[Federal Register Volume 60, Number 64 (Tuesday, April 4, 1995)]
[Rules and Regulations]
[Pages 16979-16985]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-8224]



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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

18 CFR Part 284

[Docket No. RM95-5-000; Order No. 577]


Release of Firm Capacity on Interstate Natural Gas Pipelines

    Issued March 29, 1995.

AGENCY: Federal Energy Regulatory Commission.

[[Page 16980]] ACTION: Final rule.

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SUMMARY: The Federal Energy Regulatory Commission is amending its 
capacity release regulations to make the capacity release mechanism 
operate more efficiently and reduce burden. The existing regulations 
establish the provisions under which shippers can release capacity 
without having to comply with the Commission's advance posting and 
bidding requirements. The Commission is extending the exception from 
posting and bidding to one full calendar month as well as exempting 
transactions at the maximum rate from the posting and bidding 
requirements. The revisions also change the provision regarding roll-
overs of exempted releases by changing the period in which shippers 
cannot re-release capacity to the same shipper from 30 days to 28 days.

EFFECTIVE DATE: The final rule becomes effective May 4, 1995.

ADDRESSES: Federal Energy Regulatory Commission, 825 North Capitol 
Street NE., Washington, D.C. 20426.

FOR FURTHER INFORMATION CONTACT: Michael Goldenberg, Federal Energy 
Regulatory Commission, 825 North Capitol Street NE., Washington, D.C. 
20426, (202) 208-2294.

SUPPLEMENTARY INFORMATION: In addition to publishing the full text of 
this document in the Federal Register, the Commission also provides all 
interested persons an opportunity to inspect or copy the contents of 
this document during normal business hours in Room 3104, 941 North 
Capitol Street NE., Washington D.C. 20426.
    The Commission Issuance Posting System (CIPS), an electronic 
bulletin board service, provides access to the texts of formal 
documents issued by the Commission. CIPS is available at no charge to 
the user and may be accessed using a personal computer with a modem by 
dialing (202) 208-1397. To access CIPS, set your communications 
software to use 19200, 14400, 12000, 9600, 7200, 4800, 2400, 1200, or 
300 bps, full duplex, no parity, 8 data bits, and 1 stop bit. The full 
text of this document will be available on CIPS for 60 days from the 
date of issuance in ASCII and WordPerfect 5.1 format. After 60 days the 
document will be archived, but still accessible. The complete text on 
diskette in WordPerfect format may also be purchased from the 
Commission's copy contractor, La Dorn Systems Corporation, also located 
in Room 3104, 941 North Capitol Street NE., Washington D.C. 20426.
    Under Federal Energy Regulatory Commission (Commission) 
regulations, firm holders of pipeline capacity can release that 
capacity to others. The Commission is modifying Sec. 284.243(h) of its 
capacity release regulations.
    The general rule under the regulations is that shippers must post 
their available capacity on the pipeline's Electronic Bulletin Board 
(EBB) for bidding by potential purchasers (replacement shippers). In 
Sec. 284.243(h), the Commission permits an exception to the general 
rule by allowing shippers to release capacity for a period of less than 
one month without having to comply with the Commission's advance 
posting and bidding requirements. Shippers, however, cannot roll-over 
such releases and cannot re-release capacity to the same replacement 
shipper under the short-term release exception until 30 days after the 
first release period ends.
    The Commission is revising Sec. 284.243(h) to promote a more 
effective and efficient capacity release mechanism as well as reduce 
administrative burdens. The Commission is revising Sec. 284.243(h)(1) 
to coordinate with the industry's monthly purchasing practices by 
extending to one full calendar month the exception from the advance 
posting and bidding requirements. The Commission also is exempting 
transactions at the maximum rate from the posting and bidding 
requirements.
    The Commission is revising Sec. 284.243(h)(2) to provide for a 28 
(rather than a 30) day hiatus during which shippers that released 
capacity at less than the maximum rate under the exception cannot re-
release that capacity to the same replacement shipper at less than the 
maximum tariff rate. This change accounts for the fact that February 
has only 28 days and will ensure that shippers entering into a full 
month's release in January will be able to begin another full month's 
release beginning March 1.

