Addison Rutland Natural Gas Project


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Project Overview

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Addison Natural Gas Project:

Historically low natural gas prices and a growing desire for cleaner energy have fueled a significant demand for natural gas service beyond Chittenden and Franklin Counties in Vermont.

Vermont Gas has responded to this demand by developing a pipeline project to bring natural gas service to the western side of Vermont, between Rutland County and the Canadian border, where about 50% of the state’s population resides.

The Addison Natural Gas Project will:

  • Help homeowners and businesses in Addison and Rutland Counties cut their heating costs by about 50% and reduce their greenhouse gas emissions by about 23%.
  • Provide a safer and cleaner heating choice to more Vermonters.
  • Cut energy bills for local businesses and help keep and create more good jobs.
  • Generate millions of dollars in revenue for local communities that will help pay for schools and other municipal services.
  • Result in energy bill reductions in excess of $500 million over 20 years.
  • Reduce greenhouse gas emissions by more than 1.8 million tons over 20 years.


The Addison Rutland Natural Gas Project is being proposed in multiple phases:

Phase 1

Phase 1 will extend the Vermont Gas transmission network south to Middlebury, and will bring natural gas service to the following communities:

  • Monkton
  • Vergennes
  • New Haven
  • Bristol
  • East Middlebury
  • Middlebury

Vermont Gas received regulatory approval for Phase I in December 2013, and intends to provide service according to the following timelines:

  • Agri-Mark/Cabot Creamery Dairy Cooperative and other customers within the Middlebury Industrial Park in late 2014.
  • Middlebury and Vergennes areas in 2015.
  • Bristol, New Haven and Monkton in 2016.
  • East Middlebury in 2017.
  • St. George in 2017.

Phase 2

Phase 2 will bring natural gas service to Cornwall, Shoreham, and IP’s Ticonderoga Mill in New York.

Phase 2 will bring the following benefits to Vermont:

  • Enable service to Rutland 15 years sooner and with significantly less rate impact by recovering $45 million in capital from IP (roughly 1/3 of the capital costs to get to Rutland) that would otherwise be borne by Vermonters.
  • Reduce the region’s greenhouse gas emissions by over 1,000,000 tons during the first 20 years.
  • Provide increased school and municipal taxes of approximately $23.3 million during the first 25 years of pipeline operation.
  • Enhance the security of 85 jobs and $4.2 million in wages existing in Vermont, due to the operation of the Ticonderoga Mill.

In November 2013 Vermont Gas began the regulatory review process with the Vermont Public Service Board for Phase 2. The Company will also be filing for approvals with the Federal Energy Regulatory Commission and the New York State Public Service Commission in early 2014.

Phase 3

Phase 3 will bring natural gas service to communities between Middlebury and Rutland. Vermont Gas is in the process of route planning for Phase 3. This process takes several important variables into account, including community input, environmental impact and costs.

About Vermont Gas

The 120 Vermonters who make up Vermont Gas currently serve almost 50,000 customers in Franklin and Chittenden counties, where they have delivered the economic and environmental benefits of natural gas to Vermonters for nearly 50 years.
The company’s long heritage for safe and reliable operations includes its award-winning energy-efficiency programs, which reduce energy use while saving current customers $13 million annually for homes and businesses.

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