[Federal Register Volume 69, Number 141 (Friday, July 23, 2004)]
[Proposed Rules]
[Pages 43929-43944]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-16478]


 ========================================================================
 Proposed Rules
                                                 Federal Register
 ________________________________________________________________________
 
 This section of the FEDERAL REGISTER contains notices to the public of 
 the proposed issuance of rules and regulations. The purpose of these 
 notices is to give interested persons an opportunity to participate in 
 the rule making prior to the adoption of the final rules.
 
 ========================================================================
 

  Federal Register / Vol. 69, No. 141 / Friday, July 23, 2004 / 
Proposed Rules  

[[Page 43929]]



DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

18 CFR Parts 35, 131, 154, 157, 250, 281, 284, 300, 341, 344, 346, 
347, 348, 375, and 385

[Docket No. RM01-5-000]


Electronic Tariff Filings

July 8, 2004.
AGENCY: Federal Energy Regulatory Commission, DOE.

ACTION: Notice of proposed rulemaking and technical conference.

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SUMMARY: The Federal Energy Regulatory Commission is proposing to 
require that all tariffs and tariff revisions and rate change 
applications for the public utility, natural gas pipeline, and oil 
pipeline industries, be filed electronically via software provided by 
the Commission. Upon the effective date of a final rule in this 
proceeding, the Commission will no longer accept tariff filings 
submitted in paper format. This endeavor is intended to improve the 
administrative convenience for the regulated entities, facilitate 
public access to the tariffs, improve the overall tariff management 
processes, and facilitate the Commission's and the public's analysis of 
proposed tariff changes and tariff filings.
    The Commission will make the proposed tariff filing software 
available on its Web site (http://www.ferc.gov) shortly after this 
Notice of Proposed Rulemaking (NOPR) is issued and is seeking 
participation from the industry in testing the software as well as 
comments on its operation. Commission staff will hold a technical 
conference with the industry and the public to assess the results of 
the testing.

DATES: Comments are due October 4, 2004.

ADDRESSES: Comments may be filed electronically via the eFiling link on 
the Commission's Web site at http://www.ferc.gov. Commenters unable to 
file comments electronically must send an original and 14 copies of 
their comments to: Federal Energy Regulatory Commission, Office of the 
Secretary, 888 First Street, NE., Washington, DC 20426. Refer to the 
Comment Procedures section of the preamble for additional information 
on how to file comments.

FOR FURTHER INFORMATION CONTACT:
H. Keith Pierce (Technical Information), Office of Markets, Tariffs, 
and Rates, Federal Energy Regulatory Commission, 888 First Street, NE., 
Washington, DC 20426. (202) 502-8525, [email protected].
Jamie Chabinsky (Legal Information), Office of the General Counsel, 
Federal Energy Regulatory Commission, 888 First Street, NE., 
Washington, DC 20426. (202) 502-6040, [email protected].
Bolton Pierce (Software Information), Office of Markets, Tariffs, and 
Rates, Federal Energy Regulatory Commission, 888 First Street, NE., 
Washington, DC 20426. (202) 502-8803, [email protected].

SUPPLEMENTARY INFORMATION:

Electronic Tariff Filings; Notice of Proposed Rulemaking

                            Table of Contents
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                                                              Paragraph
                                                                 No.
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I. Background..............................................            3
II. Discussion.............................................           11
    A. Scope...............................................           14
    B. Tariff Sections.....................................           16
    C. Description of the Proposed Tariff Software.........           32
        1. Tariff Creation and Submission..................           33
        2. Tariff Text.....................................           34
        3. Meta Data.......................................           39
        4. Tariff Filing...................................           41
        5. Confidential Information........................           47
        6. Public Access to the Tariffs and Tariff Filings.           48
    D. Proposed Transition Procedures......................           51
    E. Proposed Changes to the Commission Regulations......           59
        1. Notices of Cancellation, Termination, or                   62
         Succession........................................
        2. Withdrawal of Pending Tariff Filings and                   65
         Amendments to Tariff Filings......................
III. Prototype Testing.....................................           71
IV. Comment Procedures.....................................           74
V. Information Collection Statement........................           77
VI. Environmental Analysis.................................           80
VII. Regulatory Flexibility Act Certification..............           81
VIII. Document Availability................................           82
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    1. The Federal Energy Regulatory Commission (Commission) is 
proposing to amend its regulations to mandate that utilities make their 
tariff and rate case filings electronically with the Commission, over 
the Internet, via computer software provided by the Commission. 
Electronically filed tariffs and tariff changes should improve the

[[Page 43930]]

efficiency and administrative convenience of the tariff and tariff 
change filing process, reduce the burden and expense associated with 
paper tariffs and paper tariff changes, facilitate public access to 
tariff information, improve the overall management of the tariff and 
tariff change processes, and facilitate the analysis of proposed tariff 
changes. In addition, electronically filed tariffs should improve 
access and research capabilities within and among applicants' tariffs. 
This feature should help facilitate the Commission's monitoring of 
energy markets, to the benefit of the customers and all involved. It 
also should enhance competition within industries by providing the 
customers and all involved with an electronic means of comparing the 
rates, terms and conditions, and other provisions applicable to the 
regulated entities.
    2. After the issuance of this Notice of Proposed Rulemaking (NOPR), 
the Commission will be posting on its website instructions for 
downloading the proposed software that the utilities will use to make 
their tariff and rate case filings. The Commission encourages utilities 
to download the proposed software to see how the system will operate 
and to participate in the Commission's program for testing the 
software.

I. Background

    3. The Federal government has set a goal to substitute electronic 
means of communication and information storage for paper. For example, 
the Government Paperwork Elimination Act directed agencies to provide 
for the optional use and acceptance of electronic documents and 
signatures, and electronic record-keeping, where practical.\1\ 
Similarly, the Office of Management and Budget (OMB) Circular A-130 
required agencies to use electronic information collection techniques, 
where such means will reduce the burden on the public, increase 
efficiency, reduce costs, and help provide better service.\2\ This 
requirement applies to all filings, including tariff filings.
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    \1\ See 44 U.S.C. 3504(a)(1)(B)(vi); 44 U.S.C. 3504 note, Pub. 
L. 105-277, Sec.  1704 (October 21, 1998).
    \2\ Circular A-130, Para. 8.a.1(k).
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    4. As part of its statutory responsibilities, the Commission 
requires regulated entities to file tariffs which include, among other 
things, their respective rates, and terms and conditions of service.\3\ 
In addition, the Commission regulations require regulated entities that 
are amending tariffs to file material accompanying the proposed tariff 
changes. This material can range from a filing including a letter of 
transmittal, an explanation of the basis of the filing, and a form of 
notice to a full rate case filing, including required schedules 
detailing the derivation of the rates.
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    \3\ A tariff is the compilation of any rates, schedules, rate 
schedules, contracts, application, rule, or similar matter that 
clearly and specifically set forth all rates and charges for any 
services subject to the jurisdiction of this Commission, the 
classifications, practices, rules and regulations affecting such 
rates and charges and all contracts which in any manner affect or 
relate to such rates, charges, classifications, services, rules, 
regulations or practices.
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    5. Currently, gas and electric tariffs are filed at the Commission 
in the form of numbered tariff sheets. When changes to the tariffs are 
necessary, the companies file substitute or revised tariff sheets, 
which supersede the effective tariff sheets on file.\4\ The use of 
tariff sheets as the base unit for the tariff allows for changes to be 
submitted to the Commission without the necessity of refiling the 
entire tariff.
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    \4\ Such tariff pages are frequently identified using the 
following nomenclature, as an example, Third Revised Sheet No. 100, 
superseding Second Revised Sheet No. 100.
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    6. Oil pipeline tariffs do not use the tariff sheet format. The oil 
pipeline tariff format consists of parts identified by item numbers. 
Changes are filed either as complete tariffs \5\ or tariff 
supplements.\6\ The changes being made by the new filing are identified 
by the item number, and can be revisions, insertions, and 
cancellations.
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    \5\ For example, to indicate that a new tariff had been filed to 
supersede an existing tariff, the tariff would state: FERC No. 46 
cancels FERC No. 45.
    \6\ For example, a supplement filed to amend a tariff could be 
identified as: Supplement No. 1 to FERC No. 46.
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    7. The Commission has previously undertaken changes to provide for 
electronic submission of tariff filings and other material. In 1988, 
the Commission required natural gas pipelines to file formatted 
electronic versions of certain tariffs on diskette in addition to 
filing paper copies. These requirements retained the tariff page 
concept. Each pipeline files electronically only the tariff page or 
pages that are being revised. In Order No. 888, the Commission required 
that public utilities submit a complete electronic version of all open 
access transmission tariffs and service agreements in a word processor 
format, with the diskette labeled as to the format (including version) 
used, initially and each time changes are filed. The electronic filing 
requirements do not extend to oil pipelines, which, to this date, are 
required to file only paper copies of their tariffs.
    8. With respect to electronic filings, the Commission, in Order No. 
614, stated that it was initiating a process ``necessary to accommodate 
the movement toward an integrated energy industry and to facilitate the 
development of common standards for the electronic filing of all rate 
schedule sheets.'' \7\ Order No. 614 required public utilities to 
refile their tariffs to comply with new formatting requirements, 
including removing superceded tariff language, extraneous provisions, 
and items that were not subject to Commission jurisdiction.\8\ These 
refilings were to aid public utilities in preparing their tariffs for 
conversion to an electronic format. As another step in moving towards 
electronic filing, the Commission, in Order No. 2001,\9\ eliminated the 
requirement to file paper copies of conforming service agreements, but 
required the filing of an electronic report that summarized the 
contractual terms and conditions in the service agreements.
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    \7\ Designation of Electric Rate Schedule Sheets, Order No. 614, 
65 FR 18221, FERC Stats. & Regs., ] 31,096 at 31,501 (2000).
    \8\ E.g., Boston Edison Company, 98 FERC ] 61,292 (2002).
    \9\ Revised Public Utility Filing Requirements, Order No. 2001, 
67 FR 31043, (May 8, 2002), FERC Stats. & Regs., ] 31,127 (2002).
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    9. At the same time, the Commission has been expanding the scope of 
electronic filing with respect to material filed with the 
Commission.\10\ These regulations permit electronic filing of 
interventions, protests, rehearings, and other material. But, to date, 
they do not include materials filed to revise tariffs, and except as 
discussed above, have not provided for electronic filing of tariffs.
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    \10\ See Electronic Registration, Order No. 891, 67 FR 52406 
(Aug. 12, 2002), FERC Stats. & Regs. ] 31,132 (2002); Electronic 
Filing of FERC Form 1, Order No. 626, 67 FR 36093 (May 23, 2002), 
FERC Stats. & Regs. ] 31,130 (2002); Electronic Service of 
Documents, 66 FR 50591 (Oct. 4, 2001), FERC Stats. & Regs. ] 35,539 
(2001); Revised Public Utility Filing Requirements, Order No. 2001, 
67 FR 31043 (May 8, 2002), FERC Stats. & Regs. ] 31,127 (2002); 
Electronic Filing of Documents, Order No. 619, 65 FR 57088 (Sept. 
21, 2000), FERC Stats. & Regs. ] 31,107 (2000); Electronic 
Notification of Commission Issuances, Notice of Proposed Rulemaking, 
107 FERC ] 61,311 (2004).
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    10. On March 14, 2001, the Commission issued a Notice of Inquiry 
and Informational Conference (NOI) in this proceeding. The NOI 
requested comments, from the electric, gas, oil, and other regulated 
industries that file tariffs, on several specific and general 
issues.\11\ The NOI further provided for the establishment of a staff 
informational conference to discuss the electronic tariff filing 
initiative. The

