Letter to Cheryl A. LaFleur, Chair of the Federal Energy Regulatory Commission - Future of Spectra Energy's Algonquin Incremental Market Project

Letter

Dear Chairman LaFleur:

We are writing to emphasize the importance of a timely review and decision on the Algonquin Incremental Market (AIM) Project. As the Federal Energy Regulatory Commission (FERC) announced on December 10, 2014 the Final Environmental Impact Statement for the project is now scheduled for release on January 23, 2015.

If approved, the AIM project would expand Algonquin Gas Transmission's existing infrastructure to bring desperately needed natural gas to New England. While New England has become heavily reliant on natural gas for electric generation and residential heating, the region's infrastructure has not kept pace. As we endure another winter heating season, this lack of capacity and the severe impact it has on homes and businesses in our region is all too clear. Given this situation, it is especially important that this project has an expeditious review.

We are concerned that a delay in the decision on AIM would jeopardize the timely construction of the project, which is currently expected to be completed before the 2016-17 winter heating season. Seasonal challenges in New England result in short construction windows and any delay in this proposed project will likely cause disruptions in the region's energy market. Additionally, the lack of natural gas capacity is causing increased emissions as other, dirtier generating sources are dispatched, while also increasing electricity prices in the region.

We appreciate FERC's diligent review of the project and the openness demonstrated in the multiple public comment opportunities during this process. Following the completion of this process, we respectfully urge you to issue your decision expeditiously to help bring this critical project into service as scheduled.