I. Reporting Requirements

    The final rule affects the information required to be maintained on 
pipeline EBBs. The public reporting burden for EBBs is contained in the 
information requirement FERC-549(B), ``Gas Pipeline Rates: Capacity 
Release Information.'' The rule will eliminate the need for the 
industry to continue the current practice of using two capacity release 
postings (a less-than-one month release coupled with a one-day release) 
to complete a full month release transaction. Under the rule, full 
month releases can be accomplished with only one such posting.
    In the Notice of Proposed Rulemaking (NOPR), the Commission 
estimated that 1,500 paired release transactions occur per year and 
that the proposed rule would reduce burden by 1,500 hours. A survey 
conducted by INGAA and filed with their comments indicates there were 
1,924 paired release transactions during the first three quarters of 
1994. Both the staff estimate and the industry survey are based on 
historical data. However, the number of capacity release transactions 
has increased each quarter, as the industry has gained more experience 
with capacity release. Therefore, historical data are not an accurate 
indicator of the current level of capacity release activity.
    The current rate of paired release transactions, when annualized, 
is about 3,500 per year. At one hour per transaction, the annual 
reduction in burden as a result of this rule is approximately 3,500 
hours.
    A copy of this final rule is being provided to the Office of 
Management and Budget (OMB). Interested persons may send comments 
regarding the burden estimates or any other aspect of this collection 
of information, including suggestions for further reductions of this 
burden, to the Federal Energy Regulatory Commission, 941 North Capitol 
Street NE., Washington, D.C. 20426 [Attention: Michael Miller, 
Information Services Division, (202) 208-1415, FAX (202) 208-2425]. 
Comments on the requirements of this proposed rule may also be sent to 
the Office of Information and Regulatory Affairs of OMB, Washington, 
D.C. 20503 [Attention: Desk Officer for Federal Energy Regulatory 
Commission (202) 395-6880, FAX (202) 395-5167].

II. Background

    Under the current capacity release regulations, promulgated in 
Order No. 636,1 holders of firm capacity on pipelines can reassign 
that capacity in two ways.2 The releasing shipper can choose to 
have the pipeline post the notice of release on the pipeline's EBB so 
other shippers can submit bids for that capacity, with the capacity 
awarded to the highest bidder. Or, the releasing shipper can enter into 
a pre-arranged [[Page 16981]] deal with a replacement shipper for the 
release of capacity.

    \1\Pipeline Service Obligations and Revisions to Regulations 
Governing Self-Implementing Transportation; and Regulation of 
Natural Gas Pipelines After Partial Wellhead Decontrol, Order No. 
636, 57 FR 13,267 (Apr. 16, 1992), III FERC Stats. & Regs. Preambles 
 30,939 (Apr. 8, 1992), order on reh'g, Order No. 636-A, 57 FR 
36,128 (Aug. 12, 1992), III FERC Stats. & Regs. Preambles  30,950 
(Aug. 3, 1992), order on reh'g, Order No. 636-B, 57 FR 57,911 (Dec. 
8, 1992), 61 FERC  61,272 (1992), appeal re-docketed sub nom., 
United Distribution Companies, et al. v. FERC, No. 92-1485 (D.C. 
Cir. Feb. 8, 1995).
    \2\18 CFR 284.243(a)-(h).
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    The regulations establish different requirements for pre-arranged 
releases depending on the length of the release. For pre-arranged 
releases of one calendar month or more, the release must be posted on 
the pipeline's EBB to permit other shippers to bid for that 
capacity.\3\

    \3\If a shipper bids more than the pre-arranged release rate, 
the pre-arranged replacement shipper is given the opportunity to 
match that bid to retain the capacity.
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    For pre-arranged releases of less than one calendar month, 
Sec. 284.243(h) permits shippers to consummate the transaction without 
complying with the posting and bidding requirements.4 Releases 
under this provision must be posted no later than 48 hours after the 
release transaction begins. Section 284.243(h)(2) provides that 
shippers cannot roll-over or extend releases covered by this exception 
unless they comply with the requirements for prior notice and bidding 
and cannot re-release to the same replacement shipper until thirty days 
after the first release period has ended.5

