LNG firm will pay $23.5m in port deal
Fishermen, public to be compensated for impact
The developers of a proposed liquefied natural gas port 13 miles off Gloucester have agreed to pay $23.5 million to compensate fishermen and the public for environmental impacts anticipated over the project's 25-year lifespan.
The groundbreaking deal paved the way for the state to give its environmental approval for the project, which happened late yesterday. Final approval must still come from Governor Mitt Romney, who has until Dec. 26 to make a decision on the Excelerate Energy project. Romney has said in the past that he would prefer an offshore LNG project to one onshore, but he is still examining the issue.
Excelerate, of Texas, originally predicted that the project would cause just $2.5 million in damage to fishermen and have minimal effect on marine life. But state officials had a different conclusion , and after months of negotiations the company agreed to pay $8 million to New England fishermen to compensate for the loss of fishing grounds.
Excelerate will also pay about $7 million for the use of public waters, $4 million for impacts on marine habitats and resources that may be disturbed, and $4 million to prevent harm to whales and other marine mammals.
The builders of major infrastructure projects often provide compensation for the environmental impacts they are anticipated to cause.
"If you look at the balance between the need for reliable energy and minimizing the impacts on the environment, this is a good outcome," said Environmental Affairs Secretary Robert W. Golledge Jr.
Excelerate's Northeast Gateway project is one of two offshore LNG ports proposed for the waters off Gloucester. The other project, called Neptune, is expected to receive a final state environmental decision in two weeks, and Romney's approval for it is due by Jan. 2. Observers expect the state to work out a similar compensation plan with Neptune.
The two offshore LNG ports would act as permanent floating factories, and public access would be limited for up to four square miles around each. Ships from overseas would dock and turn supercooled liquid into gas before pumping it into a pipe system connected to the mainland. After one of the massive ships, some almost 2 1/2 football fields in length, completed its weeklong unloading, another would take its place.
Each ship could hold enough supercooled gas to heat about 30,000 homes for a year. If the two offshore projects were built, it might negate the need for a controversial LNG terminal proposed for Fall River.
The most unusual piece of the fishermen's compensation package is a $6.3 million payment to help start a Gloucester nonprofit organization. The nonprofit will pay struggling Gloucester-area fishermen who want to quit the business a fee for their fishing permits and allotted fishing days. The nonprofit would then lease the permits to other fishermen. That way, state officials said, fishermen who decide that LNG restrictions undercut their catch too much can be compensated, but those who want to stay in the business can boost income by fishing more days and hauling in more catch.
The balance of the $8 million will go to compensate commercial lobstermen and will be administered by the Massachusetts Lobstermen's Association.
Excelerate will pay:
Other payments include $150,000 to the Gloucester Maritime Heritage Center to preserve the city's fishing history ; $150,000 to New England Aquarium for research and education about Massachusetts Bay; and $150,000 to Salem Sound Coastwatch to support public access and environmental programs in Salem Sound.
Despite the compensation package, many fishermen said yesterday that they would still prefer that the project not be built.
"We'd prefer they take their money and go away," said Bernie Feeney, president of the Massachusetts Lobstermen's Association, who said he learned of the deal only yesterday. Feeney said a recent project called the HubLine, a gas line under Massachusetts Bay, resulted in permanent changes to the sea floor that lobsters don't like.
"We lost areas forever there, and we're worried about it happening again," Feeney said.
Beth Daley can be reached at bdaley@globe.com. 
