PUC approves nearly $1M penalty against Columbia Gas for 2019 house explosion - Insurance News | InsuranceNewsNet

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August 5, 2023 Newswires
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PUC approves nearly $1M penalty against Columbia Gas for 2019 house explosion

Observer-Reporter (Washington, PA)

A nearly $1 million settlement between Columbia Gas and the state Public Utility Commission was approved this week more than four years after a North Franklin Township house exploded when natural gas filled the residence.

The PUC's five-person board voted unanimously during its regular agenda meeting Thursday to accept the revised settlement negotiated between the natural gas provider and the commission's investigative division.

The $990,000 civil penalty against Columbia Gas includes several stipulations and "corrective actions" in an attempt to prevent a similar explosion that destroyed a house near Trinity High School and injured several people in July 2019. The PUC rejected a similar settlement in December, forcing a revised version of the agreement to be negotiated with more stipulations.

"This revised joint settlement reinforces our focus on operational excellence and commitment to system maintenance and modernization," Columbia spokesman Lee Gierczynski said in a written statement. "We are confident that the enhanced procedures, training, and safety practices we have implemented will enable us to continue to maintain the safe operation of our system for our customers in North Franklin Township and across our Pennsylvania service territory."

The explosion happened July 31, 2019, following the Dewey Avenue Replacement Project when crews failed to include an over-pressurization valve on pipelines leading to the house at 100 Park Lane after Columbia Gas did not include the property on its construction map. That caused the house to fill with natural gas and explode, injuring five people, including the homeowner and three North Franklin volunteer firefighters as they evacuated the area. The Park Lane house was reduced to rubble, while numerous other nearby properties sustained damage.

Columbia Gas took responsibility for the explosion a day after the incident.

The homeowner, Deborah Braden, sued Columbia Gas in federal court asking for $400,000 in damages. She and her homeowner's insurance company, State Farm, settled out of court with Columbia Gas for an undisclosed amount of money in April 2021, according to federal court documents. Braden built a new house on the same property in 2021.

The approved settlement requires Columbia Gas to make substantial changes in future pipeline projects, along with various directives in order to correct issues to prevent similar incidents from occurring. It also asks for an estimated timeline for completion of each of the action items and for an accounting of the financial damages caused by the explosion.

"We thank the community of North Franklin Township for its patience and understanding throughout this process, and we will continue to work to earn the trust and confidence of our customers there by delivering on our mission to provide safe and reliable energy solutions to meet their needs," Gierczynski said.

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