Harpswell to decide on gas depot today Plan $350M site has divided community

HARPSWELL – A proposal to build a $350 million liquefied natural gas terminal, which has divided residents of this coastal town, faces a crucial referendum vote today.

Voters in the town of 5,200 residents will decide whether to accept a lease agreement for the Fairwinds facility at a former Navy fuel depot along a peninsula that jabs like a long lobster claw toward Casco Bay.

The debate pits economic development interests against worries that the coastal community would lose its rural, small-town character.

Under the proposed lease agreement between developers and local selectmen, the Fairwinds terminal and pipeline would occupy about 70 acres at the site along Middle Bay for 50 years.

In exchange, Harpswell would receive more than $8 million a year in lease fees and property taxes.

Voter interest has been high. As of Friday, more than 2,000 absentee ballots had been distributed, said Town Clerk Rosalind Knight. Selectmen said about 1,600 ballots – a third of the 4,700 registered voters – have been cast.

LNG, which is created by cooling natural gas to minus 259 degrees, would be brought on special tankers to Harpswell, where it would be warmed and then transported via an existing pipeline west of Portland.

Fairwinds, a venture of energy giants TransCanada and ConocoPhillips, would employ 900 workers during its three-year construction phase. Once the terminal opened in 2009, the facility would have about 50 full-time employees.

LNG ships would arrive every four to nine days and would unload at a new dock and jetty that would extend 800 feet into the bay.

The liquefied gas would be stored on land in two containment tanks measuring 240 feet in diameter and 120 feet tall.

The proposal has drawn vehement opposition from local fishermen, who fear the project’s impact on lobstermen, scallopers and other harvesters who have worked waters near the former depot for decades. They say the pipeline work will destroy their gear and stir up sediment that will harm lobster and fishing grounds.

Opponents are also concerned about Homeland Security restrictions that bar fishing boats from the tanker route, the LNG facility’s potential to become a terrorist target and questions of whether the town Fire Department could respond effectively to a fire at the terminal.

Developers have promised to create a fund to reimburse fishermen for loss of gear or vessel damages caused by tankers entering and leaving Harpswell waters. Developers also have agreed to restrict LNG ship traffic during the warmer months.

Supporters point to an analysis that shows Harpswell could gain more than $380 million in revenues over the life of the lease.

On Monday, Gov. John Baldacci stood next to Maine’s top organized labor and business leaders as he endorsed the project.

“I fully recognize and respect that tomorrow’s vote is a local vote,” said Baldacci, who was flanked by Maine AFL-CIO President Edward Gorham and Maine State Chamber of Commerce President Dana Connors. “I urge Harpswell voters to consider the significant economic benefits for the entire state.”

The Maine Building and Trades Council, recognizing the impact on jobs, has also endorsed the project.

Harpswell voters will not have the final word on the project, which also faces review by the Federal Energy Regulatory Commission. Seven other LNG projects are in the works along the East Coast.

Maine officials announced last fall that an unidentified company was considering building an LNG project on Sears Island in Penobscot Bay, but Maine could only land one of the plants.