Gas Utility With Choice Program Notes Potential For Creation Of "New Services" For Customers Seeking Sustainable Energy, In Seeking Pilot Interconnection Program For Renewable Natural Gas
October 1, 2020 Email This Story Copyright 2010-20 EnergyChoiceMatters.com
Reporting by Paul Ring • email@example.com
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Northern Illinois Gas Company d/b/a Nicor Gas Company (the Company) has filed at the Illinois Commerce Commission for approval of a Renewable Gas Interconnection (RGI) Pilot, which would be a new tariffed
interconnection service that will allow renewable natural gas (RNG) producers located in the Company’s service
territory to interconnect with Nicor Gas facilities in order to sell the physical pipeline-quality gas from RNG facilities to third parties, for subsequent resale to Nicor Gas customers.
The pilot would include an "interconnection allowance" to RNG Production Facilities of up to $4 million per facility
Under the pilot, the RNG Producer would manage the RNG produced, and will sell the physical pipeline-quality gas from RNG facilities to third parties, for subsequent resale to Nicor
Notably, under the RGI Pilot and commensurate with the Nicor Gas’ capital investment, the
Company will negotiate a set number of environmental attributes to be assigned to Nicor
470 Gas on an annual basis. This is necessary to participate in the Pilot. The environmental
471 attributes will be negotiated on a per-project basis and a schedule to receive those
472 environmental attributes will be included in the Renewable Gas Service Agreement.
Nicor Gas customers will benefit under this approach as the Company will use the
environmental attributes associated with this program to offset GHG emissions associated
with natural gas. "As a result, the environmental attributes Nicor Gas obtains through the
RGI Pilot represents the reduction of GHGs otherwise emitted into the atmosphere,
providing an environmental benefit to customers," a witness for Nicor said
A witness for Nicor was further asked, "Do you envision the creation of new services for customers that seek more sustainable energy?"
The Nicor witness replied that, "The potential exists for the creation of new services."
"As part of Nicor Gas’ commitment
to deliver customers clean, safe, reliable, and affordable energy and to offer flexible
options, Nicor Gas will seek to understand customers’ interest in receiving RNG as part
of their gas supply," Nicor said