INTEGRATED CAPACITY AND DELIVERY PLAN 2022-2031 Docket No. 43820 April 28, 2021 AGL INTEGRATED CAPACITY AND DELIVERY PLAN 2022-2031, DOCKET NO. 43820, 04/28/2021 ATLANTA GAS LIGHT INTEGRATED CAPACITY AND DELIVERY PLAN 2022-2031 DOCKET NO. 43820 Applicant name, address, and principal place of business: Atlanta Gas Light Company Ten Peachtree Place Atlanta, Georgia 30309 Authorized person to receive notices or communications with respect to application: Billy Horne Elizabeth Wade Director, Regulatory Affairs Chief Counsel, Regulatory Affairs Atlanta Gas Light Company Atlanta Gas Light Company 10 Peachtree Pl NE 10 Peachtree Pl NE Atlanta, GA 30309 Atlanta, GA 30309 [email protected] [email protected] Mark D. Caudill Robert S. Highsmith Jr. Attorney for Atlanta Gas Light Company Lindsey S. Williamson 3290 Commons Gate Bend Attorney for Atlanta Gas Light Company Berkeley Lake, GA 30092-4946 Holland & Knight LLP [email protected] 1180 West Peachtree St., N.W., Suite 1800 Atlanta, GA 30309 [email protected] [email protected] Location for public inspection: Atlanta Gas Light Company Ten Peachtree Place Atlanta, Georgia 30309 www.atlantagaslightcompany.com A copy is also available on file at the Georgia Public Service Commission: Georgia Public Service Commission 244 Washington Street S.W. Atlanta, Georgia 30334-5701 www.psc.ga.gov AGL INTEGRATED CAPACITY AND DELIVERY PLAN 2022-2031, DOCKET NO. 43820, 04/28/2021 2022 INTEGRATED CAPACITY AND DELIVERY PLAN TABLE OF CONTENTS CHAPTER 1. EXECUTIVE SUMMARY ...................................................................... 1 Description and Purpose of AGL’s Integrated Capacity and Delivery Plan ........................ 1 Summary and Benefits of AGL’s Integrated Capacity and Delivery Plan ........................... 2 Key Drivers, Significant Events, Government Decisions and Market Conditions ............... 4 Comparison to Other Long-Term Planning Processes ....................................................... 7 System Reinforcement Rider (“SRR”) ................................................................................ 7 Request for Approval .......................................................................................................... 8 CHAPTER 2. COMPANY AND NATURAL GAS SYSTEM OVERVIEW ................... 10 Company Information ....................................................................................................... 10 Natural Gas System ......................................................................................................... 10 CHAPTER 3. NATURAL GAS DEMAND AND FORECAST ..................................... 14 Overview .......................................................................................................................... 14 Forecast Assumptions and Methods ................................................................................ 15 CHAPTER 4. CAPACITY SUPPLY PLAN ................................................................. 17 i-CDP’s Influence on and Possible Effects to AGL’s CSP ................................................ 17 Summary .......................................................................................................................... 18 Liquefied Natural Gas (“LNG”) Expansion ........................................................................ 19 CHAPTER 5. INFRASTRUCTURE DELIVERY PLAN .............................................. 27 Key Challenges, Programs, and Long-Term System Needs ............................................ 27 Summary of Proposed Projects and Action Plans ............................................................ 30 Proposed Three-Year Budget .......................................................................................... 34 Proposed Ten-Year Budget .............................................................................................. 34 Overview of Planning and Project Selection Process ....................................................... 37 Peaking Projects – Existing LNG Facilities ....................................................................... 41 Peaking Projects – Cherokee LNG Expansion ................................................................. 43 Strategic Delivery Projects ............................................................................................... 45 New Business ................................................................................................................... 47 i AGL INTEGRATED CAPACITY AND DELIVERY PLAN 2022-2031, DOCKET NO. 43820, 04/28/2021 System Reinforcement ................................................................................................... 48 Distribution Integrity Management Program (DIMP) ....................................................... 50 Gas Operations .............................................................................................................. 54 DOT Driven Facility Relocations..................................................................................... 55 Pressure Improvements ................................................................................................. 58 Renewals ........................................................................................................................ 60 Regulator Stations .......................................................................................................... 63 Removals and Inactive Services .................................................................................... 67 Maximum Allowable Operating Pressure ....................................................................... 69 Transmission Integrity Management Program (TIMP) .................................................... 71 Other (PT Meters, Operations, Tools, Other Support) .................................................... 72 Corrosion Control, Shorted Casings, and AC Mitigation ................................................ 75 Facilities ......................................................................................................................... 77 Fleet ............................................................................................................................... 79 IT .................................................................................................................................... 80 Overheads and AFUDC ................................................................................................. 81 Incremental Operation & Maintenance (O&M) Expenses Directly Related to New Capital Projects ................................................................................................................................... 82 CHAPTER 6. BEST PRACTICES PROGRAMS ....................................................... 84 Introduction ....................................................................................................................... 84 Celcon Caps ..................................................................................................................... 84 Cross-bores ...................................................................................................................... 85 Reducing Third Party Excavation Damages ..................................................................... 86 Improving Data Quality and Accessibility ......................................................................... 88 Expanding Quality Assurance .......................................................................................... 89 Applying PSMS ................................................................................................................ 90 Future Best Practices ....................................................................................................... 91 Conclusion on Best Practices ........................................................................................... 92 CHAPTER 7. CUSTOMER RETENTION AND GROWTH PROGRAMS .................. 93 CHAPTER 8. ENVIRONMENTALLY-FOCUSED INITIATIVES ................................. 98 CHAPTER 9. CONCLUSION & ACTION PLAN ...................................................... 103 ATTACHMENT A. SRR TARIFF SHEET .................................................................... 104 ii AGL INTEGRATED CAPACITY AND DELIVERY PLAN 2022-2031, DOCKET NO. 43820, 04/28/2021 ATTACHMENT B. PROJECTED DESIGN DAY LOAD REQUIREMENT .................... 105 ATTACHMENT C. ARRAY OF INTERSTATE ASSETS .............................................. 106 ATTACHMENT D. RANGE OF REQUIREMENTS ...................................................... 107 ATTACHMENT E. RNG STUDY ................................................................................. 108 iii AGL INTEGRATED CAPACITY AND DELIVERY PLAN 2022-2031, DOCKET NO. 43820, 04/28/2021 List of Figures: Figure 1: Mileage of Aging Pipelines ........................................................................................... 5 Figure 2: Natural Gas Delivery System ...................................................................................... 12 Figure 3: Annual Average Prices ................................................................................................ 13 Figure 4: Load versus Available Capacity 2022-2023 Winter ..................................................... 24 Figure 5: Load versus Available Capacity 2024-2025 Winter ..................................................... 25 Figure 6: Load versus Available Capacity