
by James A. Bacon
When the Mountain Valley Pipeline was proposed in 2018, the estimated cost was $3.5 billion. When completed in June, the final cost was reported in a Federal Energy Regulatory Commission filing to be $9.6 billion — nearly three times as much.
A fraction of that increase can be attributed to inflation over the eight years the 303-mile natural gas pipeline was bitterly contested and bogged down by lawsuits and regulatory appeals. Management failures undoubtedly contributed — a portion of pipe near Roanoke burst under a pressure test, suggesting manufacturing flaws — and WV Broadcasting cites weather and labor issues.
But three times the cost? The sad reality is that it has become nearly impossible to build any large infrastructure project in the United States. Remember the Atlantic Coast Pipeline? Dominion Energy just gave up and took $1 billion+ in write-offs.
Now PJM, the regional electric transmission organization of which Virginia is a part, says someone needs to build a 765kw transmission line across Loudoun County to upgrade the electric grid in anticipation of unprecedented demand growth.
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