Advancing a major gas pipeline
New York Governor Kathy Hochul finally relented and on Friday handed a major award for Tulsa-based Williams Cos.to see light at the end of the day as it seeks approval for a 24-mile pipeline to supply New York City with natural gas.
She signed a permit advancing the the Northeast Supply Enhancement line, a total reversal of her previous rejections of the project. Williams had previously been denied twice its requests for approval of the line. The company secured what are known as Clean Water Action 401 and 404 permits from the New Jersey Department of Environmental Protection and a Section 401 Water Quality Certification and related permits from the New York State Department of Environmental Conservation.
“We’re proud to move NESE forward and do our part in providing New Yorkers access to clean, reliable and affordable natural gas,” said Chad Zamarin, president and CEO of Williams. “This project reflects our commitment to deliver clean and reliable energy, while lowering energy costs and supporting economic growth and environmental stewardship.”
“As Governor, a top priority is making sure the lights and heat stay on for all New Yorkers as we face potential energy shortages downstate as soon as next summer,” Hochul said in a statement, according to multiple reports. “We need to govern in reality. We are facing war against clean energy from Washington Republicans, including our New York delegation, which is why we have adopted an all-of-the-above approach that includes a continued commitment to renewables and nuclear power to ensure grid reliability and affordability.”
The NESE project is designed to improve energy affordability and reliability in New York City by expanding access to critical natural gas infrastructure and displacing high-emitting and costly fuel oil, which is delivered into New York City by diesel trucks. NESE will enhance energy security, lower costs, and reduce emissions, and the project is expected to generate over $1 billion in investment, create thousands of construction-related jobs, and deliver long-term benefits to New York residents and commercial energy users.
In parallel, Williams continues to advance the Constitution Pipeline project, a pipeline in upstate New York that will serve markets in New York, Massachusetts, Connecticut, Rhode Island, Vermont and Maine. The company has withdrawn its current water permit application with NYSDEC and is preparing to follow up with additional filings to ensure that this critical infrastructure project obtains the regulatory approvals needed for construction and operation.
“There is increasing recognition that energy affordability directly impacts everyday affordability,” said Zamarin. “Natural gas is one of our nation’s lowest-cost resources, with U.S. natural gas produced at a cost equivalent to less than 50 cents per gallon of gasoline. Expanding natural gas infrastructure is vital to lowering costs and increasing economic opportunity, and the NESE and Constitution projects are important to connecting energy to opportunity in the Northeast.”
The NESE project is designed to meet market needs of New York, providing $1.8 billion in economic development, delivering gas to 2.3 million homes, and reducing CO2 emissions by over 13,000 tons per year; equivalent to removing 2,800 cars from the road each year. NESE also supports over 3,000 jobs and generates millions in gross state product (GSP) and state tax revenues for the state. During the construction phase of the project, the state of New Jersey will experience an increase in economic activity, including direct and indirect job creation and an increase in state and local tax revenue.
Constitution is designed to provide low-cost, low-emissions energy supply to the Northeast to support economic growth and energy affordability across the region. According to a new S&P Global study, Constitution would generate up to $11.6 Billion in total savings by lowering natural gas prices in the Northeast and support nearly 2,000 jobs annually over a 15-year period. The study also finds that energy savings from the pipeline could stimulate up to $4.4 billion in additional GSP across Connecticut, Massachusetts, New York, and Rhode Island and could generate $432 million in federal and state tax revenues.
The project has been hotly contested by some Congressional New York Democrats, with Rep. Alexandria Ocasio-Cortez, House Minority Leader Hakeem Jeffries and others urging Hochul to consider the environmental impacts of the pipeline on Oct. 15.
New York Gov. Kathy Hochul speaks during a press conference at her Manhattan office on February 20, 2025 in New York City. (Photo by Michael M. Santiago via Getty Images)
Hochul’s decision to finally approve the line came after President Trump bashed her over a delay on the permits.
“Governor Kathy Hochul of New York State is killing the entire region with Energy Prices that are OUT OF CONTROL, and expected to TRIPLE because she can’t get an Upstate and, separately, Long Island, PIPELINE built,” Trump wrote last week on Truth Social.