    \4\Releasing shippers, however, are free to post pre-arranged 
deals for less than one calendar month for bidding if they choose to 
do so. Section 284.243(h)(1), as originally promulgated, read: ``A 
release of capacity by a firm shipper to a replacement shipper for 
any period of less than one calendar month need not comply with the 
notification and bidding requirements of paragraphs (c) through (e) 
of this section. A release under this paragraph may not exceed the 
maximum rate. Notice of a firm release under this paragraph must be 
provided on the pipeline's electronic bulletin board as soon as 
possible, but not later than forty-eight hours, after the release 
transaction commences.''
    \5\Section 284.243(h)(2), as originally promulgated, read: ``A 
firm shipper may not roll-over, extend, or in any way continue a 
release under this paragraph without complying with the requirements 
of paragraphs (c) through (e) of this section, and may not re-
release to the same replacement shipper under this paragraph until 
thirty days after the first release period has ended.''
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    The Commission adopted the less-than-one calendar month exception 
to the posting and bidding requirements to balance two objectives of 
the capacity release mechanism.6 The exception was designed to 
ensure that parties could quickly and efficiently consummate short-term 
deals in emergency situations, such as a power plant outage resulting 
in excess capacity, without the administrative complications resulting 
from the advance posting and bidding requirements. On the other hand, 
the restriction to less-than-one calendar month was intended to ensure 
that normal monthly transactions would have to comply with the advance 
posting and bidding requirements to ensure open and non-discriminatory 
access to the capacity release market. The Commission thought that the 
pipelines could design capacity release procedures to efficiently 
handle full calendar month transactions.

    \6\See Order No. 636-A, III FERC Stats. & Regs. Preambles  
30,950 at 30,553-54; Order No. 636-B, 61 FERC  61,272 at 61,994-95. 
'
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    The capacity release mechanism has now been in effect for over a 
year and the Commission has begun the process of evaluating the 
mechanism's operation. In the course of this review, the staff of the 
Commission has conducted informal discussions about the operation of 
the capacity release mechanism and possible changes or modifications to 
improve the mechanism with all major segments of the gas industry, 
including pipelines, local distribution companies, marketers, 
producers, end-users, and others interested in the capacity release 
market, such as companies developing third-party bulletin boards.
    Based on comments made in these meetings, on January 12, 1995, the 
Commission issued the NOPR in this docket which proposed to extend to 
one full calendar month the period in which firm shippers can release 
firm capacity without having to comply with the posting and bidding 
requirements.7 Due to the broad support for the revision amongst 
all the industry groups involved in the staff meetings, the Commission 
proposed to make this one revision so that it could be implemented 
quickly. The Commission stated, however, that further adjustments to 
the capacity release mechanisms were still under consideration.

    \7\Release of Firm Capacity on Interstate Natural Gas Pipelines, 
60 FR 3783 (Jan. 19, 1995), IV FERC Stats. & Regs. [Proposed 
Regulations]  32,513 (Jan. 12, 1995).
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    Forty-five comments on the NOPR were received, all supporting the 
proposed revision.8

    \8\The appendix lists all those filing comments.
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III. Discussion

    The extension of the short-term exception to a full calendar month 
will promote a more effective capacity release market and eliminate 
administrative inefficiencies created by the less than one calendar 
month regulation. As the commenters point out, the change to a full 
calendar month better comports with the industry's purchasing 
practices. The industry generally conducts its gas purchases on a 
monthly basis, so that customers requiring capacity need to acquire a 
full month's capacity. Moreover, most monthly transactions occur during 
a very compressed time period known as bid week and this time pressure 
requires that shippers be able to obtain released capacity quickly with 
the certainty that the deal will go through as negotiated.
    In addition, as the comments recognized, administrative burdens 
will be reduced significantly because the amendment will make 
unnecessary the previous industry practice of designing so-called ``29/
1 day'' deals to arrive at full month releases. Under this practice, 
shippers release capacity under the Sec. 284.243(h) exception for 29 
days (or less than one calendar month) and then post a release offer 
for bidding for the remaining day of the month. This practice ensures 
that the designated replacement shipper can obtain a full month's 
capacity, since rarely do other shippers want to purchase capacity for 
one day or the one-day prearranged deal is posted at the maximum rate. 
While this procedure does permit full month releases, the practice is 
administratively cumbersome, doubling the administrative burden by 
requiring two EBB postings, two awards, two contracts, and two bills. 
According to INGAA, during the first three quarters of 1994, 14% of all 
capacity releases involved paired releases.9

