State OKs $2.75M settlement with NYSEG in 2022 Brewster gas leak and fire

Times Herald-Record

BREWSTER − The state Public Service Commission has accepted the terms of a $2.75 million settlement with New York State Electric and Gas to resolve alleged violations that led to a 2022 gas leak and related fire in Brewster.

The fire happened Feb. 2, 2022, at 2592 Carmel Ave. in Brewster in Putnam County.

Under the terms of the settlement agreement, NYSEG shareholders will credit gas customers $2.75 million in full satisfaction of all alleged violations related to its response to the Feb. 2, 2022, leak. The funds will be used for gas ratepayer benefits, at the discretion of the commission.

According to the commission, NYSEG's improperly installed PermaLock tapping tee led to an underground gas leak, which contributed to a residential fire and ultimately led to the complete destruction of a duplex residence on Carmel Avenue.

Brewster firefighters work at the scene of a 2-alarm fire that destroyed a home on Carmel Avenue in Brewster Feb. 2, 2022.

Tapping tees are mechanical devices used to connect gas distribution pipes.

After a gas leak was reported on Feb. 2, 2022, NYSEG employees who responded were the residents' "last best chance" of discovering and remediating the gas leak before a fire began, the commission said.

But an investigation by the PSC found that those NYSEG employees did not have the proper equipment to effectively respond to the leak, and they wasted valuable time searching for working equipment.

The commission also concluded that NYSEG's own policies and procedures were inadequate to ensure that field staff would have the necessary equipment while investigating leaks.

Multiple alleged violations were enumerated in a commission order to show cause.

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On Aug. 11, the commission ordered NYSEG to submit a remediation plan to investigate the installation of similar tapping tees and confirm their safe and intended operation, or repair and replace improperly installed devices, throughout its service territory. The plan NYSEG submitted was approved by the commission on Nov. 17.

Brewster firefighters, with help from several Putnam and northern Westchester departments battle as gas-fed fire that destroyed a two family home on Carmel Ave in the village of Brewster Feb. 2, 2022.

After that approval, NYSEG began sampling and investigation efforts, which are continuing at this time, the commission said.

"The commission holds public utilities responsible for the maintenance and safety of their gas facilities, and expects utilities to be ever ready for, and respond promptly and effectively to, incidents such as the Brewster event," Commission Chair Rory M. Christian said in a statement.

"NYSEG entered into a settlement with the Department of Public Service staff, and that settlement was accepted today by the Public Service Commission," a statement issued by NYSEG read. "NYSEG cooperated fully in the investigation and decided that entering into a settlement was the best course of action for all concerned. NYSEG is focused on continuing to provide safe and reliable gas service to our customers."

Mike Randall covers breaking news for the Times Herald-Record, Poughkeepsie Journal and The Journal News/lohud. Reach him at mrandall@th-record.com or on Twitter @mikerandall845