Firm gets eminent domain powers

The Atlanta Journal-Constitution

Saturday, March 21, 2009

The state has provided an Alpharetta-based company with the power of eminent domain to expand its petroleum pipeline.

Colonial Pipeline was issued the first permit by the state Environmental Protection Division under a 1995 law regulating petroleum pipelines. The permit allows Colonial to add a third pipeline that will run from Jackson, La., to Austell.

The company’s existing two pipelines connecting Georgia to Gulf Coast refineries provide 70 percent of the state’s gasoline, diesel, jet fuel and other petroleum products.

Colonial now needs to purchase 25-foot easements from about 500 landowners in Cobb, Paulding, Carroll and Haralson counties to build the Georgia portion of the 460-mile pipeline expansion. Most of the 44-mile expansion in Georgia is expected to run alongside existing pipelines.

Last month, however, Colonial announced it had indefinitely postponed its plans for the $3 billion project because demand for gasoline and other petroleum products is down.

The EPD permit gives Colonial two years to begin purchasing easements from approximately 500 landowners in Georgia. The EPD director could extend the permit for another two years.

Colonial spokesman Sam Whitehead said Friday the company hopes to restart the project in a year to 18 months.



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