Consumers Energy to Invest $440 Million to Upgrade Natural Gas System

Focusing on safety and reliability, Consumers Energy will spend nearly $440 million in 2017 to modernize its natural gas system.

“At Consumers Energy, the safe, reliable delivery of natural gas is a top priority,” said Charles Crews, vice president of gas operations for Consumers Energy. “We are committed to continually strengthening our natural gas system to benefit the 1.8 million homes and businesses we are proud to serve throughout Lower Michigan.”

The company’s 2017 projects fall into the following categories:

Infrastructure Enhancement and Replacement

$75 million will be spent to complete 40 improvement projects and replace 67 miles of pipe with plastic and steel across Michigan. These projects include:

• 11 projects in the Royal Oak area
• 6 projects in Lansing, Jackson and Adrian areas
• 6 projects in the Macomb area
• 4 projects in the Flint area
• 4 projects in the Saginaw, Midland and Alma areas
• 4 projects in the Plymouth, Auburn and Waterford areas
• 4 projects in the Kalamazoo area

In addition, Consumers Energy is working in conjunction with state, county and municipal projects to relocate or replace natural gas infrastructure, including replacing about 8,500 service lines leading to homes and businesses at a cost of roughly $60 million.

Growth 

With the economy expanding, Consumers Energy is investing $120 million in its natural gas system in 2017 to keep up with growth in Michigan, which includes:

• $35 million in expansions and improvements to serve a projected nearly 8,000 new business customers.
• $33 million to construct 190 miles of distribution main to serve customers in areas currently without natural gas service. More than 2,500 new residential customers will be reached through the energy company’s Customer Attachment Program.
• $27 million for the first two project phases to augment the delivery systems and increase natural gas supply to meet growth in the Caledonia and Lowell areas.
• $25 million to increase the capacity of regulation facilities where natural gas pressures are reduced and odorant is added for safety, including a city gate upgrade associated with the Caledonia–Lowell system upgrade.

Pipeline Integrity

Consumers Energy is investing $183 million in pipeline integrity this year to help ensure the continued safe delivery of natural gas. These initiatives include:

• $63 million to inspect and remediate about 600 miles of its transmission and distribution system with inline inspection and direct assessment.
• $120 million on the first phase of construction of the Saginaw Trail Pipeline, a five-year, $610 million project that will replace 78 miles of vintage transmission line to improve safety and increase natural gas transmission capacity into Saginaw, Genesee and Oakland counties.