[[Page 43931]]

NOI requested comments on whether to move to a section-based tariff, 
whether to standardize tariffs, and the electronic format to be used in 
filing tariffs. The conference was held on April 24, 2001, with 
interested members of the public and industry in attendance.\12\ 
Comments on the NOI were filed by the 16 parties listed in Appendix A. 
Most of the commenters responded to the issues in general, with the 
majority opposing any effort to standardize tariffs out of concern 
about unintended tariff changes that could result and the possibility 
that such reorganization could spawn burdensome proceedings to check 
and resolve potential discrepancies.
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    \11\ Electronic Tariff Filings, 66 FR 15673 (March 20, 2001), 
FERC Stats. & Regs. ] 35,538 at 35,789-91 (2001).
    \12\ Notice of the conference was published in the Federal 
Register, 66 FR 17130 (March 29, 2001).
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II. Discussion

    11. This NOPR represents a continuation of the Commission's efforts 
to meet its responsibilities in implementing the goals of the 
legislative and executive branches of the Federal government with 
respect to substituting electronic means of communication and 
information storage for paper means. The benefits of this endeavor for 
all involved, including the regulated industries, the customers, state 
commissions, parties to the proceedings, the Commission and its staff, 
other persons impacted by the tariffs and tariff filings, and the 
general public, are extensive. Thus, the primary justifications for 
this NOPR are to reap the benefits of electronic filing and access and 
to implement the goals of the legislative and executive branches of the 
Federal government with respect to moving towards the electronic filing 
of documents.
    12. The Commission is proposing in this rule to require regulated 
entities filing under parts 35, 154, 284, 300 and 341\13\ to make all 
tariff and rate filings, as well as other material involved in these 
proceedings, electronically.\14\ Requiring the provision of all tariff 
and related material electronically will provide easier access, 
including search and copy and paste functionality, to all such 
material. The Commission is developing its own software to accommodate 
the tariff filings. This software will be distributed via the 
Commission's Web site to all utilities needing to make the filings. In 
order to make their initial tariff compliance filing, regulated 
entities will have to electronically cut and paste their existing 
tariffs into the software in order to submit the material using the 
Internet. As discussed below, the Commission proposes some changes from 
current practice to facilitate electronic filing. The Commission is 
proposing to change from the tariff-sheet format to a section-based 
format, which is better suited to electronic filing.\15\ Also, the 
Commission proposes to standardize the process for withdrawals of 
tariff filings and amendments to tariff filings.
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    \13\ At this time, the Commission is not proposing to include 
pro forma tariffs filed in certificate proceedings under Sec.  7, or 
import/export permission under Sec.  3, of the Natural Gas Act, 
although such filings could be included at a later date. Compliance 
tariff filings pursuant to findings made by the Commission pursuant 
to Sec. Sec.  3 and 7 of the NGA are proposed to be subject to the 
electronic tariff requirements.
    \14\ These filings include, but are not limited to, tariffs, 
rate schedules, and contracts, or parts thereof, and material 
related thereto, cancellation, termination or adoption of tariffs, 
statements, workpapers, responses to data requests, compliance 
filings, and rehearings.
    \15\ Commenters to the NOI objected to requiring a 
reorganization of the tariff structure and the Commission is not 
proposing any reorganization in this NOPR.
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    13. The Commission will discuss below in greater detail the 
mechanism it is proposing.

A. Scope

    14. The companies or entities covered by this NOPR are those that 
submit tariffs, rates, or contracts with the Commission pursuant to the 
Natural Gas Act (NGA), the Natural Gas Policy Act of 1978 (NGPA), the 
Federal Power Act (FPA), the Interstate Commerce Act (ICA), and any 
other relevant statutes. Included among the companies or entities 
proposed to be covered by requirement are: Regional transmission 
organizations (RTOs) and independent system operators (ISOs); power 
authorities and federal power marketing administrations which file 
rates, contracts, or tariffs at the Commission; intrastate natural gas 
pipelines that file rates and operating conditions pursuant to the 
NGPA; interstate natural gas pipelines subject to the NGA which serve 
only an industrial customer; and companies or entities that may make 
voluntary tariff filings, such as reciprocity filings pursuant to Order 
No. 888.
    15. Further, to the extent that the Commission has granted waivers 
to regulated entities with respect to the requirements that they file 
tariffs, rates, rate schedules, and/or contracts in the format required 
by our regulations, the Commission is proposing to rescind such waivers 
with the effectiveness of a final rule in this proceeding. Those 
entities would therefore be required to refile their tariffs, rates, 
rate schedules, and/or contracts consistent with the electronic 
formatting requirements proposed in this NOPR. This includes, for 
example, part 284 negotiated rate contracts that have been filed in 
lieu of a tariff sheet under the Commission's negotiated rate 
policy,\16\ and pipelines serving industrial customers that filed 
transportation contracts.\17\ The Commission's objective is to have all 
tariffs for all companies and industries in the same format and 
available from the same location without the need to go to different 
places depending on the industry or company at issue.
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    \16\ See Natural Gas Pipeline Negotiated Rate Policies and 
Practices, 104 FERC ] 61,134 at P 31-34 (2003); East Tennessee 
Natural Gas Company, 107 FERC ] 61, 197 (2004). Service agreements, 
such as those discussed in ANR Pipeline Company, 106 FERC ] 61,313 
(2004), Columbia Gulf Transmission Company, 96 FERC ] 61,242 and 
61,243 (2001) will be required to be filed as part of the electronic 
tariff.
    \17\ E.g., B-R Pipeline Co., 89 FERC ] 61,312 at 61,955-957 
(1999); Valero Natural Gas Pipeline Co., 82 FERC ] 61,280 at 62,094 
(1998).
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B.Tariff Sections

    16. In order to make the process of referencing and searching 
tariffs easier, the Commission is proposing to replace the traditional 
use of tariff sheets with tariff sections as the basis for making 
tariff revisions. Using the Commission's software, companies will be 
able to file tariff revisions by filing to revise specific tariff 
sections, or by adding or removing tariff sections. As a result 
companies will no longer file tariff supplements to reflect tariff 
revisions,\18\ but instead will directly change the tariff sections.
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    \18\ A tariff supplement is similar to an appendix or codicil 
that reflects revisions to be made to the tariff. Tariff supplements 
are used frequently in oil company tariff filings, and the 
Commission staff will work with individual oil companies to 
determine the easiest and most efficient means of transitioning from 
the use of supplements to the new electronic filing method.
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    17. The concept of the tariff sheet is a hold-over from a paper 
filing world in which revised tariff sheets were filed so that they 
could replace individual pages in a tariff book. In an electronic 
world, there is no longer a need to physically replace pages in a 
tariff book. Instead, electronic filing is much more conducive to 
replacing only the specific tariff section involved in the revision.
    18. The use of tariff sheet filing has, in the past, caused certain 
difficulties in finding tariff provisions. Under the tariff sheet 
method, there are two references to each relevant tariff provision, the 
sheet number (which is the official reference) and the internal section 
number. In pleadings before the Commission, parties frequently refer 
only to the section that is being changed rather than to the official 
tariff sheet. For example, reference is frequently made to General 
Terms and Conditions,

