Cities will get nearly $200M in grants for pipeline upgrades

By AP News

Share:

Federal officials have announced the first $196 million of grants in a $1 billion program to repair and replace aging and sometimes leaking natural gas pipelines across the country

Pipeline Upgrade Grants

LAS CRUCES, N.M. (AP) — Federal officials announced the first $196 million of grants Wednesday in a $1 billion program to repair and replace aging and sometimes leaking natural gas pipelines across the country.

The Transportation Department and its Pipelines and Hazardous Materials Safety Administration announced that the city of Las Cruces, New Mexico, will get $10 million as the first grant recipient. Nineteen other communities will also get grants to help upgrade 270 miles (435 kilometer) of natural gas pipelines, although the government didn't identify all the recipients.

Another nearly $400 million of grants will be announced later this year.

The grants, announced by Transportation Secretary Pete Buttigieg, will be paid for with money from the infrastructure law President Joe Biden's administration is touting in a series of events across the country.

Several of the pipelines that will be repaired or replaced were installed decades ago, and some of them are leaking. Officials estimate that completing these repairs will help reduce methane emissions by roughly 212 metric tons a year.

Aging pipelines have been involved in fatal explosions and massive spills that have occurred over decades in California, Michigan, New Jersey and other states.

“Investments in pipeline safety are investments in community safety and our shared environment,” said PHMSA Deputy Administrator Tristan Brown.

Share:

Author: AP News

This article does not provide any financial advice and is not a recommendation to deal in any securities or product. Investments may fall in value and an investor may lose some or all of their investment. Past performance is not an indicator of future performance.

Originally published by Associated Press Valuethemarkets.com, Digitonic Ltd (and our owners, directors, officers, managers, employees, affiliates, agents and assigns) are not responsible for the content or accuracy of this article. The information included in this article is based solely on information provided by the company or companies mentioned above.

Sign up for Investing Intel Newsletter