    \9\Northwest estimates that 80% of its transactions were paired 
releases.
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    The Commission's original reason for restricting the short-term 
exception to less-than-one calendar month deals was to limit the 
exception to emergency situations, so as to maximize the open bidding 
for capacity. However, the widespread use of 29/1 day deals 
demonstrates that bidding for one month deals is not taking place, and 
any attempt to limit or restrict the 29/1 practice in order to further 
promote bidding would seem only to create further inefficiencies. The 
commenters agree that, on balance, the increased speed and efficiency 
made possible by the extension of the short-term exception to a full 
calendar month outweighs any potential benefits from requiring bidding 
for monthly transactions. The commenters also point out that the 
Commission and the industry can still monitor one month deals for 
adherence to the Commission's policies against undue discrimination 
because all deals will be posted on the pipelines' EBBs within 48 
hours.
    Many commenters suggest that the Commission make changes in aspects 
of the capacity release regulations beyond this rule's limited focus on 
the short-term exception, such as elimination of bidding, removal of 
the maximum rate cap, and posting of pipeline interruptible deals, 
while others contend that such major structural [[Page 16982]] changes 
should not be made.10 The Commission is committed to its review of 
the capacity release mechanism and will be considering these issues, 
along with others, as part of that process. The Commission will address 
here only those comments directly bearing upon the short-term 
exception.

    \10\Most commenters support and encourage the Commission's 
review of other aspects of the capacity release mechanism.
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    IOGA-PA contends that to ensure open and non-discriminatory access 
to released capacity, the Commission should require the posting of 
certain details of one month transactions on the pipelines' EBBs. IOGA-
PA specifically lists price, delivery points, receipt points, recall 
status, and order of curtailment as items that should be 
disclosed.11

    \11\Although IOGA-PA states it supports the rule as long as 
sufficient information about the deal is disclosed, it later states 
that it is of the opinion that all pre-arranged deals should be 
subject to bidding. Requiring bidding for all pre-arranged deals, 
however, would defeat the goal of the regulation by introducing the 
very delay and uncertainty into monthly transactions that the 
regulation is designed to eliminate.
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    The Commission finds no need to impose additional reporting 
requirements, because the information listed by IOGA-PA already must be 
posted on pipeline EBBs. The Commission's EBB rulemaking in Docket No. 
RM93-4-00012 requires pipelines to post price, location of 
releases (receipt and delivery points or pipeline segments), and the 
recall status of the release.13 Pipelines must also include in 
their tariffs provisions setting forth their curtailment 
priority.14

