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UMaine system continues move from oil to gas

Published on NewsOK Modified: January 27, 2014 at 5:15 pm •  Published: January 27, 2014
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BANGOR, Maine (AP) — University of Maine System trustees continued the shift from heating oil to other energy sources Monday, voting to allow the Farmington campus to enter into an agreement to convert to natural gas. Four other campuses already use gas delivered either by pipelines or by trucks.

The deal with natural gas supplier Summit Energy and heating company Trane Inc. allows the 4,000-student school to repay over 10 years the cost of converting to natural gas — $2 million to $4 million — without having to pay cash up front, said Kathryn Foster, president of the campus.

The improved energy efficiency achieved through the project will reduce pollution by the equivalent of removing 200 cars from the road, university officials said.

The deal's approval follows spikes in demand for natural gas with cold weather causing temporary shortages that forced some Maine mills to limit production. But university officials believe that there will be greater supply of natural gas in Maine by the time the transformation is complete.

"All energy spikes. It's a supply-and-demand game. Energy markets are volatile," Foster said. "The assumption is that over time, that natural gas will become cheaper."

The natural gas will eventually provide energy for about two-thirds of the Farmington campus; the remainder is already being heated through a geothermal system, Foster said.

But first, Summit Energy must expand its pipeline from Jay to Farmington, and Trane will have to convert boilers that burn 380,000 gallons of heating oil a year.

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