[Federal Register Volume 66, Number 202 (Thursday, October 18, 2001)]
[Notices]
[Pages 52902-52904]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-26255]


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

DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[Docket No. CP02-4-000]


Northwest Pipeline Corporation; Notice of Application

October 12, 2001.
    Take notice that on October 3, 2001 Northwest Pipeline Corporation 
(Northwest), 295 Chipeta Way, Salt Lake City, Utah, 84158, filed in 
Docket No. CP02-4-000, an application, pursuant to Sections 7(c) and 
7(b) of the Natural Gas Act and Part 157 of the Federal Energy 
Regulatory Commission's regulations for a certificate of public 
convenience and necessity to construct and operate mainline loop and 
compression facilities (referred to as the Evergreen Expansion Project) 
and for permission and approval to abandon certain compression 
facilities, all as more fully set forth in the application which is on 
file with the Commission and open to public inspection. This filing may 
be viewed on the Web at http://www.ferc.gov using the ``RIMS'' link--
select ``Docket #'' and follow the instructions (call (202)208-2222 for 
assistance).
    Specifically, Northwest requests:
    (1) A certificate of public convenience and necessity authorizing 
Northwest to construct and operate: (a) Approximately 27.79 miles of 
36-inch mainline loop in four segments in Skagit, King and Pierce 
Counties, Washington and 83,500 horsepower compression facilities 
(67,150 ISO horsepower net increase plus 16,350 horsepower replacement 
compression) at five existing stations in Whatcom, Skagit, Snohomish, 
Pierce and Lewis Counties, Washington to expand south flow capacity in 
the Sumas, Washington to Chehalis, Washington corridor (``Sumas-
Chehalis Corridor'') by up to approximately 220,514 Dth/d to help 
provide 276,625 Dth/d of long-term, incremental firm transportation 
service under Rate Schedule TF-1, commencing June 1, 2003; (b) 
compression facilities (24,430 ISO horsepower increase) at five 
existing stations in Clark, Skamania, Klickitat and Benton Counties, 
Washington to expand north flow capacity in the Plymouth, Washington to 
Washougal, Washington corridor (``Columbia Gorge Corridor'') by 
approximately 57,000 Dth/d to replace approximately 54,000 Dth/d of 
north flow design day displacement capacity required for existing long-
term Rate Schedule TF-1 service and reduce the operational flow order 
(``OFO'') risks for existing firm services through that corridor; and 
(c) associated system enhancement facilities for existing shippers in 
the Sumas-Chehalis Corridor, consisting of the required lowering of an 
existing segment of partially exposed mainline loop at a stream 
crossing, the required overhaul replacements of two existing turbines, 
tie-ins of two existing laterals to the new loops, and modification of 
an existing mainline valve manifold for north flow operation 
optionality at one of the compressor stations;
    (2) Permission and approval to abandon 16,350 horsepower 
compression facilities that will be replaced by the proposed new 
facilities and to abandon 54,000 Dth/d of existing Rate Schedule TF-1 
north flow design day displacement capacity in the Columbia Gorge 
Corridor that will be replaced by the proposed additional physical 
capacity;
    (3) Approval of levelized, incremental 15-year and 25-year term 
transportation rates, and associated incremental compressor fuel 
reimbursement provisions and factors, for 276,625 Dth/

[[Page 52903]]