    \12\Standards For Electronic Bulletin Boards Required Under Part 
284 of the Commission's Regulations, Order No. 563, 59 FR 516 (Jan. 
5, 1994), III FERC Stats. & Regs. Preambles 30,988 (Dec. 23, 1993), 
order on reh'g, Order No. 563-A, 59 FR 23624 (May 6, 1994), III FERC 
Stats. & Regs. Preambles 30,994 (May 2, 1994), reh'g denied, Order 
No. 563-B, 68 FERC 61,002 (1994).
    \13\This information is to be posted on the pipelines' EBB 
sections dealing with capacity awards. See Standardized Data Sets 
and Communication Protocols, Version 1.2, Section III Firm 
Transportation and Storage Capacity Release Award Data Set, III.1, 
line 25 (recall indicator), Section III.1.1, lines 7-13 (price 
information), Section III.1.2, line 4 (location type indicator). 
These are all mandatory fields, meaning that all pipelines must 
provide the required information. This document is available at the 
Commission's Public Reference and Files Maintenance Branch.
    \14\See 18 CFR 284.14(b) (requiring pipelines to include 
curtailment provisions in their filings to comply with Order No. 
636).
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    MichCon requests clarification that the rule will apply to 31 day 
months and suggests that the regulation refer to releases of 31 days, 
rather than to a calendar month. MichCon suggests that this change also 
will permit releases of 31 days spanning two calendar months (i.e., 
January 15 to February 15). The term ``calendar month,'' by definition, 
encompasses all months, including those of 31 days, and there is no 
need to substitute the phrase 31 days to add clarity. The term 
``calendar month'' also better reflects the regulation's purpose, 
because it synchronizes the short-term exception with the industry's 
practice of purchasing gas and capacity during bid week when shippers 
need speed and certainty in their transactions. The substitution of the 
phrase 31 days is not needed to effectuate mid-month releases, as 
MichCon suggests. If shippers have an emergency requiring the release 
of capacity in the middle of a month, they can do so under the short-
term exception for the remaining days in that month (i.e., January 15 
to January 31), which will leave sufficient time to post the 
transaction for bidding for the next month.
    Some commenters raise questions about the anti-rollover provision 
in Sec. 284.243(h)(2). Louisville contends that the Commission should 
either improve the speed of the posting and bidding process, or, in the 
alternative, should permit roll-overs of one month deals. Natural 
similarly suggests that roll-overs of one month deals should be 
permitted.
    The Commission is not removing the anti-rollover provision in this 
rule, because its removal could vitiate the bidding process for longer 
term releases; parties could effectuate long term releases simply by 
agreeing to a series of roll-overs of one month releases. The issue of 
whether bidding should be required for releases of more than one month 
is beyond the scope of this rule, but will be considered by the 
Commission in its continuing review of the capacity release mechanism.
    If the anti-rollover provision is to be retained, PGT requests that 
the Commission clarify the criteria a pipeline should use to determine 
if a capacity release parcel falls within the roll-over provision. The 
provision now reads that a shipper ``may not re-release to the same 
replacement shipper under this paragraph at less than the maximum 
tariff rate during the calendar month after the month in which the 
first release ends.'' Thus, any subsequent re-release to the same 
replacement shipper during the next calendar month is prohibited.
    ANR/CIG suggest that the Commission amend the anti-rollover 
provision to permit re-release of capacity to the same shipper after 
one calendar month has passed, rather than the 30 days specified in the 
current regulation. ANR/CIG argue this change is consistent with the 
expansion of the short-term exception, in Sec. 284.243(h)(1), to one 
calendar month and is more compatible with the month to month basis on 
which gas and capacity transactions take place.
    The Commission will not modify the anti-rollover provision to one 
calendar month, because that could be more restrictive than the current 
regulation in certain circumstances. For example, under the current 
regulations, shippers entering into a one-week release under the short-
term exception from January 1 to January 7 could enter into a second 
release under the exception beginning February 7. If, however, shippers 
had to allow a full calendar month to pass between releases, the second 
release could not begin until March 1.
    The Commission, however, recognizes that the 30 day hiatus in the 
current regulations does not accord with monthly releases in one 
situation: because February has only 28 days, shippers entering into a 
full month's release ending January 31 cannot enter into a new release 
until March 2. To ensure that shippers can enter into full month 
releases in March, the Commission is amending Sec. 284.243(h)(2) to 
permit re-releases to the same replacement shipper after 28 days.
    FMA suggests that roll-overs should be permitted at the maximum 
rates without complying with the posting and bidding periods. In Order 
No. 636-B, the Commission clarified its policies regarding prearranged 
deals at the maximum rate.15 The Commission required that 
pipelines adopt procedures so that bids at the maximum rate, meeting 
all the terms and conditions of the bid, would not be subject to the 
bidding procedures and would be implemented promptly. As the Commission 
found, when a prearranged deal is at the maximum rate, no other shipper 
can make a better bid for that capacity and, therefore, subjecting that 
release to the bidding requirements in the pipeline's tariff could 
unnecessarily delay implementation of the release. To ensure that the 
regulations reflect Commission policy, the Commission is modifying 
Sec. 284.243(h)(1) to include all releases at the maximum rate, 
regardless of term, as releases that need not comply with the advance 
posting and bidding requirements.16

    \15\Order No. 636-B, 61 FERC at 61,994.
    \16\In Order No. 636-B, the Commission stated that releases at 
the maximum rate must be posted immediately, rather than 48 hours 
after the transaction commences. Order No. 636-B, 61 FERC at 61,994. 
But there seems to be no need to continue that restriction. Posting 
within 48 hours is sufficient to provide the industry and the 
Commission with the ability to review and monitor transactions at 
the maximum rate.
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    Columbia requests that the Commission set an effective date for 
this rule that will provide sufficient time for pipelines to file 
revised tariff sheets and make computer programming changes to 
implement the change on their EBBs. The Commission wants to make this 
rule effective as soon as possible so that the industry can achieve the 
efficiencies from full month releases. The Commission concludes that 
making the rule effective 30 days from publication in the Federal 
Register should provide most pipelines with sufficient implementation 
time. If some pipelines need more time to make tariff filings to 
reflect the change, the Commission can waive the 30-day notice 
requirement to allow for consistent effective dates.17 Columbia 
does not explain exactly what computer programming is needed to reflect 
this change. The Commission considers 30 days to be sufficient time in 
general to make whatever programming changes are needed to accommodate 
the minor change effected by this rule. [[Page 16983]] 

    \17\15 U.S.C. Sec. 717c(d); 18 CFR 154.22.
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IV. Environmental Analysis

    The Commission is required to prepare an Environmental Assessment 
or an Environmental Impact Statement for any action that may have a 
significant adverse effect on the human environment.18 The 
Commission has categorically excluded certain actions from these 
requirements as not having a significant effect on the human 
environment.19 The action taken here falls within categorical 
exclusions provided in the Commission's regulations.20 Therefore, 
an environmental assessment is unnecessary and has not been prepared in 
this rulemaking.

