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The Boston Globe

Business

Utilities seek boost in region’s natural gas

Pipeline capacity jump could lower power costs

The state’s two largest utilities have signed preliminary agreements to transport additional supplies of natural gas on the principal interstate pipeline serving Boston, a crucial step in expanding a constrained gas delivery system and lowering energy costs in New England.

The agreements with Northeast Utilities and National Grid allow Spectra Energy Corp. of Houston to seek federal approval to expand the Algonquin Gas Transmission pipeline in order to move abundant natural gas supplies from Pennsylvania and across the country. Meanwhile, another Houston firm, Kinder Morgan, is planning to add to another pipeline system that serves New England to bring even more natural gas here, where demand is growing.

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