The preliminary plan proposed by Algonquin Gas Transmissions would build and replace about 44 miles of pipeline in Connecticut, Massachusetts, New York and Rhode Island. The company is a unit of Spectra Energy in Houston.
It also would install a new pipeline to span the Hudson River and build compressor stations to boost the flow of gas.
But power generating companies are sitting on the sidelines and environmentalists are complaining about natural gas they say is only slightly less dirty than other fossil fuels.
The project would expand the current Algonquin system and affect hundreds of properties. It intends to begin service Nov. 1, 2016.