[Federal Register Volume 59, Number 10 (Friday, January 14, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-970]


[[Page Unknown]]

[Federal Register: January 14, 1994]


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DEPARTMENT OF ENERGY
[Docket No. CP94-156-000, et al.]

 

NUI Corporation; Natural Gas Certificate Filings

    Take notice that the following filings have been made with the 
Commission:

1. NUI Corporation Pennsylvania & Southern Gas Company

[Docket No. CP94-156-000]

January 5, 1994.
    Take notice that on December 22, 1993, NUI Corporation (NUI), 550 
Route 202-206, P.O. Box 760, and Pennsylvania & Southern Gas Company 
(PSGC), 102 Desmond Street, Sayre, Pennsylvania 18840, filed in Docket 
No. CP94-156-000 a joint application requesting a certificate pursuant 
to Section 7(c) of the Natural Gas Act (NGA) permitting NUI to acquire 
and operate the jurisdictional facilities of PSGC, abandonment 
authorization pursuant to Section 7(b) for PSGC regarding the same 
facilities, and a service area determination for NUI pursuant to 
Section 7(f) of the NGA, all as more fully set forth in the application 
on file with the Commission and open to public inspection.
    NUI proposes to merge with PSGC and acquire certain minor natural 
gas facilities in New York and Pennsylvania used by PSGC to transport 
gas in interstate commerce in conjunction with PSGC's local 
distribution activities. It is stated that in order to operate the 
facilities acquired from PSGC, NUI requests a declaration that it 
qualifies as a local distribution company in the service area to be 
determined for purposes of Section 311 of the Natural Gas Policy Act 
(NGPA). NUI also requests a waiver of the regulatory requirements 
ordinarily applicable to a natural gas company under the NGA and the 
NGPA.
    It is stated that the facilities are minor in nature and involve 
only a few gas consumers along the New York-Pennsylvania border. It is 
asserted that NUI does not intend to make any physical modifications to 
the facilities. It is further asserted that the Commission 
authorizations must be received in order to consummate the transfer of 
facilities.
    Comment date: January 26, 1994, in accordance with Standard 
Paragraph F at the end of this notice.

2. Panhandle Eastern Pipe Line Company

[Docket Nos. CP94-151-000 and CP90-1050-002]

January 6, 1994.
    Take notice that on December 21, 1993, Panhandle Eastern Pipe Line 
Company (Panhandle), P.O. Box 1642, Houston, Texas 77001, filed an 
application pursuant to section 7(b) of the Natural Gas Act for 
authority to abandon by transfer to its subsidiary, Panhandle Field 
Services Company (Field Services), gathering systems located on its 
West End System in the states of Colorado, Kansas, Oklahoma and Texas, 
all as more fully set forth in the application which is on file with 
the Commission and open to public inspection.
    Panhandle states that, as a result of its compliance with Order No. 
636 and the required unbundling of its transportation and gathering 
rates together with its customers' elections to cease purchasing 
natural gas from Panhandle, the utilization of Panhandle's gathering 
facilities has declined and is expected to continue to decline. It also 
indicated that Order No. 636 has intensified the competition for 
gathering services in the Anadarko Basin Area where the bulk of 
Panhandle's facilities are located. It is alleged that because of its 
status as a ``natural gas company'' under the provisions of the Natural 
Gas Act, Panhandle cannot compete with gatherers that are not subject 
to the Commission's jurisdiction. Panhandle proposes to transfer its 
gathering facilities to Field Services which would not be subject to 
the Commission's jurisdiction. Panhandle then contends that Field 
Services could then compete as a gatherer on a more level playing field 
with the competition.
    Panhandle states that approval would permit Panhandle to eliminate 
its existing gathering rates and would result in a decrease in Field 
Zone transportation rates. Panhandle also indicates that its customers 
would not be exposed to the potential of Order No. 636 transition costs 
associated with the stranded investment of any gathering facilities in 
the future. It is then indicated that, upon transfer of the facilities 
to Field Services, the facilities would be operated on a stand-alone, 
open-access basis. It is also indicated that Field Services would be 
responsible for all of the financial, economic, operational and 
business risks associated with the facilities.
    Panhandle proposes to transfer at net book value 54 distinct 
gathering systems. Panhandle indicates that as of April 30, 1993, the 
net book value of the facilities to be transferred was $39,012,101.
    Panhandle also proposes to further amend in Docket No. CP90-1050-
002 a pending application filed in Docket No. CP90-1050-000, et al, to 
conform its application to reflect the abandonment of its gathering 
facilities to Field Services and to update the list of facilities 
proposed to be certificated nunc pro tunc and/or refunctionalized, all 
as more fully set forth in the application which is on file with the 
Commission and open to public inspection. Panhandle proposes to reduce 
from 283 to 94 the facilities proposed to be refunctionalized from 
gathering to transmission in the application to amend filed in Docket 
No. CP90-1050-001. Panhandle also proposes to refunctionalize from 
gathering to transmission 74 other facilities not previously requested 
to be refunctionalized. Panhandle estimates the book value of the 
facilities proposed to be refunctionalized from gathering to 
transmission in the amended application in Docket No. CP90-1050-002 at 
$4,623,276.
    Comment date: January 27, 1994, in accordance with Standard 
Paragraph F at the end of this notice.

