Natural gas pipeline developer suspends planned N.E. route

BOSTON — Plans to build a $3.3 billion natural gas pipeline from New York into New England through western Massachusetts and southern New Hampshire have been suspended.

Houston- based Kinder Morgan Inc. announced Wednesday it has decided to stop work on the project. It cited a lack of contracts with gas distribution companies.

The company also said New England states haven’t established needed regulatory procedures to allow it to move forward and the process in each state for creating those procedures remains open-ended.

“There are currently neither sufficient volumes, nor a reasonable expectation of securing them, to proceed with the project as it is currently configured,” the company said in a press release.

The company said, given the market conditions, continuing to develop the pipeline is an unacceptable use of its shareholder funds.

“Innovations in production have resulted in a lowprice environment that, while good for consumers, has made it difficult for pro- ducers to make new long term commitments,” the company added.

U.S. Sen. Kelly Ayotte said she was pleased by the announcement, pointing to what the New Hampshire Republican called “the many unanswered questions and concerns raised by New Hampshire residents who would have been affected by this project.”

Those sentiments were shared by fellow U.S. Sen. Edward Markey.

The Massachusetts Democrat said he opposed the pipeline because if could have accelerated climate change and led to the export of American natural gas to foreign countries.

Peter Lorenz, a spokesman for Republican Massachusetts Gov. Charlie Baker said the announcement “highlights the pressing need to secure costeffective hydropower and other renewable energy resources to meet the growing demand for affordable energy in Massachusetts and New England.”

An aide to Democratic New Hampshire Gov. Maggie Hassan said shelving the project reinforces the need for the state to build a stronger, more affordable energy future.