Williams’ Northwest Pipeline gas transmission system has been operating near capacity in recent years. In the five years through 2024, the region’s interstate pipelines were utilized at an average rate of more than 95%. During a cold snap in January 2024, the system transported about 4.5 billion cubic feet of gas per day — roughly 16% above its designed capacity. At the same time, a large underground storage facility near Centralia was unavailable, and Williams asked some major customers to reduce their gas consumption.
The company attributes the need for expansion primarily to peak demand, rather than to a steady increase in gas consumption. Over the past decade, gas use by Washington power plants has risen by about 45%. Going forward, data centers, heat pumps and electric vehicles could further increase pressure on the power system. Even as clean energy expands, gas-fired plants will likely be used as backup during periods when wind and solar generation declines.
Energy consumption by data centers is growing particularly quickly in the Quincy area of eastern Washington. The city attracts these facilities with inexpensive and relatively clean hydropower from the Columbia River, affordable land, a dry climate conducive to cooling equipment, and proximity to transmission lines and fiber-optic networks. Because data centers operate continuously, their expansion could require the construction of new power plants, substations and transmission lines. When hydropower is scarce, the gas sector could absorb the additional load, increasing demand for pipeline capacity and making the region more dependent on natural gas prices.
Williams is considering four projects. The largest, Rockies Columbia Connector, would deliver more gas from the Rocky Mountains through Idaho to Washington and Oregon. The first phase, which would extend into Idaho, is scheduled to begin operating in 2030, although negotiations over continuing the project northward are still underway. The Valley Trail project could install about 137 miles of new pipeline in eastern Washington, including a separate branch approximately 63 miles long to Quincy. Previously announced deadlines for submitting an application and beginning operations are no longer considered current.
Two other projects have received federal approval. Huntingdon Connector would upgrade compressor stations to increase gas deliveries from the Canadian border along the Interstate 5 corridor; Williams expects to bring it online as early as this year. Kelso-Beaver would allow more gas to move between Northwest Pipeline and a storage facility in Oregon, with operations scheduled to begin in 2028. The company has not publicly disclosed exactly who will become customers of the new capacity. It identifies the power sector and data centers as major sources of demand: even if the centers do not use gas directly, their need for reliable electricity could encourage construction of backup gas-fired power plants.
Higher infrastructure spending could affect utility rates. If utilities pass the cost of new power plants, grids and pipelines on to all customers, electricity bills could rise. If large data centers pay for a significant share of the necessary facilities, most of the burden would fall on their own rates. Expanding gas infrastructure could also lead to disputes over emissions, water use, energy reliability and the fair distribution of costs.
Environmental organizations, including Columbia Riverkeeper, consider the projects risky and warn that they could prolong the region’s dependence on fossil fuels. In their view, peak demand could be reduced through energy efficiency and temporary limits on data-center consumption.
The main decision-maker for interstate gas pipelines is the Federal Energy Regulatory Commission, or FERC. It is an independent federal regulator that, under the Natural Gas Act, evaluates the need for projects, their effects on the environment and landowners, as well as safety and public-interest concerns. Washington authorities and local governments generally cannot independently ban an interstate pipeline because of federal regulatory primacy, but they retain authority over areas not delegated to the federal government. They may issue environmental and water permits, oversee air and water quality, and regulate land use and construction within their jurisdictions. In some cases, federal law limits local requirements if they effectively obstruct a project.
Because the long-term customers for the new capacity are not yet known, it remains unclear who will ultimately pay for construction. When contracts are signed, utilities may pass the costs on to consumers through their rates, although terms for large industrial customers may differ.
Based on: 4 WA gas pipeline expansions are proposed. Here’s where they stand