3. Panhandle Field Services Company

[Docket No. CP94-152-000]

January 6, 1994.
    Take notice that on December 21, 1993, Panhandle Field Services 
Company (Field Services), 5400 Westheimer Court, Houston, Texas 77056-
5310, filed a petition for declaratory order in Docket No. CP94-152-
000, requesting that the Commission declare that neither Field 
Services' proposed acquisition, ownership, and operation of certain 
natural gas gathering systems and related facilities presently owned by 
Panhandle Eastern Pipe Line Company (Panhandle), Field Services' 
affiliate, nor any of Field Services' facilities or services would 
subject Field Services or any portion of its facilities or services to 
the jurisdiction of the Natural Gas Act, all as more fully set forth in 
the petition which is on file with the Commission and open to public 
inspection.
    Specifically, Field Services seeks a declaratory order from the 
Commission finding that:

    (1) Panhandle's West End gathering systems are facilities used 
for the gathering of natural gas and therefore exempt from the 
Commission's jurisdiction pursuant to Section 1(b) of the Natural 
Gas Act;
    (2) Field Services would not be a ``natural gas company'' 
pursuant to Section 2(6) of the Natural Gas Act by virtue of its 
proposed acquisition, ownership, and operation of such facilities;
    (3) The gathering services that Field Services seeks to perform 
as described in the petition would be exempt from the Commission's 
jurisdiction under section 1(b) of the Natural Gas Act; and
    (4) Field Services' rates and charges for gathering services 
would not be subject to the Commission's jurisdiction pursuant to 
sections 4 and 5 of the Natural Gas Act.

    In support of its request, Field Services states that the primary 
function of the facilities is gathering as defined under the modified 
Farmland test, as set forth in Amerada Hess Corporation, 52 FERC  
61,268 (1990), and as exhibited by the size, pressure, length, 
configuration, and utilization of each of the gathering systems or 
groups of gathering systems. It is indicated that each of the 54 
gathering systems (1) operates at low-gathering-line pressure, (2) 
consists of discrete sections of generally small-diameter pipe, (3) is 
in a typical ``spider-web'' or ``rib-like'' gathering configuration in 
appearance, (4) has wells along its length, (5) is located behind 
compression which boosts pressures from low, wellhead pressures so that 
the gas can enter Panhandle's mainline transmission system, or (6) is 
located behind a processing plant.
    Field Services states that it is a wholly-owned subsidiary of 
Panhandle. Field Services describes the facilities to be transferred as 
the West End Systems of Panhandle in Colorado, Kansas, Oklahoma, and 
Texas. Field Services indicates that these facilities are the subject 
of Panhandle's companion abandonment application filed in Docket No. 
CP94-151-000 and Panhandle's application in Docket No. CP90-1050-002 to 
further amend its pending application in Docket No. CP90-1050-000, et 
al.
    Comment date: January 27, 1994, in accordance with the first 
paragraph of Standard Paragraph F at the end of this notice.

Standard Paragraphs

    F. Any person desiring to be heard or to make any protest with 
reference to said application should, on or before the comment date, 
file with the Federal Energy Regulatory Commission, Washington, DC 
20426, a motion to intervene or a protest in accordance with the 
requirements of the Commission's Rules of Practice and Procedure (18 
CFR 385.214 or 385.211) and the Regulations under the Natural Gas Act 
(18 CFR 157.10). All protests filed with the Commission will be 
considered by it in determining the appropriate action to be taken but 
will not serve to make the protestants parties to the proceeding. Any 
person wishing to become a party to a proceeding or to participate as a 
party in any hearing therein must file a motion to intervene in 
accordance with the Commission's Rules.
    Take further notice that, pursuant to the authority contained in 
and subject to the jurisdiction conferred upon the Federal Energy 
Regulatory Commission by sections 7 and 15 of the Natural Gas Act and 
the Commission's Rules of Practice and Procedure, a hearing will be 
held without further notice before the Commission or its designee on 
this application if no motion to intervene is filed within the time 
required herein, if the Commission on its own review of the matter 
finds that a grant of the certificate and/or permission and approval 
for the proposed abandonment are required by the public convenience and 
necessity. If a motion for leave to intervene is timely filed, or if 
the Commission on its own motion believes that a formal hearing is 
required, further notice of such hearing will be duly given.
    Under the procedure herein provided for, unless otherwise advised, 
it will be unnecessary for applicant to appear or be represented at the 
hearing.
Lois D. Cashell,
Secretary.
[FR Doc. 94-970 Filed 1-13-94; 8:45 am]
BILLING CODE 6717-01-P