Live reporting by
Natalie Frank
Advocates and officials raised sharp concerns about Peoples Gas affordability, emissions, and transparency, calling for better stakeholder engagement and risk modeling.

This meeting is a hearing to consider issues related to Illinois Commerce Commission ruling related to Peoples Gas pipeline replacement program.

The meeting was called to order at 10:15am. The meeting began with public comment. George Blakemore discussed changing the ventilation in buildings when trying to make empty buildings livable which is a toxic process.

Subject Hearing : Maria Bocanegra President of People's Gas. Chicago natural gas system oldest in country some dating back to 1800's. Some leak methane gas. Replaced over 1400 miles of pipelines. ICC has said much of pipe in Chicago has less than 10 years of functionality left.

Recommended an expediated timeline for safety. Under ICC new plan will replace 1100 miles of pipe by end of 2035. Re-examined approach to replacing pipe. Speed is focus. Focusing on short term and long term goals.

Pres. People's Gas: this year restarting paused projects. Investing in innovation. Hydrogen blending which emits no carbon when burned. Renewable natural gas plant from southside facility. Goals. Safety, Reliability, partnership sustainability

Shawn Gorge- Business manager, union for People's Gas. Natural gas great energy source when controlled. But when system compromised, gas is dangerous for workers, customers. Member have to work on more leaking pipe because ICC pausing replacement for over a year.

Effects on workers - Less jobs, Pull back on internal promotions for long term workers. Additional pay for overtime eliminated when ICC paused work. Drop in Moral for workers. Hours and pay checks reduced.

Arguments made for decreasing investment in system doesn't make sense. Replacing pipes can't wait. Shifting to electricity would result in huge increase in costs which many in city couldn't afford.

Mark Poulos - Jobs - reinstatement of programs increases opportunity for engineers and others. Will double replacement rate. Result in good union jobs for many skilled trades. Significant long term work.

Increased economic activity will result from expediated replacement program for pipes that have long outlived their functionality. Will focus on highest risk first rather than modernization efforts. Costs - ICC balanced decision for affordability by focus on hi risk pipes.

Less ongoing maintenance reducing costs that would be passed on the consumers. Serves best interests of Chicago.

Moskowitz: Discussed affordability. Few weeks ago $242M People's Gas Profit. But customers have to still pay high gas prices with likely hike in near future. Nearly 1 in 5 of customers behind at least 30 days.

Cost of staying warm in winter in large parts of city primarily in Black/Brown communities where more than half are in deep debt.

Customers now have to pay more to acquire and deliver fuel to home. Last month the highest of any April in past decade. Before 2023 gas replacement pipes was indiscriminate and without much planning.

City and state have ambitious clean energy goals which will decrease gas customers making it more expensive for those who still need it.

Future of Gas Report will be published next year. buildingdecarb.org/wp-content/upl…
buildingdecarb.org/wp-content/upl…

Alder Martin: Asked for map that specifies where 1100 miles of pipe to be replaced are.

Martin: ans Timing -Oversight, accountability committee will need to provide when hit peak replacement rate? Ans. 2 phases now to 2027 ramping up by replacing things what's been approved. Then evaluate what can be and should be replaced. ICC and safety monitor will dictate.

Ald Conway: Potential future rate hike requests and under what circumstance would you request? Ans. look into additional labor costs and is there enough revenue to execute replacement of all that pipe. Will discuss with ICC. Reply: Not a lot of specificity in answer.

Ald La Spata: Safety and reliability but also need to prioritize speed above all else. How do you balance those interests since contradict each other? Safety highest priority and need to balance with goals of progress. Can we focus on hi risk within time frame we have designated

However speed seems to be priority above all else. First focus on shelf ready projects which can be done quicker. But speed is a consideration and need to balance safety and reliability. Use JANA Model.


La Spata: blending model and become future model for low leak system, with the pipe are currently installing is it compatible with blended gas. Answer: Yes, have tested it in training facility.

Ald. Moore:: How many African Americans does Union 007 have? 80% is diverse. Are doing outreach to H.S. and trace classes to make sure work force still reaching young people? Ans. Union not a hiring home. People's gas has great program for that.

Ald Moore: Safety -From report Safety risk - to workers or pipe that you lay and what is financial and labor work force standpoint. Ans. Both ensuring safety or workers and residents and business near pipe replacement.

Ald Moore: What came out of report about safety? Ans. use a safety monitor ICC will select to oversee program by July 1 this yr. Don't know why ICC thought safety monitor necessary.

Ald Moore: from labor side are they having issues. Concerned about current system Ans. believe shouldn't have been a pause and that caused the pipe to worsen and puts workers at increased risk.

Ald Sicho-Lopez: We need to learn from histroy. Flashbacks to leadline replacement program which came to halt over something negotiable -whether or not to go around tree. Lots of finger pointing in report. Came same conclusion, get back to work, But now have to do 100% faster.

Sicho-Lopez: From 49 miles to 110m miles a day but probably morel like 135 miles a day. ICC talks about rate increases, no problem adding huge increase to businesses in 2024 without any study done. Impact of this project and what's doing to our struggling businesses.

Sicho-Lopez: Always comes back to insufficient data. Cost estimates not consistent, rely on cost estimates don't turn out to be accurate. Estimates inefficient, undefinable. Can be swift while being safe. Need to invest in our neighborhoods even without Springfield's support

Sicho-Lopez: Need simplified permitting process for this project. Have a single permit for a year so don't have to waste time getting individual permits time after time. Will decrease costs and increase speed.

Asked company how much time is spent on permits? Anywhere from 45 days to 6-8 months, then have to get permits. Has happened that time has expired before able to complete permit project and start over again.

CORRECTION: Previous posts were Ald. Lopez not Ald. Sicho-Lopez

Ald. Riley: Local consumers looking at monthly gas bills see gas rates soaring. Likely another rate hike is coming. Of grave concern. Disproportionate impact on consumers of color and low income.

Most questions in this session revolved around potential gas price hikes, effects of almost two year pause in work, safety of work replacing pipeline in light of needing to accomplish it 100% quicker due to pause. More discussion and meetings will occur.

Meeting adjourned at 12:31 pm. This concludes coverage of the Chicago Committee on Environmental Protection and Energy. The next meeting is scheduled for June 2, 2025 at 10:00. For more meeting coverage, check out . documenters.org
documenters.org