[[Page 43932]]

section 12.1, rather than to the particular tariff sheet on which this 
section is located. Under a tariff sheet method, it can be difficult to 
determine which tariff sheet is being referenced, which in turn makes 
tariff research more difficult.
    19. Another problem with the current system is that a company may 
make multiple filings to change different parts of its tariff language 
or rates on the same tariff page. While these proposed changes are 
pending Commission action, the tariff includes multiple versions of the 
same tariff page, some of which may be effective and others suspended 
and not yet effective. A further problem is that when a paragraph of 
text is added or deleted from one page of the tariff, there can be a 
domino effect on many of the subsequent pages. Unchanged tariff 
provisions are pushed forward or backward on the subsequent tariff 
pages. Thus, the company has to file changes to many subsequent tariff 
pages because their appearance changes even though there are no 
substantive changes on those sheets. This also makes it hard to do 
historical tariff research.
    20. The current tariffs generally include a designation for each 
tariff sheet denoting where that sheet falls in the range of sheets 
that have been filed, e.g., Second Revised Sheet No. 100 indicates that 
two other sheet 100s were filed before that one. The Commission is 
proposing to replace this numbering scheme by simply dating each tariff 
section as it is filed, and identifying which sections are effective, 
proposed, and suspended. Commenters should address whether using such 
date stamps will be sufficient to identify historic tariff provisions.
    21. Tariffs of gas pipelines and public utilities currently employ 
an organizational structure, with a form of outline or section 
numbering, to a single tariff. This structure can be maintained in 
filing section based tariffs, although, as discussed below, the 
Commission requests comment on whether a uniform numbering system 
should be employed across all tariffs or tariffs within an industry. 
Oil pipelines currently file individual tariffs relating to a specific 
movement of oil between specified points, or to a series of related 
movements. The Commission here is proposing that these individual 
tariffs be structured as a single tariff, with sections that refer to 
the individual or related movements.
    22. In comments on the NOI, the Interstate Natural Gas Association 
of America , Gulf South Pipeline Company, LP, Enron Interstate 
Pipelines and the William Companies, Inc. (collectively, INGAA) oppose 
a section-based electronic tariff. INGAA contends that the existing 
page-based system is easy to reference and print. It argues sections 
could easily span multiple printed pages, which is inefficient, and the 
printed tariff would no longer have a common format. INGAA states an 
electronic section-based system will not improve the overall process of 
referencing tariff sections, because paper copies of the tariff will 
still be necessary to maintain and reference, and number of pages in 
those paper versions will increase due to inefficient use of space. 
Further, INGAA maintains tariff sections do not eliminate the issue of 
redesignating sections to reflect the addition of new sections. Thus, 
it argues a section-based tariff offers no improvement in historical 
research, and concludes that the costs of converting to a section-based 
system outweigh the limited benefits. The Association of Oil Pipelines 
and Buckeye Pipe Line Company (collectively, AOPL) support a section-
based tariff for the oil program. Given the current format of oil 
tariffs, AOPL believes a section-based system is appropriate.
    23. While reformatting tariffs in a section-based format will cause 
some additional effort in the initial filing stage, the Commission 
believes that such a change is warranted for the reasons discussed 
above. Continuing with a system of dual referencing to tariff 
provisions causes confusion and makes tariff research more difficult. 
In fact, pipeline companies, when establishing internal tariff cross-
references, use tariff sections as the cross reference and not tariff 
sheet numbers.
    24. INGAA contends that printing sections will be more difficult 
than printing tariff sheets, because a section may require multiple 
pages to print. But this same problem can occur with tariff sheets, 
since in most instances, those using tariffs print the tariff section 
in which they are interested, even if that section covers numerous 
tariff sheets. As to the ability to print a large number of sections 
with a minimum of unused space, that is simply an issue of software 
design which is being examined.
    25. INGAA maintains that moving to a section-based tariff will not 
change the problem of having to redesignate sections as new sections 
are added. As discussed below, the Commission is requesting comment on 
whether under a section-based system, utilities should not be permitted 
to change the initial section numbering of the tariff sheets in order 
to improve the ability to do tariff research.
    26. The Commission requests specific comment on a number of issues 
raised by different section numbering methods.
    27. First, tariffs filed with the Commission currently use 
different section numbering or outlining schemes. Public utility 
tariffs generally number sections using a numeric numbering approach, 
e.g., 1.1.2.3. In contrast the gas pipelines often use a Roman 
outlining approach for each portion of the tariff. For example, the 
General Terms and Conditions (GT&C) portion of the tariff would use 
(a)(2)(i) to identify various tariff provisions within the GT&C. The 
oil pipelines' tariffs frequently utilize only paragraph numbering.
    28. The tariff filing software the Commission is developing can 
handle any document numbering scheme. However, the Commission requests 
comment on whether to adopt a standardized numbering or outlining 
scheme for tariff filings across industries, to adopt a standardized 
scheme within each industry, or to permit each filer to choose its own 
numbering scheme. The use of a numeric scheme, such as 1.1.2, appears 
more consistent with electronic filing, because it can easily 
accommodate the filing of new tariff sections between other sections. 
For example, if there are two sections, 1.1 and 1.2, and a section 
needs to be inserted between those, it can simply be labeled 1.1.1.\19\ 
On the other hand, the Commission recognizes that changing numbering 
schemes could require the utility to go through its tariff to identify 
all cross-references that need to be changed. The Commission requests 
comment from users of tariffs as to whether a uniform numbering and 
citation scheme would be of sufficient use as to warrant the effort 
involved in changing numbering schemes.
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    \19\ Indeed, whatever choice is made, the proposed tariff 
software will be using such a numbering scheme internally to keep 
track of the relationship between labeled sections.
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    29. Second, the Commission requests comment on whether utilities 
should not (except in extreme cases) change the initial numbering of 
tariff provisions. For instance, in adding a tariff section in between 
existing sections, 3.1 and 3.2, the utility should not renumber the 
pre-existing sections, but instead should add a subsection, 3.1.1, or a 
new section, 3.3. Keeping section numbers stable would make historical 
tariff research easier, since a reference in a two-year old order to a 
particular tariff section will still refer to the same section at a 
later point in time, and permit the user to see how the section read at 
the time of the order.

[[Page 43933]]

    30. Third, commenters should address the size of the individual 
sections to be included in the tariff. In other words, should the 
utilities in making their initial filing be required to break their 
tariff into the same sections they currently use, or should they be 
able to file larger or smaller sections. For example, if a utility 
currently breaks its tariff into sections of three levels (1.1.1), 
should it be required to create its initial tariff with at least that 
many levels or should it be able to create larger sections, filing only 
sections of two levels. Decreasing the number of levels would make the 
creation of the initial tariff easier, but on the other hand would make 
each level less specific. This issue will also be examined during the 
testing of the prototype software.
    31. Fourth, commenters should address whether using date stamps to 
reference changes in tariff sections is sufficient or whether the 
existing practice of numbering revisions with designations like Second 
Revised 1.1.2 would provide for more accurate tracking and citation.

C. Description of the Proposed Tariff Software

    32. The Commission will describe in more detail below the way in 
which the tariff software and filing system will operate.
1. Tariff Creation and Submission
    33. The tariff creation and submission modules will be available 
from the Commission's website and downloadable to anyone, free of 
charge. These modules will install on most personal computers that have 
a Microsoft Windows operating system, such as Windows 2000 or XP. The 
Commission expects that, at a minimum, every regulated entity, agent or 
person that submits tariff filings will have to install this software 
after the rule becomes effective. These parties, for the purposes of 
this discussion, will be referred to as the ``client.'' The tariff 
creation and submission software consists of several components. The 
principal components are the actual tariff text; and the data that 
provide information about the tariff section (in this NOPR referred to 
as ``metadata'').
2. Tariff Text
    34. Tariffs consist largely of text. However, either as required by 
Commission regulation or company option, some type of graphic may be 
required, such as a map showing zone boundaries.\20\ Some tariff 
content is best formatted in programs other than a text program, such 
as a table or columns created by a spreadsheet program for tariff 
sections that identify rates or rate tables. The software which the 
Commission provides to the client will be capable of accommodating at 
least these standard electronic formats. Utilities will be expected to 
make all rate case filings using the Commission software.
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    \20\ See 18 CFR 154.106.
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    35. The software the Commission provides to clients will permit the 
regulated entities to create their tariffs in several electronic 
formats, provided such format meets certain criteria. First, the 
electronic tariff text must be in a format that can be cut and pasted 
into the Commission's software. This requirement permits the use of 
virtually every Windows text software including Word, WordPerfect, 
AmiPro, Adobe and dozens of other text programs, spreadsheet programs 
such as Excel and Quattro, presentation software, and many other 
software programs. Material generated on other operating systems, such 
as Apple's or Linux'', in programs with cut and paste capabilities also 
can serve as sources for tariff material. These programs permit the 
tariff creator to create many different text formats. While there is 
never a guarantee that material cut and pasted from one software 
product into another will retain its formatting, most of the formatting 
should transfer. The Commission's tariff creation software will have 
limited text editing capabilities to correct minor problems that may 
occur.
    36. The electronic tariff may not include embedded objects. 
Embedded objects require additional software to access and read that 
the Commission or the public may not have. Further, embedded objects 
are difficult to manage and extract information necessary for other 
required functions, such as word searches of tariffs.
    37. The tariff may include graphics. However, the Commission 
proposes that graphics cannot include any text that cannot be found 
utilizing standard search software.
    38. The formatting requirements for gas pipeline rate case filings 
established in Order No. 582 will continue to apply. In this 
proceeding, the Commission is not proposing similar requirements for 
the other regulated entities; although such changes in filing 
requirements may be proposed in the future in other proceedings. Public 
utilities and oil pipelines can make their rate case filings in any 
format accepted by the Commission's software.
3. Meta Data
    39. Each tariff section has a large amount of data that is 
associated with it that provide information as to whose tariff it is, 
what its origins are, and what its status is. These data will be 
available for viewing along with the tariff sections as an information 
resource to improve understanding about the tariff and tariff sections. 
Some of these data change over time, such as status of the tariff 
section (e.g., proposed, accepted, accepted and suspended, rejected) 
and effective date. The Commission's tariff filing requirements define 
what data is required for a regulated entity to submit a complete 
tariff filing, such as the proposed effective date.
    40. In a paper environment, some data are required to be placed on 
the same sheet as the tariff text, such as the company name and tariff 
name. Other data are maintained elsewhere, such as the date of filing 
or docket number. The Commission proposes to maintain an electronic 
tariff data base that has each of these metadata elements associated 
with every section of the tariff. The software will populate certain 
metadata with default required values (such as company name and filer's 
name), and require the company to populate other required fields, such 
as the proposed effective date.
4. Tariff Filing
    41. Once a regulated entity completes its creation of the tariff 
filing and the supporting documentation, the tariff filing must be 
assembled prior to submission to the Commission's Secretary. The 
Commission's software will provide industry specific tariff filing 
menus for electric, gas or oil filings. The software will permit the 
required and additional supporting documents to be attached as part of 
the tariff filing.
    42. The Commission is not proposing any additional formatting 
requirements for the electronic files, such as spreadsheets or other 
types of documents that contain large amounts of data. Existing 
formatting requirements will continue, such as those established for 
natural gas rate case filings in Order No. 582.\21\ The Commission's 
experience with gas rate case filings shows that in many cases, raw 
data provided in spreadsheets is easier to manipulate than data which 
is formatted for viewing or printing, but

