Seattle (AP) The city of Seattle is to get an $7 million tax break from gas providers in a deal that could generate about $7 billion for the city and its residents.
The city council voted 8-2 Tuesday to approve the sales from Seattle-based gas company Duke Energy and its affiliate, Seattle Gas & Electric, to help fund a $7-billion project to install new natural gas gas generation and distribution lines.
The city will receive about $1.8 billion in revenue from Duke and $1 billion in revenues from Seattle Gas, the city said in a statement.
“Duke Energy is committed to working with local governments and businesses to meet the needs of their communities, while creating long-term economic opportunities for the region and for our region,” the company said in the statement.
The deals are subject to approval by the city council, which is expected to vote on the sales later this month.
Duke spokesman Doug Schoen said the company will continue to provide gas services in Seattle.
The agreement was a surprise to many, with some council members expressing concern about the possibility of competition for the contracts.
They said Duke Energy could be bidding for the same contracts.