Columbia Gas To Pay $56M Over Gas Explosions In MA

Columbia Gas To Pay $56M Over Gas Explosions In MA

Introduction

The Massachusetts Department of Public Utilities (DPU) has approved a $56 million settlement that Columbia Gas of Massachusetts and its parent, NiSource, had agreed in July to pay over a series of explosions and fires in the state in 2018. The settlement approval news was announced by the state Executive Office of Energy and Environmental Affairs. The horrific incident happened on September 13, 2018, when excessive pressure in natural gas lines owned by Columbia Gas caused a series of explosions and fires. It occurred in as many as 40 homes, with over 80 individual fires, in the Merrimack Valley, Massachusetts, towns of Lawrence, Andover, and North Andover. One person was killed, almost two dozen were injured, more than 100 buildings were damaged, and 30,000 were forced to evacuate their homes. The incident resulted in multiple class action lawsuits against the company for negligence and destruction of property. The $56 million settlement amount will aid debt relief to low-income natural gas customers and fund clean energy and energy efficiency measures in older homes and buildings. As a part of the settlement deal, Columbia Gas also requires to leave Massachusetts and transfer its assets to Eversource Energy. In separate actions, the company agreed to pay a $53 million federal fine, along with a $143 million settlement for the class-action lawsuits. DPU Chairman Matthew Nelson said, “Our approval of this settlement ensures that Columbia Gas is held accountable for the tragic gas incident in the Merrimack Valley, and provides needed support to the impacted communities and low-income residents.”