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State regulators kill Sacramento gas storage plan

9:46 PM, Jul 12, 2012   |    comments
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Gas pipes

SAN FRANCISCO - The California Public Utilities Commission has denied permission for a local company to store billions of cubic feet of natural gas under a south Sacramento neighborhood.

The 3-2 vote came late Thursday morning during a regular meeting of the CPUC and was greeted by cheers from the audience.

The majority opinion of the commission was that the risks of gas migration outweighed the benefits of providing a stable supply of natural gas to SMUD and other users.

Sacramento Natural Gas Storage LLC had been working on the plan for five years and had signed leases with 72 percent of the property owners living above the proposed gas storage field.

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by George Warren, GWarren@news10.net

News10/KXTV

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