    \18\Order No. 486, Regulations Implementing the National 
Environmental Policy Act, 52 FR 47897 (Dec. 17, 1987), FERC Stats. & 
Regs. Preambles 1986-1990 30,783 (1987).
    \19\18 CFR 380.4.
    \20\See 18 CFR 380.4(a)(2)(ii), 380.4(a)(5).
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V. Regulatory Flexibility Act Certification

    The Regulatory Flexibility Act of 1980 (RFA)21 generally 
requires a description and analysis of final rules that will have 
significant economic impact on a substantial number of small entities. 
Since the proposed regulations do not increase the burdens on any 
companies or entities, they will not have a significant impact on small 
entities. Pursuant to section 605(b) of the RFA, the Commission hereby 
certifies that the regulations proposed herein will not have a 
significant impact on a substantial number of small entities.

    \21\5 U.S.C. 601-612.
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VI. Information Collection Requirement

    OMB regulations require approval of certain information collection 
requirements imposed by agency rules.22 The information 
requirements affected by this proposed rule are in FERC-549B, ``Gas 
Pipeline Rates: Capacity Release Information'' (1902-0169). The 
Commission is issuing the final rule, including the information 
requirements, to carry out its regulatory responsibilities under the 
Natural Gas Act (NGA) and Natural Gas Policy Act (NGPA) to promote a 
more effective capacity release market as instituted by the 
Commission's Order No. 636. The Commission's Office of Pipeline 
Regulation uses the data to review/monitor capacity release 
transactions as well as firm and interruptible capacity made available 
by pipelines and to take appropriate action, where and when necessary. 
The collection of information is intended to be the minimum needed for 
posting on EBBs to provide information about the availability of 
service on interstate pipelines.

    \22\5 CFR 1320.13.
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    The Commission is submitting to the Office of Management and the 
Budget a notification of the revision to the FERC-549B collection of 
information. Interested persons may obtain information on these 
reporting requirements by contacting the Federal Energy Regulatory 
Commission, 941 North Capitol street, NE; Washington, DC 20426 
[Attention: Michael Miller, Information Services Division, (202) 208-
1415], FAX (202) 208-2425. Comments on the requirements of this rule 
can be sent to OMB's Office of Information and Regulatory Affairs; 
Washington, DC 20503 [Attention: Desk Officer for Federal Energy 
Regulatory Commission (202) 395-6880, FAX (202) 395-5167].

VII. Effective Date

    The final rule will take effect May 4, 1995.

List of Subjects in 18 CFR Part 284

    Continental shelf, Natural gas, Reporting and recordkeeping 
requirements.

    By the Commission.
Lois D. Cashell,
Secretary.

    In consideration of the foregoing, the Commission amends Part 284, 
Chapter I, Title 18, Code of Federal Regulations, as set forth below.

PART 284--CERTAIN SALES AND TRANSPORTATION OF NATURAL GAS UNDER THE 
NATURAL GAS POLICY ACT OF 1978 AND RELATED AUTHORITIES

    1. The authority citation for Part 284 continues to read as 
follows:

    Authority: 15 U.S.C. 717-717w, 3301-3432; 42 U.S.C. 7101-7532; 
43 U.S.C. 1331-1356.

    2. In Sec. 284.243, paragraph (h) is revised to read as follows:


Sec. 284.243  Release of firm capacity on interstate pipelines.

* * * * *
    (h) (1) A release of capacity by a firm shipper to a replacement 
shipper for any period of one calendar month or less, or for any term 
at the maximum tariff rate applicable to the release, need not comply 
with the notification and bidding requirements of paragraphs (c) 
through (e) of this section. A release under this paragraph may not 
exceed the maximum rate. Notice of a firm release under this paragraph 
must be provided on the pipeline's electronic bulletin board as soon as 
possible, but not later than forty-eight hours, after the release 
transaction commences.
    (2) When a release under paragraph (h)(1) of this section is at 
less than the maximum tariff rate, a firm shipper may not roll-over, 
extend, or in any way continue the release at less than the maximum 
tariff rate without complying with the requirements of paragraphs (c) 
through (e) of this section, and may not re-release to the same 
replacement shipper under this paragraph at less than the maximum 
tariff rate until twenty-eight days after the first release period has 
ended.