[[Page 43934]]

may not be as legible and easy to read. The Commission invites comments 
on whether to impose requirements with respect to formatting or 
legibility.
---------------------------------------------------------------------------

    \21\ Filing and Reporting Requirements for Interstate Natural 
Gas Company Rate Schedules and Tariffs, Order No. 582, 60 FR 52960 
(Oct. 11, 1995), FERC Stats. & Regs. Regulations Preambles (Jan. 
1991--June 1996) ] 31,025 at 31,434-35 (Sept. 28, 1995).
---------------------------------------------------------------------------

    43. There are some types of files that the Commission currently 
cannot manage as part of a tariff filing. These include video and audio 
files. The Commission will post on its Web site the file types it 
cannot accept as part of a tariff filing. The software will check file 
extensions and provide a warning to the client.
    44. Natural gas pipelines and public utilities will still be 
required to file a marked version of the tariff. Although the tariff 
creation software the Commission provides will have the capability to 
generate marked versions of the tariff, the Commission believes that 
applicants should be responsible for identifying those changes for 
which they are requesting Commission action.
    45. Currently, oil pipelines are required to indicate changes in 
tariff language through the use of symbols. These symbols are part of 
the effective tariff and show where changes occurred from the 
superceded tariff. These symbols may be considered graphics in the 
Commission's software, which could lead to unpredictable results in 
generating a redlined/strikeout version of the tariff. The Commission 
proposes to require oil pipelines to mark tariff changes in the same 
manner as the electric and gas programs.
    46. The Commission's Secretary will receive electronic tariff and 
tariff filings. If the Secretary deems the filing to have satisfied the 
minimal elements for submitting a filing to the Commission, the 
Secretary will assign a docket number and an eLibrary accession number 
to the filing.\22\ The Secretary will then e-mail a response to the 
filing party with that information.
---------------------------------------------------------------------------

    \22\ eLibrary is the Commission's electronic document management 
system.
---------------------------------------------------------------------------

5. Confidential Information
    47. Although most tariff filings do not contain confidential 
information, in some cases such information, including maps or other 
critical energy infrastructure information, may be included. The 
Commission's tariff filing software will contain options for the 
applicants to identify various levels of security as provided by the 
Commission's regulations. Further, the tariff filing submission process 
will abide with all applicable federal laws with regard to filing 
sensitive material with a government agency over the Internet. In cases 
in which confidential information is included, the filer will have to 
file the confidential information and a redacted version of the 
document. In addition, in cases where the confidential information is 
germane to the filing, the filer should have a protective order 
prepared that will permit parties to the case to review such 
information so they can knowledgeably participate in the 
proceeding.\23\
---------------------------------------------------------------------------

    \23\ See 18 CFR 385.214 (5)(i).
---------------------------------------------------------------------------

6. Public Access to the Tariffs and Tariff Filings
    48. Access to tariffs and tariff filings is necessary for the 
public to ascertain a regulated entity's effective rates, terms and 
conditions, and whether they have an interest in a pending proceeding. 
Experience with the electronic gas tariff database also has shown the 
value of providing access to a historical record of past tariff 
sections, and the ability to search using a variety of criteria both 
within a tariff, among tariffs, and within an industry's tariffs.
    49. Currently, the Commission provides the gas program's electronic 
tariffs in two formats from the Commission's Web site. One format, 
FASTR, is the Commission's tariff software and the other format is 
HTML, which can be accessed using a standard web browser such as 
Netscape or Internet Explorer. The FASTR format provides the public and 
natural gas pipelines the same functionality that is available to the 
Commission and access to the same metadata not otherwise shown on the 
tariff sheets. However, this level of access requires downloading the 
FASTR software and a tariff data base. The Commission's posted HTML 
version only reflects the currently effective tariff, without search 
capability and additional metadata information.
    50. The Commission proposes to make the electronic tariff data base 
accessible to the public in a similar manner through its Web site at 
http://www.ferc.gov.

D. Proposed Transition Procedures

    51. The Commission is aiming for a March 1, 2005, effective date 
for the proposed regulations, along with a staggered implementation 
period as described below. Regulated entities, therefore, should take 
this date and the transition process into account in their in-house 
planning process. Since the Commission is making the software for this 
effort available soon after the issuance of this NOPR, the regulated 
entities will have more than half a year to become familiar with the 
software.
    52. The Commission proposes to implement the electronic tariff 
filing in a staggered six month transition process. During this period 
all entities with tariffs on file at the Commission will have to refile 
their existing and effective tariffs in electronic format utilizing the 
Commission's software. This initial filing will be referred to as the 
baseline tariff filing. The baseline tariff filing is to have no other 
proposed changes included in it. Rather, the baseline tariff filing 
will strictly be used for the purpose of putting the existing effective 
tariff into an electronic format using the Commission's software. Any 
other changes to the tariff, which are not specifically mandated by the 
Commission's software, will be rejected. \24\
---------------------------------------------------------------------------

    \24\ For example, since the software will be section-based, as 
opposed to page-based, changes necessary to implement this change 
will be acceptable.
---------------------------------------------------------------------------

    53. The baseline tariff filings will be subject to notice and 
comment to permit customers to ensure that the proposed baseline tariff 
is an accurate duplication of the effective tariff. Protests in the 
baseline tariff proceedings, therefore, will only be considered if they 
involve the issue of whether the baseline tariff reflects an accurate 
duplication of the existing effective tariff. No protests involving 
other issues, such as the merits of various sections of the tariff, 
will be considered. Rather, they will be rejected as being outside the 
scope of the baseline tariff filing proceedings.
    54. If a regulated entity has a pending or suspended tariff change 
filing at the time of the filing of the baseline tariff, the regulated 
entity will not have to file these pending or suspended tariff sections 
as part of the baseline tariff filing. However, the regulated entity 
will be required to identify the proceedings where such tariff changes 
exist. As the Commission acts on pending or suspended tariffs sections, 
the Commission will require the regulated entities to file the accepted 
tariffs in the new electronic format.
    55. The Commission proposes to implement the proposed electronic 
tariff regulations as follows. All new regulated entities filing 
tariffs for the first time from the effective date of the final rule 
must file complete electronic tariffs under the proposed regulations. 
Any regulated entity that wishes to file its baseline tariff in 
accordance with the new regulations after the effective date of the 
final rule, but before the required transition date, is free to do so.
    56. The Commission proposes to require the majority of the 
regulated entities to transition to the new electronic format over a 
six month period, with natural gas pipelines filing in the first eight 
week period, followed by oil pipelines over an eight week

[[Page 43935]]

period, and public utilities, including RTOs and ISOs, as well as Power 
Authorities and Power Marketing Administrations, over a 14 week period. 
The Commission proposes that the gas pipelines proceed first, as their 
tariffs are largely already in an electronic format and they are 
accustomed to filing tariffs with the Commission in an electronic 
format. The Commission proposes that the oil pipelines follow, as their 
tariffs are comparatively small, but are not currently maintained in an 
electronic format. The Commission proposes that the electric entities 
file after the oil filing period ends. With the exception of the OATTs, 
electric tariffs are not maintained in an electronic format. Further, 
the Commission is aware that many public utilities have not made full 
use of their opportunities provided by Order Nos. 614 and 2001. These 
orders provide utilities with an opportunity to purge their tariffs of 
outdated, superceded, unnecessary and no longer required tariff text, 
and to reorganize their tariffs. These changes can reduce the volume of 
tariff sections requiring conversion and resubmission as part of the 
baseline tariff. Placing the electric industry last in the conversion 
process will give them additional time to bring their tariffs up to 
current standards.
    57. The Commission is proposing a compliance period of one year for 
the following: (1) Pipelines which are subject to the NGPA and part 284 
of the Commission's regulations; (2) part 153 natural gas pipelines 
(i.e., natural gas pipelines constructed for import or export 
purposes); (3) industrial natural gas pipelines subject to the NGA that 
filed transportation contracts with the Commission but received waiver 
of having to file these tariffs consistent with part 154 of the 
Commission's regulations; and (4) all other regulated entities that are 
required to file tariffs, rates, or contracts.
    58. All regulated entities with tariffs, including those that 
previously received a waiver of the requirements to file tariffs in the 
formats previously required by the Commission's regulations, will be 
required to file their baseline tariff in electronic format, in 
accordance with the requirements described in this NOPR, but as may be 
changed in the Final Rule.

