of our country."

"Over the next several months, DGI’s representatives will be contacting the affected landowners to discuss this project and its timing, and to secure the rights to conduct the surveys and environmental studies necessary for DGI’s application to the Commission. DGI will also be negotiating for the acquisition of the easements for the pipeline right-of-way, access roads, gate settings, measuring and regulating stations, as well as the deeds for compressor station sites."

"The landowner [would still] own the property when DGI secures, by negotiated payment, an easement upon that property, but the landowner cannot undertake any activity within the easement that would conflict with DGI’s rights to utilize its easement rights."

So what value is this swath of land to the landowner? It would appear that in many cases this would be of negative value. Why should the land not be paid for as if it is wholly owned by the company?

"On those rare ..."

How rare? If rare is that because frequently the landowner feels one has no alternative but to sign?

"... occasions where DGI cannot secure the property rights it needs by reaching an agreement with the affected landowner, a federal law called ‘The Natural Gas Act’ allows DGI to secure the property by eminent domain. Efforts to obtain property through eminent domain begin with DGI filing a ‘complaint’ or ‘petition’ with the appropriate court, which can be either a state court or a federal district court. Usually a bond or other type of financial security is deposited with the court, to ensure that the landowner will be paid for any property rights that are taken when the matter is finally decided."

"After various preliminary matters, a hearing is held before a judge, jury, ‘board of viewers’ or ‘commission.’ The purpose of the hearing is to award the landowner ‘just compensation’..."

How is just compensation determined? A few what ifs: Is the sentimental value of a beloved old tree which might be worth thousands of dollars to the owner taken into consideration? Is the usually deep depreciation of the property after such an easement is granted taken into consideration? If suddenly a property becomes unsaleable for anything like the original sales price, is this considered into the equation? If the stress of the construction of the line through one’s property and then the continuing fear that something bad will happen from it’s presence there, does this merit consideration in "just compensation?"

"... for any property that is utilized for the project. Both the United States Constitution and state constitutions require the payment of just compensation to property owners who must give up some of their property for a public use, such as natural gas pipelines or other similar facilities."