At an April 2013 technical conference, comments were made expressing interest in the ability for buyers of capacity to post offers to purchase capacity when needed (for example, to transport gas to a gas-fired electric generator). Based on these comments, the Commission decided to evaluate whether pipelines are in compliance with its posting regulations, 18 C.F.R. 284.8(d). A review of ten pipeline websites revealed that none provided a location to post such offers. Furthermore, none of the tariffs reviewed contained provisions providing for the posting of offers to purchase released capacity or describing the terms to be included in such offers. This review prompted the Commission’s show cause order.
Additionally, the Commission requested that the North American Energy Standards Board (“NAESB”) develop standards specifying: “(1) the information required for requests to acquire capacity; (2) the methods by which such information is to be exchanged; and (3) the location of the information on a pipeline’s website.” In their compliance filings, each pipeline must explain how it will comply with 18 C.F.R. 284.8(d) until NAESB develops, and the Commission implements, these standards.
All pipelines must submit their filings within 60 days of the Order, by May 19, 2014. Each filing will be assigned a separate RP docket and provide for intervention by interested parties. In addition, any person wishing to intervene in the show cause order docket (RP14-442) must do so by April 1, 2014.
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