E. Proposed Changes to the Commission Regulations

    59. The basic changes to the Commission regulations will occur in 
Sec.  35.7 for public utilities, Sec.  154.4 for natural gas pipelines, 
Sec.  284.123 for NGPA Sec.  311 pipelines, and Sec.  341.2 for oil 
pipelines. These regulations would require regulated entities to file 
tariffs and other materials electronically using the software provided 
by the Commission. Once this rule is implemented, utilities will no 
longer be required to file rate cases on paper. In filing documents 
requiring signatures as well as those requiring sworn declarations or 
verifications, the filings will have to comply with the electronic 
signature requirements as the Commission adopts them in Docket No. 
RM04-9-000.\25\ Under these procedures, sworn declarations and oaths 
would have to comply with 28 U.S.C. 1746, which requires that all such 
documents include the following language: ``I declare (or certify, 
verify, or state) under penalty of perjury that the foregoing is true 
and correct. Executed on (date). (Signature).''\26\
---------------------------------------------------------------------------

    \25\ Electronic Notification of Commission Issuances, Notice of 
Proposed Rulemaking, 107 FERC ] 61,311 (2004).
    \26\ 18 U.S.C. 1746.
---------------------------------------------------------------------------

    60. The Commission also is proposing to clean up other regulations 
that are inconsistent with the electronic filing regulations, such as 
language changes to reflect the change from tariff sheets to tariff 
sections and the elimination of paper formatting requirements. In 
addition, miscellaneous changes are being proposed to update outdated 
references and dates (e.g., updating the references from the Offices of 
Pipeline and Electric Power Regulation to Office of Markets, Tariffs, 
and Rates and correcting regulation citations). The Commission has made 
an effort to identify all parts of its tariff filing regulations that 
must be modified to reflect the new electronic tariff filing and tariff 
formatting requirements. The Commission requests that parties 
identifying other sections of the regulations which potentially require 
change bring such potential changes to the attention of the Commission 
in comments submitted regarding this rulemaking, so that such changes, 
if necessary, can be reflected in the Final Rule.
    61. Further, the Commission is proposing changes to the regulations 
regarding notices of cancellation, termination, or succession and 
withdrawal of tariff filings in order to ensure uniform procedures for 
all regulated entities and to better fit with the electronic software 
the Commission will be providing.
1. Notices of Cancellation, Termination, or Succession
    62. Parts 35, 154, and 341 specify different processes for 
canceling, terminating, succeeding, or adopting tariff provisions. 
Section 154.603 provides for a pipeline to provide a notice of 
succession, and then file a tariff within 90 days of the notice. 
Section 341.6 has a slightly more formal procedure in that it requires 
a tariff supplement to the adopted tariff, followed by a formal tariff 
filing within 30 days. Section 35.16 simply provides for a notice of 
succession, but there is no requirement to actually file the succeeded 
tariff in the public utility's own name. This requirement is 
inconsistent with Sec.  35.9, which requires every tariff and tariff 
sheet to be properly associated with the public utility providing the 
service. Sections 154.602 and 341.5 require tariff filings to cancel 
tariffs. However, Sec. Sec.  35.9 and 35.15 have inconsistent 
requirements. Section 35.9 requires a tariff filing that contains a 
cancellation tariff sheet. Section 35.15 only requires notice of 
cancellation.
    63. The Commission proposes to standardize these filing 
requirements. The Commission proposes to require regulated entities 
that propose to cancel, terminate, succeed or adopt tariff changes to 
make a tariff filing which would accompany the proposed tariff change. 
This standardized requirement will render the various notices of 
adoption, succession or termination superfluous.
    64. The Commission proposes to eliminate the grace period contained 
in Sec. Sec.  154.603 and 341.6. Both currently require a filing from 
which the grace period starts. With the Commission's proposed 
electronic tariff, regulated entities will be able to quickly file 
termination and succession tariffs by downloading complete tariffs, 
loading them into a tariff filing that reflects their new data, and 
creating cancellation tariff text for the superceded tariff. Thus, the 
Commission concludes that the current grace period is no longer 
necessary.
2. Withdrawal of Pending Tariff Filings and Amendments to Tariff 
Filings
    65. Currently the electric, gas, and oil programs at the Commission 
have different procedures for withdrawing a tariff filing. For a public 
utility to withdraw a proposed tariff change, the utility must make a 
new tariff filing that amends the underlying tariff filing. This 
withdrawal filing stops the statutory notice period by which the 
Commission must act on the underlying tariff filing and initiates a new 
statutory action date based on the date of the withdrawal filing, and 
requires a Commission order to effectuate the withdrawal of the

[[Page 43936]]

filing.\27\ Filings by gas pipelines to withdraw tariff filings are 
treated as motions to withdraw pleadings pursuant to Sec.  385.216. 
This rule provides that, if the motion has not been protested or the 
Commission does not act to deny the motion within 15 days, then the 
motion is deemed granted. Section 341.13 provides that oil pipelines 
may withdraw any tariff filing that has not gone into effect and 
filings that are subject to investigation upon notice to the 
Commission's Secretary and the parties to the proceeding. The 
Commission's electric and gas regulations do not address amendments to 
tariff filings prior to suspension,\28\ in particular, whether such 
amendments toll the statutory notice dates on which the Commission must 
act before the initial filing becomes effective.
---------------------------------------------------------------------------

    \27\ See Canal Electric Co., 29 FERC ] 61,330 (1984).
    \28\ Sections 35.17 and 154.205 address amendments made after 
suspensions.
---------------------------------------------------------------------------

    66. Tariff withdrawal and amendment filings affect the status of 
tariff proposals, which is information that will be included in the 
tariff filing software. The principal differences exist in the 
approaches taken with respect to electric and gas filings. In order to 
create greater standardization of this process, the Commission proposes 
to revise the process of withdrawing and amending gas and electric 
tariff filings. Such standardization should streamline the withdrawal 
process, to the extent possible, so as to reduce the administrative 
burden for both the regulated entities, the public which uses the 
tariffs, and the Commission.
    67. The Commission does not see the need for public utilities or 
natural gas pipelines to make new tariff filings to effectuate 
withdrawal or a formal Commission order as is now required. The 
Commission therefore is proposing to make withdrawal of public utility 
tariff filings more similar to the approach used for oil and gas 
pipelines.
    68. The Commission proposes to allow a gas pipeline or public 
utility to withdraw in its entirety a rate schedule or tariff filing 
upon which no Commission or delegated order has been issued by filing a 
withdrawal motion with the Commission. The withdrawal will become 
effective, and the filing deemed withdrawn, at the end of 15 days, so 
long as no answer in opposition to the withdrawal motion is filed 
within that period and the Commission has not acted to deny the 
withdrawal motion. If such an answer in opposition is made, the 
withdrawal is not effective until a Commission or delegated order 
accepting the withdrawal is issued. Upon the filing of the withdrawal 
motion, the notice periods of the FPA and NGA will be tolled, so that 
the tariff filing cannot become effective in the absence of Commission 
action. The Commission is also proposing to delegate to the Director of 
the Office of Markets, Tariffs and Rates the authority to take 
appropriate action on contested and uncontested motions to withdraw 
tariff filings filed under parts 35 and 154.
    69. All motions to withdraw pending filings would be filed 
utilizing the Commission's tariff filing software. Filings made 
utilizing this mechanism will ensure that withdrawals become 
automatically effective absent answers in opposition or Commission 
action denying the motion. Also, the software will assist in the 
creation of the necessary data to effect the withdrawal in the tariff 
data base, and create a historical record for that tariff section.
    70. Amendments or modifications to tariff provisions can correct 
minor technical errors in a filing or may have a substantive effect on 
the filing. Because such modifications may have a substantive effect, 
the Commission is proposing that the filing of an amendment or 
modification to a tariff section will toll the period for action on the 
prior filing and establish a new period for action. The Commission, 
however, will continue its past practice of trying to process gas 
amendment filings within the initial 30-day notice period, as long as 
the amendment is not significant or does not create a major substantive 
difference in the tariff proposal.

III. Prototype Testing

    71. After the issuance of this NOPR, the Commission will post on 
its Web site the prototype tariff and tariff filing software. 
Commission staff will work with various regulated entities and 
associations representing the natural gas, electric, and oil industries 
to test and improve the software prototype. The testing will involve 
each of the software's modules, including the installation of the 
software on clients' machines, tariff recreation and modification, 
tariff filings, tariff data base maintenance and verification that the 
Commission's tariff filing and tariff regulations are accurately 
implemented. While the software will be posted and available to 
clients, the Commission will not accept tariffs or tariff filings 
utilizing this software at this time. Nor will the Commission support 
the prototype software for parties who are not part of the testing 
team.
    72. When the Commission staff determines that the software is ready 
for regulated entities to use for beginning the process to create a 
baseline electronic tariff, the Office of the Secretary will provide a 
notice that the tariff software is ready for experimental use, and 
draft instructions will be posted on the Commission's Web site.
    73. Commission staff will hold a technical conference to address 
issues that have arisen during the testing, and any related software 
and electronic format issues. The technical conference should be held 
prior to the date comments are due on this NOPR.

