A new study from S&P Global finds that the proposed Constitution natural gas pipeline, slated to run between Pennsylvania and New York, could result in billions of dollars of energy savings for residents of the Northeast and generate billions of dollars in business revenue for southern New England states, including Connecticut. The study’s findings contradict statements made by a number of environmental and energy industry figures who have said the pipeline would not result in long-term reductions in energy prices and would not increase the amount of natural gas in the region.
According to the S&P Global study, the proposed 125-mile pipeline could generate up to $11.6 billion in consumer savings “from reduced gas and power prices during market dislocations caused by outages and extreme winter price spike” across the first 15 years after it goes online. That savings includes $8.5 billion in net savings after assumed cost of service. The savings are also calculated based on increased access to the natural gas supply.
In addition, S&P Global estimates the pipeline will support an average of 2,000 jobs, have a $4.4 billion impact on gross state product in the Northeast, and generate up to $432 million in federal and state tax revenue. The study also estimates that the pipeline would generate $8.5 billion in revenue for businesses in Connecticut, Rhode Island, Massachusetts, and New York during its first 15 years of operation.
The study notes that construction of natural gas pipelines in the Northeast falls well behind construction in other regions. In 2025, just three percent of the total miles of gas pipelines constructed in the country were built in the Northeast. At no point since 2018, when 28 percent of all gas pipeline construction was in the Northeast, has construction in the region risen above 23 percent.
Demand for natural gas has expanded in recent years. Demand in the Northeast outpaces other regions of the country, particularly during the winter, when peak demand is twice what it is in the summer.
According to the study, there is a bottleneck in existing natural gas pipelines, which results in most gas being used before it reaches a regional waypoint in Wright, New York. “As a result, Wright rarely operates at full utilization,” the study states, which leads to a shortfall in supply on peak days and spikes prices, particularly during winter storms. Over the past 15 years, the study finds, peak winter gas prices in the Northeast have been at least two and a half times the national average.
But the study anticipates that the pipeline, which would connect to the existing Tennessee and Iroquois pipelines, would alleviate the bottleneck by increasing delivery capacity of lower cost natural gas into the Northeast market. The study states the pipeline “is expected to achieve a higher utilization than other regional assets, due to its direct access to supply and ability to reduce costs in Northeast gas & power markets.” It is forecast to be used at 85 to 90 percent of capacity during peak consumption times, outpacing other existing pipelines.
On average, the study estimates the pipeline will reduce wholesale gas prices by up to 6 percent in the winter.
In Connecticut specifically, the study estimates $1.1 billion in savings for the pipelines first 15-year contract, as well as the creation of 310 jobs and an anticipated $700 million gross state product.
The proposed pipeline has had a fraught history. Originally proposed in 2013, it received federal approval in 2014, but New York rejected the water-quality certification in 2016. Williams, the energy company behind the proposal, dropped plans for the pipeline in 2020.
But the Trump administration’s Environmental Protection Agency (EPA) in 2025 signaled an interest in fast-tracking gas pipelines. In May, the administration lifted a stop-work order on Empire Wind 1, an offshore wind farm located off New York’s coast. The administration claimed that, as part of the deal, New York governor Kathy Hochul would reverse the state’s opposition to gas pipelines.
Williams announced plans to resume construction of the Constitution pipeline shortly after. The company currently anticipates the pipeline will receive permits in the third quarter of 2026, with construction slated to begin in the fourth quarter of 2026. The pipeline is anticipated to go online in the third quarter of 2027.
But the S&P Global study’s findings contradict what a number of industry experts and insiders have said. While the study finds the pipeline would reduce gas prices, Dan Dolan, president of the New England Power Generators Association, cast doubt on that in an August interview. Dolan told Canary Media that existing pipeline infrastructure in New England, which the Constitution pipeline would connect to but not expand on, is limited. With no current plans to expand pipeline access, Dolan cast doubt on the idea that gas supply coming into New England would be increased by the Constitution pipeline, meaning energy prices also may not be lowered.
New England states have also been moving away from fossil fuels, which experts have predicted could reduce demand for natural gas and lessen the impacts of the Constitution pipeline on the region.
However, Gov. Ned Lamont has previously said that he may support the construction of the Constitution pipeline as a potential way to bring natural gas into the state and reduce Connecticut’s electricity prices, which are among the highest in the nation.
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