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PSE ends plans to modify fueling dock at controversial LNG plant on Tacoma’s Tideflats

The City of Tacoma has announced that plans to modify the TOTE fueling dock at Puget Sound Energy’s liquefied natural gas site in the Tideflats were no longer in the works.

The city, in a Friday afternoon news release, stated that Puget Sound Energy had requested to withdraw its shoreline permit revision and cancel the associated building permit “for modifications to the TOTE fueling dock.”

It added that the city “has no pending development permits for the PSE LNG site at this time. Work that was authorized under the original shoreline permit must be completed by May 2024.”

Gerald Tracy, a PSE representative, told The News Tribune in response to questions Friday, “We decided not to go forward with work under the Shorelines permit we received from the city late last year at this time.”

Tracy added, “The LNG plant is a crucial tool for providing heat to our customers, particularly in weather like we are having this week, and to decarbonizing marine transportation. We expect to continue to look for ways to use the facility to meet those needs.”

Tacoma’s LNG plant has been in operation since February 2022, following a state board ruling in November 2021 affirming the decisions behind its development, though with additional air monitoring. That came after years of bitter battle between supporters and opponents of the project.

The city’s online FAQ on the shoreline permitting was updated Friday to reflect the latest action. The city said that the permit-modification decision would have allowed PSE “to add fueling equipment on the Blair Waterway Dock to load fuel barges.”

Citing questions raised about the legality of such modification, the city noted that a Shoreline Hearings Board 2016 decision did “not impact the Blair Waterway. While it restricted fueling and bunker barge loading in the Hylebos Waterway, it explicitly acknowledged an existing agreement with PSE and made no mention of the Blair Waterway.”

PSE’s application to modify its shoreline permit was made in the fall of 2022.

“The City suspended permit processing from November 2022 through summer of 2023 in response to a request from the Puyallup Tribe. During that time period, the City met with the Puyallup Tribe at both the staff and the elected official level to discuss this issue,” the city stated on its FAQ page.

At the end of 2022, state regulators approved rate increases for the utility’s electric and natural gas customers following approval of three settlements, including Tacoma’s LNG, over a multi-year rate plan as required by the state.

PSE provides electrical service to customers in Island, King, Kitsap, Kittitas, Pierce, Skagit, Thurston and Whatcom counties. PSE also provides natural gas service to customers in King, Kittitas, Lewis, Pierce, Snohomish and Thurston counties.

The News Tribune archives contributed to this report.

Debbie Cockrell
The News Tribune
Debbie Cockrell has been with The News Tribune since 2009. She reports on business and development, local and regional issues. 
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