d of incremental Rate Schedule TF-1 service in the Sumas-Chehalis 
Corridor;
    (4) An up-front determination that the portions of the Evergreen 
Expansion Project that are designed to benefit existing customers, 
rather than the new incremental transportation shippers, will qualify 
for rolled-in rate treatment; and
    (5) Approval of the proposed regulatory asset accounting treatment 
for the differences between book depreciation for the proposed 
incrementally-priced facilities and the depreciation component of the 
proposed levelized incremental transportation rates.
    As a result of an open season for new firm service in the Sumas-
Chehalis Corridor, Northwest states it entered into long-term 
transportation agreements under Rate Schedule TF-1 with five shippers 
(``Evergreen Shippers''), for a total of 276,625 Dth/d of capacity from 
Sumas, commencing June 1, 2003, with a primary 15-year term for 186,625 
Dth/d and a primary 25-year term for 90,000 Dth/d, with primary 
delivery points at mainline interconnects with new delivery laterals 
that are independently being built to connect new and planned gas-fired 
power plants to Northwest's system in Washington.
    Northwest states that the proposed facilities will provide up to 
approximately 220,514 Dth/d of incremental south flow capacity in the 
Sumas-Chehalis Corridor. The remainder of the capacity required to 
serve the new long-term shippers will be provided by 14,789 Dth/d of 
existing ``long-term'' Sumas to Wyoming capacity that will be 
relinquished as a result of the open season, plus 41,322 Dth/d of 
existing available capacity from Sumas that Northwest has been 
marketing on a short-term basis.
    Further, Northwest states it has agreed, pursuant to a settlement 
agreement between Northwest and most of its major customers, to build 
facilities to reduce its north flow design day displacement capacity 
reliance through the Columbia Gorge Corridor and the customers have 
agreed to support rolled-in rate treatment for the approximately 87% 
portion of such facilities that is not allocable to the Evergreen 
Shippers. Northwest plans to complete the proposed facilities by June 
1, 2003 in the Sumas-Chehalis Corridor and by November 1, 2003 in the 
Columbia Gorge Corridor. Northwest requests that the Commission issue a 
preliminary determination on non-environmental issues by April 2002 and 
a final order in this proceeding by no later than July 2002.
    Northwest states that the estimated total cost of the proposed 
facilities is approximately $239.8 million, comprised of $197.4 million 
for the Sumas-Chehalis Corridor facilities ($194.0 million for 
incremental service plus $3.4 million for existing system reliability/
flexibility enhancements) and $42.4 million for the Columbia Gorge 
Corridor facilities ($5.2 million allocable to the incremental shippers 
plus $37.2 million for existing system displacement capacity 
replacement).
    On a 100% load factor basis and exclusive of surcharges and fuel, 
Northwest's proposed initial incremental rates for the 15-year service 
are $0.41656 per Dth for the June through October 2003 period and 
$0.42721 per Dth thereafter, and the proposed incremental rates for the 
25-year service are $0.39794 per Dth for the first period and $0.40795 
per Dth thereafter. These rates include a $0.03 per Dth volumetric 
charge, with a reservation charge for the remainder. The initial 
incremental compressor fuel in-kind reimbursement factor for the 
Evergreen Shippers is proposed to be 2.15%, plus the then applicable 
system lost and unaccounted for gas factor.
    The portions of the project that are designed to benefit existing 
customers by reducing displacement reliance, mitigating associated OFO 
exposure, and enhancing existing service flexibility and reliability 
are proposed to be treated on a rolled-in basis consistent with 
Commission policy. The illustrative first year, rolled-in rate impact 
is approximately $0.00879 per Dth for Columbia Gorge Corridor 
facilities and approximately $0.00077 per Dth for Sumas-Chehalis 
Corridor facilities.
    Any questions regarding this application should be directed to Mr. 
Gary Kotter, Manager, Certificates, Northwest Pipeline Corporation, 
P.O. Box 58900, Salt Lake City, Utah 84158-0900 or call (801) 584-7117.
    There are two ways to become involved in the Commission's review of 
this project. First, any person wishing to obtain legal status by 
becoming a party to the proceedings for this project should, on or 
before November 2, 2001, file with the Federal Energy Regulatory 
Commission, 888 First Street, NE, Washington, DC 20426, a motion to 
intervene 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 NGA (18 CFR 157.10). A person obtaining party 
status will be placed on the service list maintained by the Secretary 
of the Commission and will receive copies of all documents filed by the 
applicant and by all other parties. A party must submit 14 copies of 
filings made with the Commission and must mail a copy to the applicant 
and to every other party in the proceeding. Only parties to the 
proceeding can ask for court review of Commission orders in the 
proceeding.
    However, a person does not have to intervene in order to have 
comments considered. The second way to participate is by filing with 
the Secretary of the Commission, as soon as possible, an original and 
two copies of comments in support of or in opposition to this project. 
The Commission will consider these comments in determining the 
appropriate action to be taken, but the filing of a comment alone will 
not serve to make the filer a party to the proceeding. The Commission's 
rules require that persons filing comments in opposition to the project 
provide copies of their protests only to the party or parties directly 
involved in the protest.
    Persons who wish to comment only on the environmental review of 
this project should submit an original and two copies of their comments 
to the Secretary of the Commission. Environmental commenters will be 
placed on the Commission's environmental mailing list, will receive 
copies of the environmental documents, and will be notified of meetings 
associated with the Commission's environmental review process. 
Environmental commenters will not be required to serve copies of filed 
documents on all other parties. However, the non-party commenters will 
not receive copies of all documents filed by other parties or issued by 
the Commission (except for the mailing of environmental documents 
issued by the Commission) and will not have the right to seek court 
review of the Commission's final order.
    The Commission may issue a preliminary determination on non-
environmental issues prior to the completion of its review of the 
environmental aspects of the project. This preliminary determination 
typically considers such issues as the need for the project and its 
economic effect on existing customers of the applicant, on other 
pipelines in the area, and on landowners and communities. For example, 
the Commission considers the extent to which the applicant may need to 
exercise eminent domain to obtain rights-of-way for the proposed 
project and balances that against the non-environmental benefits to be 
provided by the project. Therefore, if a person has comments on 
community and landowner impacts from this

[[Page 52904]]

proposal, it is important either to file comments or to intervene as 
early in the process as possible.
    Comments, protests, and interventions may be filed electronically 
via the Internet in lieu of paper. See, 18 CFR 385.2001(a)(1)(iii) and 
the instructions on the Commission's Web site at http://www.ferc.fed.us/efi/doorbell.htm.
    If the Commission decides to set the application for a formal 
hearing before an Administrative Law Judge, the Commission will issue 
another notice describing that process. At the end of the Commission's 
review process, a final Commission order approving or denying a 
certificate will be issued.

David P. Boergers,
Secretary.
[FR Doc. 01-26255 Filed 10-17-01; 8:45 am]
BILLING CODE 6717-01-P