IV. Comment Procedures

    74. The Commission invites interested persons to submit comments on 
the matters and issues proposed in this notice to be adopted, including 
any related matters or alternative proposals that commenters may wish 
to discuss. Comments are due October 4, 2004. Comments must refer to 
Docket No. RM01-5-000, and must include the commenter's name, the 
organization they represent, if applicable, and their address in their 
comments. Comments may be filed either in electronic or paper format.
    75. Comments may be filed electronically via the eFiling link on 
the Commission's Web site at http://www.ferc.gov. The Commission 
accepts most standard word processing formats and commenters may attach 
additional files with supporting information in certain other file 
formats. Commenters filing electronically do not need to make a paper 
filing. Commenters that are not able to file comments electronically 
must send an original and 14 copies of their comments to: Federal 
Energy Regulatory Commission, Office of the Secretary, 888 First 
Street, NE., Washington, DC 20426.
    76. All comments will be placed in the Commission's public files 
and may be viewed, printed, or downloaded remotely as described in the 
Document Availability section below. Commenters on this proposal are 
not required to serve copies of their comments on other commenters.

V. Information Collection Statement

    77. The following collections of information contained in this 
proposed rule have been submitted to the Office of Management and 
Budget (OMB) for review under Sec.  3507(d) of the Paperwork Reduction 
Act of 1995, 44 U.S.C. 3507(d). Comments are solicited on the 
Commission's need for this information, whether the information will 
have practical utility, the accuracy of the provided burden estimates, 
ways to enhance the quality, utility and clarity of the information to 
be collected

[[Page 43937]]

and any suggested methods for minimizing the respondent's burden, 
including the use of automated information techniques.
    78. OMB regulations \29\ require OMB to approve certain information 
collection requirements imposed by agency rule. The information 
collection requirements in this NOPR will be submitted to OMB for 
review.
---------------------------------------------------------------------------

    \29\ 5 CFR 1320.11.
---------------------------------------------------------------------------

    Title: FERC-516: Electric Rate Schedule Filings; FERC-545, Gas 
Pipeline Rates: Rate Change(Non-Formal); FERC-549 Gas Pipeline Rates: 
NGPA Title III and NGA Blanket Certificate Transactions; FERC-550 Oil 
Pipeline Rates: Tariff Filings.
    Action: Proposed Collections.
    OMB Control Nos.: 1902-0096, 1902-0154, 1902-0086, 1902-0089.
    Respondents: Business or other for profit, (public utilities, 
natural gas pipelines and oil pipelines).
    Frequency of respondents: Most tariff filings are made at the 
discretion of the applicant and are a function of their business 
judgment.
    Necessity of Information: This proposed rule, if implemented would 
require that all tariffs be filed electronically in lieu of paper. 
Electronically filed tariffs and rate case filings should improve the 
efficiency of the administrative process for tariff and rate case 
filings, by providing time and resource savings for all stakeholders. 
Respondents should see savings by reducing the number of personnel 
required to assemble and submit paper filings, and a reduction in 
duplication and mailing expenses. Users of the information will be able 
to access the data at lower costs due to efficiencies provided by 
electronic filing and retrieval. Data filed electronically can be 
processed faster than paper filings. This is due in part because 
procedural steps related to verifying the applicant, receiving the 
tariff filing, routing the tariff filing, entering the tariff filing 
into FERC's official record, public tariff maintenance, public access 
to the tariff and tariff filing, and confirming receipt of the tariff 
filing largely can be automated. Also the speed at which tariff filings 
can be processed electronically can increase the integrity of the data 
by speeding the process by which the applicants and public can view the 
filings and identify errors, and facilitating rapid filing of 
corrections. This capability is beneficial as many tariff filings 
involve statutory processing deadlines.
    This proposed rule will assist the Commission in its efforts to 
comply with the Government Paperwork Elimination Act (GPEA) by 
developing the capability to file electronically with the Commission 
via the Internet with uniform formats using software that is readily 
available and easy to use and also achieve the President's Management 
Agenda initiatives of expanding electronic government.
    Estimated Annual Burden: The public reporting burden for these 
information collections has two components. The first impact will be 
the requirement for all regulated entities to refile their complete 
tariffs in the new electronic format. This is a one-time cost that will 
not recur. The Commission's estimate cost for this one-time requirement 
for all three industries is approximately $350,000. This estimate is 
for installing the Commission's software and converting existing 
tariffs into the new electronic format. The Commission's estimates for 
various classes of filer are shown the in following table.

                                          Baseline Tariff Filing Costs
----------------------------------------------------------------------------------------------------------------
                                                                     Number of       Cost per
                         Data Collection                            respondents       tariff        Total cost
----------------------------------------------------------------------------------------------------------------
FERC-516:
    Utilities...................................................             152            $288         $43,836
    Marketers...................................................             984             139         136,415
RTOs/ISOs.......................................................               5           2,057          10,283
FERC-545:
    Small Pipelines.............................................              96             482          46,245
    Large Pipelines.............................................              60             579          34,740
    NGPA........................................................             200             168          33,539
FERC-550 Oil....................................................             200             216          43,225
                                                                 -----------------
    Total.......................................................  ..............  ..............         348,283
----------------------------------------------------------------------------------------------------------------

    The second component of the cost estimate is the impact on 
regulated entities after the proposed regulations go into effect. The 
Commission estimates that the cost savings to the industries of no 
longer having to print, assemble and mail tariff filings to the 
Commission will be approximately $1.4 million per year. This estimate 
does not include additional cost savings that may result should the 
Commission grant requests of regulated entities to electronically 
provide service of their filings.

                                       Going Forward Cost Savings Per Year
----------------------------------------------------------------------------------------------------------------
                                                                   Total number      Cost per       Total cost
                                                                    of filings        filing          savings
----------------------------------------------------------------------------------------------------------------
Oil.............................................................             689             $55         $37,895
Electric........................................................           4,445             203         902,335
Gas.............................................................           2,548             203         517,244
                                                                 -----------------
    Total.......................................................  ..............  ..............       1,457,474
----------------------------------------------------------------------------------------------------------------


[[Page 43938]]

    Internal Review: The Commission has conducted an internal review of 
the public reporting burden associated with this collection of 
information and assured itself, by means of internal review, that there 
is specific, objective support for this information burden estimate. 
Moreover, the Commission has reviewed the collections of information 
proposed by this NOPR and has determined that these collections of 
information are necessary and conform to the Commission's plans, as 
described in this order, for the collection, efficient management, and 
use of the required information.\30\
---------------------------------------------------------------------------

    \30\ See 44 U.S.C. 3506(c).
---------------------------------------------------------------------------

    79. Interested persons may obtain information on the reporting 
requirements by contacting the following: Federal Energy Regulatory 
Commission, 888 First Street, NE., Washington, DC 20426 (Attention: 
Michael Miller, Office of the Executive Director, phone: (202) 502-
8415, fax: (202) 273-0873, e-mail: [email protected]).

VI. Environmental Analysis

    80. 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.\31\ The 
Commission has categorically excluded certain actions from these 
requirements as not having a significant effect on the human 
environment. The actions proposed here fall within categorical 
exclusions in the Commission's regulations for rules that are 
clarifying, corrective, or procedural, for information gathering, 
analysis, and dissemination, and for sales, exchange, and 
transportation of natural gas that requires no construction of 
facilities. Therefore, an environmental assessment is unnecessary and 
has not been prepared in this NOPR.
---------------------------------------------------------------------------

    \31\ Regulations Implementing the National Environmental Policy 
Act, Order No. 486, 52 FR 47897 (Dec. 17, 1987), FERC Stats. & Regs. 
] 30,783 (1987).
---------------------------------------------------------------------------

VII. Regulatory Flexibility Act Certification

    81. The Regulatory Flexibility Act of 1980 (RFA)\32\ generally 
requires a description and analysis of final rules that will have 
significant economic impact on a substantial number of small entities. 
The proposed rule will be applicable to all entities regulated by the 
Commission, a small number of which may be small businesses. The 
Commission finds that the regulations proposed here should not have a 
significant impact on these few small businesses. The regulations only 
require that a small business have a computer, which the vast majority 
already have. The software to file tariffs will be provided for free by 
the Commission. Indeed, by eliminating the requirement to file numerous 
paper copies of tariffs and documents associated with rate filings, 
these regulations are designed to reduce the filing burden on all 
companies, including small businesses. Accordingly, the Commission 
certifies that these regulations will not impose a significant economic 
impact on small businesses and no regulatory flexibility analysis is 
required pursuant to section 603 of the RFA.
---------------------------------------------------------------------------

    \32\ 5 U.S.C. 601-612.
---------------------------------------------------------------------------

VIII. Document Availability

    82. In addition to publishing the full text of this document in the 
Federal Register, the Commission provides all interested persons an 
opportunity to view and/or print the contents of this document via the 
Internet through the Commission's home page at http://www.ferc.gov and 
in the Commission's Public Reference Room during normal business hours 
(8:30 a.m. to 5 p.m. eastern time) at 888 First Street, NE., Room 2A, 
Washington, DC 20426.
    83. From the Commission's home page on the Internet, this 
information is available in the Commission's document management 
system, eLibrary. The full text of this document is available on 
eLibrary in PDF and Microsoft Word format for viewing, printing, and/or 
downloading. To access this document in eLibrary, type the docket 
number excluding the last three digits of this document in the docket 
number field.
    84. User assistance is available for eLibrary and the Commission's 
Web site during normal business hours by contacting FERC Online Support 
at [email protected] or toll-free at 1-866-208-3676 or the 
Public Reference Room at (202) 502-8371, TTY (202) 502-8659 (or e-mail 
the Public Reference Room at [email protected]).

