[Federal Register Volume 59, Number 65 (Tuesday, April 5, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-8100]


[[Page Unknown]]

[Federal Register: April 5, 1994]


-----------------------------------------------------------------------

DEPARTMENT OF ENERGY
[Docket No. CP94-306-000]

 

Texas Utilities Fuel Co.; Petition for Declaratory Order

March 30, 1994.
    Take notice that on March 22, 1994, Texas Utilities Fuel Company 
(TUFCO), 400 North Olive Street, Dallas, Texas 75201, filed in Docket 
No. CP94-306-000 a petition for declaratory order requesting that the 
Commission declare that TUFCO's transportation and delivery of natural 
gas to a Hinshaw pipeline that engages in transactions under an Order 
No. 63 certificate would not render TUFCO, its facilities, any gas 
flowing through its facilities or any facilities or natural gas in the 
facilities with which TUFCO is interconnected, subject to the 
Commission's Natural Gas Act (NGA) jurisdiction, all as more fully set 
forth in the petition which is on file with the Commission and open to 
public inspection.
    TUFCO states that it is an intrastate natural gas pipeline 
operating solely within the State of Texas. TUFCO further states that 
it is presently exempt from NGA jurisdiction by reason of section 1(b) 
of the NGA (15 U.S.C. 717(b) (1993)) and is an intrastate pipeline 
under section 2(16) of the NGPA (15 U.S.C. 3301(16) (1982)). TUFCO says 
that it is a wholly-owned subsidiary of Texas Utilities Company, an 
investor-owned holding company for an electric utility system. TUFCO's 
primary function is to provide a reliable and secure supply of gas to 
its affiliate, Texas Utilities Electric Company (TU Electric), an 
operating electric public utility company, which is regulated by the 
Public Utility Commission of Texas.
    TUFCO indicates that it purchases gas directly from Texas 
producers, intrastate pipelines and other marketers of natural gas in 
the State of Texas. Gas purchased by TUFCO is delivered into its 
intrastate pipeline system and is redelivered to the electric 
generation stations of TU Electric, it is stated. TUFCO also provides 
intrastate transportation services to shippers at times when capacity 
is available in its system in excess of that required to serve TU 
Electric. TUFCO says it does not provide interstate transportation 
service under NGPA section 311.
    TUFCO states that it has been requested by potential shippers to 
transport gas through its system for delivery to Seagas Pipeline 
Company (Seagas). It is further stated that these shippers would then 
arrange for transportation by Seagas to markets located within Texas, 
either directly or through additional interconnecting pipelines. TUFCO 
submits that all of the gas transported by TUFCO would be contractually 
committed to consumers in Texas.
    TUFCO says it also desires to exchange gas with Seagas. As 
proposed, TUFCO would deliver gas to Seagas at various points on 
Seagas' system in exchange for a like quantity of gas at other points. 
However, TUFCO states it would not receive any interstate gas from 
Seagas. Each point of redelivery to TUFCO would be from gathering or 
production facilities in Texas to ensure that all of the gas received 
by TUFCO would be intrastate gas, not commingled with the interstate 
gas in the Seagas system.
    TUFCO states that Seagas is a Hinshaw pipeline in Texas, exempt 
from Commission jurisdiction under NGA section 1(c). Phillips Natural 
Gas Company, 43 FERC 62,049(1988). TUFCO further states that Seagas 
also holds an Order No. 63 certificate that allows it to transport gas 
that will be delivered out of the state of Texas, without losing its 
NGA section 1(c) exempt status. Id.
    TUFCO says that none of the gas received by TUFCO from Seagas will 
have been transported in, or commingled with gas transported in 
interstate commerce. However, TUFCO states that because the gas 
delivered by TUFCO to Seagas in each of the above transactions may be 
commingled with gas in Seagas's line that will be delivered out-of-
state under an Order No. 63 certificate, TUFCO seeks a declaration from 
the Commission that its transportation of that gas before delivery to 
Seagas, or other Hinshaw pipelines under similar circumstances, would 
not subject TUFCO, its facilities, any gas transported by TUFCO, or the 
facilities of others, to NGA jurisdiction.
    Any person desiring to be heard or to make any protest with 
reference to said petition should on or before April 20, 1994, 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). 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.
Lois D. Cashell,
Secretary.
[FR Doc. 94-8100 Filed 4-4-94; 8:45 am]
BILLING CODE 6717-01-M