In State Gas Lines Proposed

Building on the success of the AGIA gas line, Governor Palin proposes in-state gas lines (LINK).

Pre-warning for anyone who thinks they'll heat their home for Henry Hub gas prices (~$4/MMBTU). In most locations the cost of distribution is greater than the cost of the gas. I'll post a link as soon as the EIA website is working.

With no economy scale are these pipelines even remotely feasible?

Any reality checks from industry - leave a comment.