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Dominion East Ohio to Acquire Certain Assets of Constitution Gas Transport Co
July 19, 2011
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Dominion East Ohio has entered into an agreement to acquire certain gas distribution assets from Constitution Gas Transport Co., Inc., in Washington County, Ohio.
However, the transaction will only result in the addition of two industrial customers to the Dominion East Ohio system, as the assets to serve the 206 residential customers at Constitution are being sold to Knox Energy Cooperative Association, Inc., which is not regulated by PUCO.
Specifically, Constitution will assign to Dominion East Ohio the Gas Transportation Agreements between Constitution and Asphalt Materials, Inc. and Kraton Polymers LLC.
In a joint application, the utilities said that the two industrial customers currently receiving transportation service from Constitution through the Gas Transportation Agreements will continue to receive adequate service from Dominion East Ohio under the same terms and conditions under which they are currently served by Constitution. Although Dominion East Ohio is not permitted to accept an assignment of the gas supply agreement between Constitution and one of the industrial customers, Dominion East Ohio is collaborating with the customer to arrange for an alternative gas supply under terms acceptable to the customer.
The Constitution system is rural and largely relies on connections to pipelines used to gather and transport locally produced natural gas.
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