[Federal Register Volume 60, Number 226 (Friday, November 24, 1995)]
[Notices]
[Pages 58078-58080]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-28638]



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

DEPARTMENT OF ENERGY
[Docket No. CP94-751-004, et al.]


Transwestern Pipeline Company, et al.; Natural Gas Certificate 
Filings

November 16, 1995.
    Take notice that the following filings have been made with the 
Commission:

1. Transwestern Pipeline Company

[Docket No. CP94-751-004]

    Take notice that on October 13, 1995, Transwestern Pipeline Company 
(Transwestern), Post Office Box 1188, Houston, Texas 77251-1188 filed 
an amendment (Amendment) to its original application in Docket No. 
CP94-751-000, as amended, which was filed pursuant to Section 7(b) of 
the Natural Gas Act for an order granting permission and approval to 
abandon certain facilities. Transwestern states that the Amendment 
requests that the Commission modify the abandonment authorization 
granted for certain of the facilities in Docket No. CP94-751-000 by the 
Commission's July 27, 1995, Order Approving Contested Settlement, 72 
FERC para. 61,085, to allow such facilities to be transferred to non-
jurisdictional third parties, all as more fully set forth in the 
amendment which is on file with the Commission and open to public 
inspection.
    Transwestern states that its original application in Docket No. 
CP94-751-000, requested authorization to abandon certain compressors, 
treater plants, meters, dehydration units and associated facilities. 
According to Transwestern, it amended its application to set forth 
certain corrections and to reflect the sale to third parties of certain 
of the facilities, the determination that certain of the facilities 
already had been abandoned, and the determination that gas was flowing 
through certain wellhead facilities.
    Transwestern proposed to abandon the facilities in the original 
application through removal or abandonment in place because such 
facilities were no longer used or useful in its operations, or were 
uneconomical or otherwise unnecessary for continued operation of its 
pipeline. It is stated that the order authorized abandonment of such 
facilities subject to Transwestern's compliance with certain 
environmental conditions set forth in Appendix D to the order.
    Transwestern states that, currently, certain non-jurisdictional 
third parties seek to acquire some of those facilities for their 
operations. Accordingly, Transwestern requests that the Commission 
modify its order to provide that such facilities for which abandonment 
was granted may be transferred to third parties, and, in such case, 
Transwestern is not required to comply with the environmental 
conditions of Appendix D, which would apply if Transwestern abandoned 
in place or removed such facilities. Transwestern contends that such 
third parties are the same entities identified in the order as 
acquiring related facilities for which abandonment authorization was 
granted in Docket No. CP95-70-000: Mobil Producing Texas and New 
Mexico, Inc., Agave Energy Company, Highlands Gathering and Processing 
Company and Enron Oil & Gas Company.
    According to Transwestern, it would be economically wasteful for 
Transwestern to undertake the burden and expense of disposing of such 
facilities only to have third parties undertake the burden and expense 
of replacing them. Transwestern contends that the purpose of Appendix D 
is to protect the environment. However, in the case of the facilities 
the third parties wish to acquire, Transwestern argues that it would be 
much more disruptive to the environment to comply with Appendix D and 
remove such facilities, only to have the third parties reinstall them, 
than to simply convey the facilities to the third parties in the first 
place.
    Given that abandonment already has been authorized for such 
facilities, Transwestern states that no other change to the order is 
required or proposed, in order to allow the transfer of such facilities 
rather than removal or abandonment in place under Appendix D. 
Transwestern states that it would receive no additional payment as the 
result of its transfer of such facilities and proposes that there would 
be no additional change in the accounting treatment for such facilities 
approved in the July 27, order.1 Further, it is stated that such 
facilities would be subject to the default gathering contract 
applicable to the other related facilities transferred to third parties 
for which abandonment 

[[Page 58079]]
was authorized in Docket No. CP95-70-000.

    \1\ Transwestern states that, inasmuch as the accounting 
treatment for the abandoned assets is an integral part of the 
Settlement rates and revenues as approved in Docket No. RP95-271-000 
and to the exten deemed necessary by the Commission, Transwestern 
requests waiver of the Commission's regulations in order to obtain 
the authorization requested herein with no change in the accounting 
treatment approved in the order.
---------------------------------------------------------------------------

    Comment date: December 7, 1995, in accordance with Standard 
Paragraph F at the end of this notice.