List of Subjects

18 CFR Part 35

    Electric power rates, Electric utilities, Reporting and 
recordkeeping requirements, Electricity, Incorporation by reference.

18 CFR Part 131

    Electric power.

18 CFR Part 154

    Natural gas, Pipelines, Reporting and recordkeeping requirements, 
Natural gas companies, Rate schedules and tariffs.

18 CFR Part 157

    Administrative practice and procedure, Natural gas, Reporting and 
recordkeeping requirements.

18 CFR Part 250

    Natural gas, Reporting and recordkeeping requirements.

18 CFR Part 281

    Natural gas, Reporting and recordkeeping requirements.

18 CFR Part 284

    Continental Shelf, Natural gas, Reporting and recordkeeping 
requirements, Incorporation by reference.

18 CFR Part 300

    Administrative practice and procedure, Electric power rates, 
Reporting and recordkeeping requirements, Electricity.

18 CFR Part 341

    Maritime carriers, Pipelines, Reporting and recordkeeping 
requirements.

18 CFR Part 344

    Pipelines, Reporting and recordkeeping requirements.

18 CFR Part 346

    Pipelines, Reporting and recordkeeping requirements.

18 CFR Part 347

    Pipelines, Reporting and recordkeeping requirements.

18 CFR Part 348

    Pipelines, Reporting and recordkeeping requirements.

18 CFR Part 375

    Authority delegations (Government agencies), Seals and insignia, 
Sunshine Act, Electric power rates, Electric utilities, Reporting and 
recordkeeping requirements.

18 CFR Part 385

    Administrative practice and procedure, Electric power, Penalties, 
Pipelines, Reporting and recordkeeping requirements.

    By direction of the Commission.
Magalie R. Salas,
Secretary.

    In consideration of the foregoing, the Commission proposes to amend 
parts 35, 154, 157, 250, 281, 284, 300, 341, 344, 346, 347, 348, 375 
and 385, Chapter I, Title 18, Code of Federal Regulations, as follows.

[[Page 43939]]

PART 35--FILING OF RATE SCHEDULES AND TARIFFS

    1. The authority citation for part 35 continues to read as follows:

    Authority: 16 U.S.C. 791a-825r, 2601-2645; 31 U.S.C. 9701; 42 
U.S.C. 7101-7352.

    2. Section 35.1 is amended as follows:
    a. In paragraphs (b) and (c) remove all references to 
``supplement''.
    b. In paragraph (c), the reference to ``Notices of Cancellation or 
Termination'' is revised to read ``cancellation or termination''.
    c. Paragraph (a) is revised to read as follows:


Sec.  35.1  Application; obligation to file rate schedules and tariffs.

    (a) Every public utility shall file with the Commission and post, 
in conformity with the requirements of this part, full and complete 
rate schedules and tariffs, as defined in section 35.2(b) and (f), 
clearly and specifically setting forth all rates and charges for any 
transmission or sale of electric energy subject to the jurisdiction of 
this Commission, the classifications, practices, rules and regulations 
affecting such rates and charges and all contracts that in any manner 
affect or relate to such rates, charges, classifications, services, 
rules, regulations or practices, as required by section 205(c) of the 
Federal Power Act (49 Stat. 851; 16 U.S.C. 824 d(c)). Where two or more 
public utilities are parties to the same rate schedule, each public 
utility transmitting or selling electric energy subject to the 
jurisdiction of this Commission shall post and file such rate schedule, 
or the rate schedule may be filed by one such public utility on behalf 
of all other parties having an obligation to file; the concurrence of 
other parties must also be filed.
* * * * *
    3. Section 35.2 is amended as follows:
    a. In paragraph (b), remove footnote 1.
    b. In paragraph (d), remove the phrase ``or schedules''.
    c. Add paragraph (f) to read as follows:


Sec.  35.2  Definitions.

* * * * *
    (f) Tariff. A ``tariff'' is the compilation of any rates, 
schedules, rate schedules, contracts, applications, rules, or similar 
matters clearly and specifically setting forth all rates, charges, and 
terms and conditions for any transmission or sale of electric energy 
subject to the jurisdiction of this Commission, the classifications, 
practices, rules and regulations affecting such rates, charges, and 
terms and conditions, and all contracts that in any manner affect or 
relate to such rates, charges, terms and conditions, classifications, 
services, rules, regulations or practices.
    4. Section 35.7 is revised to read as follows:


Sec.  35.7  Electronic filing requirements.

    (a) General rule. All filings made in proceedings initiated under 
this part must be made electronically, including tariffs, rate 
schedules, and contracts, or parts thereof, and material related 
thereto, cancellation, termination or adoption of tariffs, statements, 
workpapers, responses to data requests, compliance filings, and 
rehearings. Paper submittals are not required to be filed.
    (b) Requirement for Signature. All filings must be signed in 
compliance with the following:
    (1) The signature on a filing constitutes a certification that: the 
contents are true and correct to the best knowledge and belief of the 
signer; and that the signer possesses full power and authority to sign 
the filing.
    (2) A filing must be signed by one of the following:
    (i) The person on behalf of whom the filing is made;
    (ii) An officer, agent, or employee of the company, governmental 
authority, agency, or instrumentality on behalf of which the filing is 
made; or,
    (iii) A representative qualified to practice before the Commission 
under Sec.  385.2101 of this chapter who possesses authority to sign.
    (3) All signatures on the filing or any document included in the 
filing must comply, where applicable, with the requirements in Sec.  
385.2005 of this chapter with respect to sworn declarations or 
statements and electronic signatures.
    (d) Format Requirements for Electronic Filing. The requirements and 
formats for electronic filing are listed in instructions for electronic 
filing and for each form. These formats are available on the Internet 
at http://www.ferc.gov and can be obtained at the Federal Energy 
Regulatory Commission, Public Information and Reference Branch, 888 
First Street, NE., Washington, DC 20426.
    5. Section 35.9 is removed and reserved.
    6. Section 35.10 is revised to read as follows:


Sec.  35.10  Filing a marked version of rate schedule or tariff 
changes.

    At the time a public utility files with the Commission and posts 
under this part to supersede or otherwise change the provisions of a 
rate schedule or tariff previously filed with the Commission under this 
part, in addition to the other requirements of this part, it must file 
and post a marked version of the tariff sections to be changed showing 
additions and deletions. The new language must be marked by highlight, 
background shading, bold text, or underlined text. Deleted language 
must be marked by strike-through.
    7. In Sec.  35.10a(b), the reference to ``Sec.  35.10(b)'' is 
revised to read ``Sec.  35.7''.
    8. In Sec.  35.11, the reference to ``purchasers under other rate 
schedules'' is revised to read ``purchasers under other rate schedules 
or tariff provisions''.
    9. In Sec.  35.12, the section heading and the last sentence of 
paragraph (a) are revised to read as follows:


Sec.  35.12  Filing of rate schedules and tariffs.

    (a) * * * In the case of coordination and interchange arrangements 
in the nature of power pooling transactions, all supporting data 
required to be submitted in support of a rate schedule filing shall 
also be submitted by all parties to the arrangement, or a 
representative to file supporting data on behalf of all parties may be 
designated as provided in Sec.  35.1.
* * * * *
    10. Amend Sec.  35.13 as follows:
    a. In paragraph (a) introductory text, remove the reference to 
``supplement,''.
    b. In paragraph (c)(1) introductory text, remove the reference to 
``or supplemented''.
    c. In paragraph (f), the reference to ``each party filing a 
certificate of concurrence'' is revised to read ``each concurring 
party''.
    d. Revise the section heading, and add a sentence to the end of 
paragraphs (a)(2)(i)(F) and paragraph (a)(3) to read as follows:


Sec.  35.13  Filing of changes in rate schedules and tariffs.

    (a) * * *
    (2) * * *
    (i) * * *
    (F) * * * These filings must be made electronically in conformance 
with the electronic filing instructions.
* * * * *
    (3) * * * These filings must be made electronically in conformance 
with the electronic filing instructions.
* * * * *
    11. In Sec.  35.15, the first sentence of paragraph (a) is revised 
to read as follows:


Sec.  35.15  Notices of cancellation or termination.

    (a) General rule. When a rate schedule or tariff or part thereof 
required to be on file with the Commission is proposed to be cancelled 
or is to terminate by its own terms and no new rate schedule or

[[Page 43940]]

tariff or part thereof is to be filed in its place, each party required 
to file the rate schedule or tariff shall notify the Commission of the 
proposed cancellation or termination by filing a cancellation tariff 
section at least sixty days but not more than one hundred-twenty days 
prior to the date such cancellation or termination is proposed to take 
effect.* * *
* * * * *
    12. In Sec.  35.16, the reference to ``on the form indicated in 
Sec.  131.51 of this chapter'' is revised to read ``with a tariff 
consistent with the electronic filing requirements in Sec.  35.7''.
    13. Section 35.17 is amended as follows:
    a. Paragraphs (a), (b), and (c) are redesignated (c), (d), and (e), 
respectively.
    b. The section heading is revised and paragraphs (a) and (b) are 
added to read as follows:


Sec.  35.17  Withdrawals and amendments of rate schedules or tariff 
filings.

