State increases UGI fine for deadly 2011 explosion

By Stacy Wescoe
  January 25. 2013 9:00AM - Last modified: January 25. 2013 9:28AM

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The Pennsylvania Public Utility Commission (PUC) has modified a settlement reached as part of an investigation of a 2011 explosion that killed five people in Allentown. The modification increases the civil penalty to $500,000.


The Commission voted 5-0 to – among other things – bump up the civil penalty from $386,000 to the maximum allowed by law at the time of the explosion.

Civil penalties cannot be recovered from ratepayers and are paid to the state's general fund.

"We want to emphasize that UGI's compliance history related to gas safety issues is patently unacceptable," said Chairman Robert F. Powelson and Vice Chairman John F. Coleman, Jr. in their joint motion.

"This is the eighth time in slightly more than four years that this Commission has adjudicated a matter containing allegations of gas safety violations by a UGI-owned gas distribution utility. This goes beyond cause for concern; it is downright alarming."

In addition, the joint motion also required UGI to file with the Commission for comment and approval a pilot program designed to test enhanced leak detection measures in Allentown; file an updated distribution system integrity management program plan; and file a plan establishing an initial schedule for meeting the main replacement requirements outlined in the settlement.

In a statement, UGI acknowledged that it was aware of the vote and that it is reviewing the language of the order.

Details of the order can be found at www.puc.pa.gov.


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