    Note--The following appendix will not appear in the Code of 
Federal Regulations.

[[Page 16984]]
 Appendix--Parties Filing Comments on the Notice of Proposed Rulemaking 
                         [Docket No. RM95-5-000]                        
------------------------------------------------------------------------
                 Commenter                          Abbreviation        
------------------------------------------------------------------------
American Gas Association..................  AGA.                        
American Public Gas Association...........  APGA.                       
ANR Pipeline Company and Colorado           ANR/CIG.                    
 Interstate Gas Company.                                                
Associated Gas Distributors...............  AGD.                        
Atlanta Gas Light Company and Chattanooga   Atlanta/Chattanooga.        
 Gas Company.                                                           
Baltimore Gas and Electric Company........  Baltimore.                  
Brooklyn Union Gas Company................  Brooklyn Union.             
City of Hamilton, Ohio....................  Hamilton.                   
Columbia Gas Distribution Companies.......  Columbia Distribution.      
Columbia Gas Transmission Corporation and   Columbia.                   
 Columbia Gulf Gas Transmission Company.                                
Consolidated Edison Company of New York...  Con Edison.                 
Consolidated Natural Gas Company..........  Consolidated.               
Consumers Power Company...................  CPCo.                       
EnerSoft Corporation and New York           EnerSoft/NYMEX.             
 Mercantile Exchange.                                                   
Enron Interstate Pipelines (Northern        Enron.                      
 Natural Gas Company, Transwestern                                      
 Pipeline Company, Florida Gas                                          
 Transmission Company, and Black Marlin                                 
 Pipeline Company) and Enron Capital &                                  
 Trade Resources Corporation.                                           
Fuel Managers Association.................  FMA.                        
Hadson Gas Systems, Inc...................  Hadson.                     
Illinois Power Company....................  Illinois Power.             
Independent Oil and Gas Association of      IOGA-PA.                    
 Pennsylvania.                                                          
Independent Petroleum Association of        IPAA.                       
 America.                                                               
Interstate Natural Gas Association of       INGAA.                      
 America.                                                               
JMC Power Projects (Altersco-Pittsfield,    JMC Power Projects.         
 L.P., MASSPOWER, Ocean State Power, Ocean                              
 State Power II, and Selkirk Cogen                                      
 Partners, L.P.                                                         
K N Interstate Gas Transmission Company...  KNI.                        
Louisville Gas and Electric Company.......  Louisville.                 
Michigan Consolidated Gas Company.........  MichCon.                    
MidCon Gas Services Corporation...........  MidCon Gas Services.        
Mississippi River Transmission Corporation  MRT.                        
Natural Gas Pipeline Company of America...  Natural.                    
Natural Gas Supply Association............  NGSA.                       
Northern Illinois Gas Company.............  NI-Gas.                     
Northern Indiana Public Service Company...  Northern Indiana.           
Northwest Pipeline Corporation............  Northwest.                  
Orange and Rockland Utilities, Inc........  Orange/Rockland.            
Pacific Gas and Electric Company..........  PG&E.                       
Pacific Gas Transmission Company..........  PGT.                        
Peoples Gas Light and Coke Company and      Peoples Gas/North Shore.    
 North Shore Gas Company.                                               
Process Gas Consumers Group, American Iron  Industrials.                
 and Steel Institute, and Georgia                                       
 Industrial Group.                                                      
Sacramento Municipal Utility District.....  SMUD.                       
Sonat Marketing Company...................  Sonat Marketing.            
Southern California Edison Company........  Edison.                     
Southern California Gas Company...........  SoCalGas.                   
Texas Eastern Transmission Corporation,     PEC Pipeline Group.         
 Panhandle Eastern Pipe Line Company,                                   
 Algonquin Gas Transmission Company, and                                
 Trunkline Gas Company.                                                 
Texas Gas Transmission Corporation........  Texas Gas.                  
United Distribution Companies.............  UDC.                        
Wisconsin Distributor Group...............  WDG.                        
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              [[Page 16985]]

[FR Doc. 95-8224 Filed 4-3-95; 8:45 am]
BILLING CODE 6717-01-P