US Energy Department to provide up to $42 mln for pipeline to New York State — The Hill

In the United States, the Department of Energy announced its intention to provide up to $42 million under the Defense Production Act for the Constitution Pipeline project. The pipeline is intended to transport natural gas from Pennsylvania to New York State, The Hill reports.

Funding for preparations

The administration of President Donald Trump said the funds would be directed toward pre-construction work and permitting procedures needed to advance the project. Once permits are obtained, the funding may also be used to deploy gas infrastructure.

Energy Secretary Chris Wright said that President Trump had promised to lower energy costs and build the Constitution Pipeline. According to him, the project is expected to affect the economic opportunities of residents of New York and New England.

Project history and the state's response

The pipeline project was shelved in 2020 after New York State officials did not grant a key approval. Williams Companies renewed its interest in pursuing it last year amid apparent support from the Trump administration.

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Last year, the Trump administration also said it would allow an offshore wind project to continue after comments by New York Governor Kathy Hochul about readiness to move forward on critically important pipeline capacity. At the time, Hochul's office denied the existence of any agreement regarding pipelines.

Kenneth Lovett, Hochul's senior adviser for energy and environmental communications, called the current announcement a political maneuver. He also said that the governor is focused on an energy strategy that provides for the use of various energy sources to ensure stable supply and reduce costs for state residents.

The Defense Production Act was adopted during the Korean War to help the government stimulate industries needed for defense purposes.