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Published On: 11/20/14

Pines, Sandpiper Accord On Natural Gas Still Up In Air

By: DispatchAdmin via Maryland Coast Dispatch

BERLIN – Much to the frustration of area residents, negotiations to bring natural gas to Ocean Pines continue between Sandpiper Energy and the Ocean Pines Association.

Ocean Pines officials can offer no information on when natural gas might be available to those who live in Ocean Pines.

“The board’s trying to do everything they can to protect everybody,” said Bob Thompson, the association’s general manager.

Thompson said that in its negotiations with Sandpiper, the board was taking into account the fact that not everyone in the community would want to convert from propane to natural gas.

Dave Stevens, president of the board of directors, said there were several issues that needed to be addressed before an agreement with Sandpiper could be reached.

“It’s our property that they’re talking about moving into,” he said. “They do need an agreement with us.”

In September, the board voted to extend the 20-year franchise agreement made in 1993 with Eastern Shore Gas, which was taken over by Sandpiper Energy, a subsidiary of Chesapeake Utilities, last year. The extension is for an indefinite amount of time so that negotiations regarding the community’s conversion from propane to natural gas can be completed.

“Sandpiper Energy is currently in discussions with the Ocean Pines Association regarding a renewal of the agreement regarding service to the community,” said Bill O’Brien, director of pricing and regulatory affairs for Chesapeake Utilities, in an email. “We hope to reach an agreement soon.”

Pines officials have stressed the need to establish a franchise agreement that ensures responsiveness to member issues, minimizes disruption to the community and offers residential energy options.

Several potential agreements have been considered, but a final draft has yet to be agreed on.

Stevens, who is on the committee of board members working with Sandpiper, said the board would soon receive an update.

“The response we got back from Sandpiper did not further the negotiations or move us any closer to an agreement,” he said Wednesday.

Nevertheless, he said Pines representatives would continue to work toward finalizing an agreement that would allow residents to take advantage of natural gas, long advertised as a more affordable alternative to propane, in the future.

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