2. El Paso Natural Gas Company

[Docket No. CP96-44-000]

    Take notice that on November 2, 1995, El Paso Natural Gas Company 
(El Paso), P.O. Box 1492, El Paso, Texas 79978, filed in Docket No. 
CP96-44-000 a request pursuant to Sections 157.205 and 157.212 of the 
Commission's Regulations under the Natural Gas Act (18 CFR 157.205, 
157.212) for authorization to construct and operate a delivery point in 
Pecos County, Texas, which will permit it to transport and deliver gas 
to Transok Inc., (Transok) on an interruptible basis for West Texas 
Utilities Company (WTU) for delivery to the WTU Rio Pecos Power Plant, 
under El Paso's blanket certificate issued in Docket No. CP82-435-000 
pursuant to Section 7 of the Natural Gas Act, all as more fully set 
forth in the request that is on file with the Commission and open to 
public inspection.
    By a letter agreement dated June 26, 1995, Transok, acting as WTU's 
agent, and El Paso agreed that El Paso would install a new delivery 
point on El Paso's Puckett Line. Transok would construct the pipeline 
connecting El Paso's proposed delivery point to WTU's Rio Pecos Power 
Plant. El Paso states that WTU intends to use the gas to fuel its Rio 
Pecos Power Plant. On August 30, 1995, El Paso and WTU entered into a 
Transportation Service Agreement which provided for interruptible 
transportation service from any receipt point on El Paso's system to 
the proposed delivery point. Accordingly, El Paso is seeking 
authorization to construct and operate the proposed delivery point 
which is to be known as the Rio Pecos Power Plant Meter Station.
    El Paso proposes to construct one 8'' O.D. tap and valve assembly, 
one 8'' O.D. senior orifice meter run, EFM, telecommunications 
equipment, and almost 80 feet of 8'' O.D. pipe, all with appurtenances, 
at approximately milepost 29.8 on its 20'' O.D. Puckett Line in Section 
87, Block 11, H&GN RR Co. Survey, Pecos County, Texas. The total 
estimated cost of the proposed facilities, including respective 
overhead and contingency fees, is $119,700. Transok, pursuant to the 
June 26, 1995 letter agreement, will reimburse El Paso for the costs 
related to the Rio Pecos Power Plant Meter Station construction.
    The natural gas volumes transported to the Rio Pecos Power Plant 
Meter Station is estimated to be 10,950,000 Mcf annually, or an average 
of 30,000 Mcf per day, during the third calendar year of operation. The 
maximum peak day requirement during the third calendar year of service 
is estimated to be 35,000 Mcf.
    El Paso states that the establishment of the Rio Pecos Power Plant 
Meter Station is not prohibited by its existing tariff and that there 
is sufficient capacity to accomplish deliveries without detriment or 
disadvantage to its other customers.
    Comment date: January 2, 1996, in accordance with Standard 
Paragraph G at the end of this notice.

3. NE Hub Partners, L.P.

[Docket No. CP96-53-000]

