The Public Utilities Commission of Ohio on July 1 approved a settlement agreement between Dominion Energy Inc. subsidiary The East Ohio Gas Co. and the regulator's staff for a natural gas pipeline leak in November 2019, requiring the utility to pay a $1 million civil forfeiture to the state.

The commission determined that the pipeline incident, which occurred in Pepper Pike in Cuyahoga County, Ohio, was due to the Dominion Energy subsidiary's "failure to follow established procedures, poor construction practices and lack of oversight," according to a news release.

The settlement deal also required The East Ohio Gas, which does business as Dominion Energy Ohio, to create an action plan to enhance its gas safety program. A third-party consulting firm will then examine the plan and provide a root cause analysis within 90 days, which will be used by the commission and the gas utility to create an implementation plan. A third-party consultant will observe Dominion Energy Ohio's compliance with the implementation plan.

If Dominion Energy Ohio fails to meet the terms of the settlement agreement or the implementation plan, the PUCO can levy an additional $500,000 on the gas utility.

According to the PUCO's investigative report, the accident occurred when a recently installed, 30-inch steel distribution main failed and released natural gas, which then ignited. The commission staff said a girth weld failure led to the rupture in the pipeline section, which was operating at approximately 193 pounds per square inch and has been in service for about two weeks.

Dominion Energy Ohio is a Cleveland-based natural gas distribution company serving approximately 1.2 million residential and commercial customers. Dominion Energy provides electricity and natural gas to more than 7 million customers in 20 states.