Guilford Sues PSNH for access across Tracks

http://www.fosters.com/apps/pbcs.dll/ar ... 6/50427108

<i>Guilford has sued to prevent PSNH from using a rail crossing as part of its project to convert one of its coal-fired boilers at Schiller Station to one burning 400,000 tons of wood chips a year

Fink said PSNH is “seeking to construct a substantial structure over Guilford’s tracks that could threaten the ability of Guilford to serve its customers in this area.” He also said it has proposed an agreement to PSNH that will protect the property and compensate Guilford.

PSNH spokesman Martin Murray said PSNH had received Guilford’s proposal for how it could obtain the crossing. Guilford had wanted $1.5 million in compensation. “We were a bit flabbergasted with the amount of fee they were requesting and we had not decided how to respond to that,” he said. “We were actively involved in negotiations with Guilford on the crossing when Guilford filed its court action.”</i>

Me: 1.5 Million dollars for a lousy overhead conveyor. This is not about property rights. As usual it is all about money.

<i>PSNH is not the only utility company that has had issues with Guilford. Sprague Energy in 2004 won a lawsuit in state Supreme Court over its oil pipes which cross under Boston and Maine’s railroad tracks near its Avery Lane terminal in Newington. The two sides came to loggerheads and were unable to negotiate a new license.

In the Sprague case, they wanted a $2 million fee, according to court documents. Sprague has petitioned the Department of Transportation to work out the appropriate compensation.</i>

Me: $2,000,000 to go under the tracks? I'd hate to see how much Mellon charges neighborhood kids to ride in front of his house...

There has been an update to this story:

PSNH settles with Guilford Transportation in Portsmouth rail crossing case

From Foster's Daily Democrat http://www.fosters.com/apps/pbcs.dll/ar ... /106280095

PORTSMOUTH — Public Service of New Hampshire settled its dispute with Guilford Transportation over a rail crossing and can now proceed with its wood chip project.

PSNH had sought an easement from Guilford to be able to construct a conveyor over the railroad tracks that will help transport wood chips for its Northern Wood Power Project. The utility company is converting one of its coal-fired boilers at Schiller Station to one burning 400,000 tons of wood chips per year. Construction on the $70 million-plus project is expected to be completed by August 2006.

Rail officials had refused to grant PSNH the easement and had filed an injunction in Rockingham County Superior Court to prevent PSNH from proceeding with the conveyor system. PSNH officials said this system was necessary to move the wood to the boiler on the other side of the tracks. They appealed to the Public Utilities Commission to use eminent domain authority to grant the easement and determine an appropriate level of compensation.

In the past, PSNH had paid a small fee of about $200 for the use of the crossing, but Guilford had wanted to charge a new "wheelage rate" based on the quantity of cargo going over the crossing, which would have come to about $1.5 million a year.

Martin Murray, spokesman for PSNH, said Monday there had been a settlement in the case and the company was going to be withdrawing its paperwork it submitted to the Public Utilities Commission. He expected that Guilford would be withdrawing its litigation at Rockingham County Superior Court.

"The terms are not releasable. It's a private agreement between two parties. It will allow us to continue with the Northern Wood power project," Murray said.