    Take notice that on November 7, 1995, NE Hub Partners, L.P. (``NE 
Hub'') located at Two Riverbend at Lansdowne, 44084 Riverside Parkway, 
Suite 340, Leesburg, Virginia 22075, tendered for filing an application 
pursuant to Section 7(c) of the Natural Gas Act and Parts 157 and 284 
of the Commission's regulations requesting that the Commission (1) 
issue NE Hub a certificate of public convenience and necessity pursuant 
to Subpart A of Part 157 to permit NE Hub to construct and operate 
natural gas facilities necessary to provide storage and transportation 
services at market-based rates; (2) issue NE Hub a blanket 
transportation certificate pursuant to Subpart G of Part 284 to permit 
NE Hub to provide storage and transportation services on behalf of 
others; (3) issue NE Hub a blanket construction certificate pursuant to 
Subpart F of Part 157 to permit NE Hub to construct, acquire, and 
operate additional facilities following initial construction of the 
facilities for which authorization under Subpart A of Part 157 is being 
sought in the application; and (4) issue NE Hub a blanket sales 
certificate pursuant to Subpart J of Part 284 to provide unbundled 
sales service for the limited purpose of disposing of gas in storage 
that shippers may fail to remove.
    NE Hub further requests approval of its pro forma FERC Gas Tariff 
included at Exhibit P to the application. NE Hub also requests that if 
its request for approval of market-based rates is granted, the 
Commission (1) waive the requirements of section 284.8(d) of its 
regulations, which require that rates be designed using a straight 
fixed-variable rate design methodology; (2) waive the requirements of 
section 157.14 of its regulations to permit NE Hub to omit Exhibits K, 
N, and O to the application; and (3) waive the accounting and reporting 
requirements under Part 201 and section 260.2 of the Commission's 
regulations.
    Further, NE Hub requests that the Commission grant confidential 
treatment to the cultural resources report that accompanies the 
application.
    The storage and transportation facilities which NE Hub seeks to 
construct and operate will be located in Tioga County, Pennsylvania. 
The storage facilities will consist of underground storage caverns that 
will be developed from a salt bed formation located underneath an 
existing gas storage field that is owned and operated by CNG 
Transmission Corporation (CNG) and North Penn Gas Company (North Penn). 
Each cavern to be developed by NE Hub will have approximately 2.5 to 
3.0 Bcf of working gas capacity. NE Hub requests that the Commission 
authorize NE Hub to leach up to ten salt caverns, construct appurtenant 
facilities to be used to store natural gas, and construct pipeline 
facilities to interconnect the storage caverns with third-party 
pipelines (CNG, Tennessee Gas Pipeline Company and possibly North Penn) 
that currently provide service in interstate commerce.
    While NE Hub is requesting authorization to construct all ten 
caverns in this proceeding, it is requesting that the Commission only 
approve the first two caverns for natural gas storage service at this 
time and that the remaining caverns only be authorized for natural gas 
storage service after NE Hub makes certain filings in the future 
showing, among other things, evidence of market demand for additional 
natural gas storage serine. NE Hub states that the first cavern will be 
available for service for the 1997-98 winter heating season and a 
second cavern will be available for the 1999-2000 winter heating 
season.
    The storage and transportation services to be offered by NE Hub 
will be available on a firm and interruptible basis, based upon terms 
and conditions that are consistent with the requirements of Order No. 
636. The proposed terms and conditions, as well as rate schedules on 
which services will be offered, are included in the pro forma tariff 
attached to the application. NE Hub requests that it be permitted to 
charge and collect market-based rates for these storage and 
transportation services.
    Comment date: December 7, 1995, in accordance with Standard 
Paragraph F at the end of this notice. 

[[Page 58080]]


4. NorAm Gas Transmission Company

[Docket No. CP96-68-000]

    Take notice that on November 14, 1995, NorAm Gas Transmission 
Company (NGT), 1600 Smith Street, Houston, Texas 77002, filed in Docket 
No. CP96-68-000 a request pursuant to Sections 157.205 and 157.211 of 
the Commission's Regulations under the Natural Gas Act (18 CFR 157.205, 
157.211) for authorization to operate facilities under NGT's blanket 
certificate issued in Docket No. CP82-384-000, et al., pursuant to 
Section 7 of the Natural Gas Act, all as more fully set forth in the 
request that is on file with the Commission and open to public 
inspection.
    NGT proposes to operate an existing delivery tap for deliveries to 
ARKLA, a distribution division of NorAm Energy Corporation (ARKLA), for 
ARKLA's service to a customer other than the right-of-way grantor for 
whom the tap was originally installed.
    Comment date: January 2, 1996, in accordance with Standard 
Paragraph G 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, D.C. 
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.
    G. Any person or the Commission's staff may, within 45 days after 
the issuance of the instant notice by the Commission, file pursuant to 
Rule 214 of the Commission's Procedural Rules (18 CFR 385.214) a motion 
to intervene or notice of intervention and pursuant to Section 157.205 
of the Regulations under the Natural Gas Act (18 CFR 157.205) a protest 
to the request. If no protest is filed within the time allowed 
therefore, the proposed activity shall be deemed to be authorized 
effective the day after the time allowed for filing a protest. If a 
protest is filed and not withdrawn within 30 days after the time 
allowed for filing a protest, the instant request shall be treated as 
an application for authorization pursuant to Section 7 of the Natural 
Gas Act.
Lois D. Cashell,
Secretary.
[FR Doc. 95-28638 Filed 11-22-95; 8:45 am]
BILLING CODE 6717-01-P