    (a) Withdrawals of rate schedule or tariff filings prior to 
Commission action. (1) A public utility may withdraw in its entirety a 
rate schedule or tariff filing upon which no Commission or delegated 
order has been issued by filing a withdrawal motion with the 
Commission. Upon the filing of such motion, the proposed rate schedule 
or tariff sections will not become effective under section 205(d) of 
the Federal Power Act in the absence of Commission action making the 
rate schedule or tariff filing effective.
    (2) The withdrawal motion will become effective, and the rate 
schedule or tariff filing will be deemed withdrawn, at the end of 15 
days from the date of filing of the withdrawal motion, if no answer in 
opposition to the withdrawal motion is filed within that period and if 
no order disallowing the withdrawal is issued within that period. If an 
answer in opposition is filed within the 15 day period, the withdrawal 
is not effective until an order accepting the withdrawal is issued.
    (b) Amendments or modifications to rates or tariff sections prior 
to Commission action on the filing. A public utility may file to amend 
or modify a rate or tariff section contained in a rate schedule or 
tariff filing upon which no Commission or delegated order has yet been 
issued. Such filing will toll the notice period in section 205(d) of 
the Federal Power Act for the original filing, and establish a new date 
on which the entire filing will become effective, in the absence of 
Commission action, no earlier than 61 days from the date of the filing 
of the amendment or modification.
* * * * *


Sec.  35.21  [Amended]

    14. In Sec.  35.21, in footnote 5, remove the reference to 
``footnote 1 to''.
    15. In Sec.  35.28, a last sentence is added to paragraph (e)(1) 
introductory text to read as follows:


Sec.  35.28  Non-discriminatory open access transmission tariff.

* * * * *
    (e) * * *
    (1) * * * These tariff filings must be made in accordance with the 
requirements of Sec.  35.7.
* * * * *
    16. In Sec.  35.30, a last sentence is added to paragraph (c) to 
read as follows:


Sec.  35.30  General Provisions.

* * * * *
    (c) * * * These tariff filings must be made in accordance with the 
requirements of Sec.  35.7.


Sec. Sec.  35.1, 35.2, 35.4, 35.6, 35.11, 35.12, 35.13, and 
35.17  [Amended]

    17. In addition to the amendments set forth above, in 18 CFR part 
35, the following nomenclature changes are made to the sections 
indicated:
    a. In Sec. Sec.  35.1(b) and (c), 35.2(c), (d) and (e), 35.4, 35.6, 
35.11, 35.12(a), 35.13(a), 35.13(a)(1), 35.13(a)(2)(iii), 35.13(b)(1), 
35.13(c)(1), 35.17(c), 35.17(d), and 35.17(e), all references to ``rate 
schedule'' are revised to read ``rate schedule or tariff''.
    b. In the headings of Sec. Sec.  35.17(c), 35.17(d), and 35.17(e), 
all references to ``rate schedules'' are revised to read ``rate 
schedules or tariffs''.
    c. In Sec. Sec.  35.2(c), 35.13(a)(3), all references to ``Director 
of the Office of Electric Power Regulation'' are revised to read `` 
Director of the Office of Markets, Tariffs, and Rates''.

PART 131--FORMS

    18. The authority citation for part 131 continues to read as 
follows:

    Authority: 16 U.S.C. 791a-825r, 2601-2645; 31 U.S.C. 9701; 42 
U.S.C. 7101-7352.

Sec. Sec.  131.51, 131.52, and 131.53  [Removed]

    19. Sections 131.51, 131.52, and 131.53 are removed.

PART 154--RATE SCHEDULES AND TARIFFS

    20. The authority citation for part 154 continues to read as 
follows:

    Authority: 15 U.S.C. 717-717w; 31 U.S.C. 9701; 42 U.S.C. 7102-
7352.

    21. In Sec.  154.2, paragraph (b) is amended by removing the phrase 
``either in book form or''.
    22. Section 154.4 is revised to read as follows:


Sec.  154.4  Electronic filing of tariffs and related materials.

    (a) General rule. All filings made in proceedings initiated under 
this part must be made electronically, including tariffs, rate 
schedules, and contracts, or parts thereof, and material related 
thereto, cancellation, termination or adoption of tariffs, statements 
filed pursuant to subpart D of this part, workpapers, responses to data 
requests, compliance filings, and rehearings. Paper submittals are not 
required to be filed.
    (b) Requirement for signature. All filings must be signed in 
compliance with the following:
    (1) The signature on a filing constitutes a certification that the 
contents are true to the best knowledge and belief of the signer, and 
that the signer possesses full power and authority to sign the filing.
    (2) A filing must be signed by one of the following:
    (i) The person on behalf of whom the filing is made;
    (ii) An officer, agent, or employee of the company, governmental 
authority, agency, or instrumentality on behalf of which the filing is 
made; or,
    (iii) A representative qualified to practice before the Commission 
under Sec.  385.2101 of this chapter who possesses authority to sign.
    (3) All signatures on the filing or any document included in the 
filing must comply, where applicable, with the requirements in Sec.  
385.2005 of this chapter with respect to sworn declarations or 
statements and electronic signatures.
    (c) Format requirements for electronic filing. The requirements and 
formats for electronic filing are listed in instructions for electronic 
filing and for each form. These formats are available on the Internet 
at http://www.ferc.gov and can be obtained at the Federal Energy 
Regulatory Commission, Public Information and Reference Branch, 888 
First Street, NE., Washington, DC 20426.


Sec.  154.5  [Amended]

    23. Amend Sec.  154.5 as follows:
    a. Remove the words ``Pipeline Regulation'' and add in their place 
the words ``Markets, Tariffs and Rates''.
    b. The reference to ``(b)(2)'' is revised to read ``(f)(2)''.

[[Page 43941]]

Sec. Sec.  154.101, 154.102, and 154.102  [Removed and Reserved]

    24. Sections 154.101, 154.102, and 154.104 are removed and 
reserved.


Sec.  154.106  [Amended]

    25. In Sec.  154.106, paragraph (b) is removed and reserved.


Sec.  154.112  [Amended]

    26. Amend Sec.  154.112 as follows:
    a. In paragraph (a) remove the word ``page'' and add in its place 
``section''.
    b. In paragraph (a) remove the phrase ``or insert sheets'' and add 
in its place ``tariff sections''.


Sec.  154.201  [Amended]

    27. Amend Sec.  154.201 as follows:
    a. Amend paragraph (a) to remove the references to ``pages'' and 
add in its place ``tariff sections''.
    b. Amend paragraph (a) to remove the words ``each copy of''.
    28. Section 154.205 is amended as follows:
    a. Paragraphs (a), (b), and (c) are redesignated (c), (d), and (e), 
respectively.
    b. The section heading is revised and paragraphs (a) and (b) are 
added to read as follows:


Sec.  154.205  Withdrawals and amendments of tariff filings and 
executed service agreements.

    (a) Withdrawals of tariff filings or service agreements prior to 
Commission action. (1) A natural gas company may withdraw in its 
entirety a tariff filing or executed service agreement upon which no 
Commission or delegated order has been issued by filing a withdrawal 
motion with the Commission. Upon the filing of such motion, the 
proposed tariff sections or service agreements will not become 
effective under section 4(d) of the Natural Gas Act in the absence of 
Commission action making the rate schedule or tariff filing effective.
    (2) The withdrawal motion will become effective, and the rate 
schedule or tariff filing will be deemed withdrawn, at the end of 15 
days from the date of filing of the withdrawal motion, if no answer in 
opposition to the withdrawal motion is filed within that period and if 
no order disallowing the withdrawal is issued within that period. If an 
answer in opposition is filed within the 15 day period, the withdrawal 
is not effective until an order accepting the withdrawal is issued.
    (b) Amendments or modifications to tariff sections or service 
agreements prior to Commission action on a tariff filing. A natural gas 
company may file to amend or modify a tariff or service agreement 
contained in a tariff filing upon which no Commission or delegated 
order has yet been issued. Such filing will toll the notice period in 
section 4(d) of the Natural Gas Act for the original filing, and 
establish a new date on which the entire filing will become effective, 
in the absence of Commission action, no earlier than 31 days from the 
date of the filing of the amendment or modification.
* * * * *


Sec.  154.402  [Amended]

    29. In Sec.  154.402, paragraph (b)(1) is amended to replace the 
word ``schedules'' with the words ``rate schedules''.


Sec.  154.602  [Amended]

    30. Section 154.602 is amended by removing the phrase ``on the form 
indicated in Sec.  250.2 or Sec.  250.3 of this chapter, whichever is 
applicable'' and add in its place the phrase ``tariff filing in the 
electronic format required by Sec.  154.4''.
    31. Section 154.603 is revised as follows:


Sec.  154.603  Adoption of the tariff by a successor.

    Whenever the tariff or contracts of a natural gas company on file 
with the Commission is to be adopted by another company or person as a 
result of an acquisition, or merger, authorized by a certificate of 
public convenience and necessity, or for any other reason, the 
succeeding company must file with the commission, and post within 30 
days after such succession, a tariff filing in the electronic format 
required by Sec.  154.4 bearing the name of the successor company.


Sec. Sec.  154.7, 154.111, 154.202, 154.206, 154.208, 154.402, and 
154.403  [Amended]

    32. In addition to the amendments set forth above, in 18 CFR part 
154, the following nomenclature changes are made to the sections as 
amended:
    a. In Sec. Sec.  154.7(a)(5), 154.111(c), 154.202 (b), 154.206(a), 
154.208(a), all references to ``sheets'' are revised to read 
``sections''.
    b. In Sec. Sec.  154.402(b), 154.402(b)(3), 154.403(b), all 
references to ``sheet'' are revised to read ``section''.

PART 157--APPLICATIONS FOR CERTIFICATES OF PUBLIC CONVENIENCE AND 
NECESSITY AND FOR ORDERS PERMITTING AND APPROVING ABANDONMNENT 
UNDER SECTION 7 OF THE NATURAL GAS ACT

    33. The authority citation for part 157 continues to read as 
follows:

    Authority: 15 U.S.C. 717-717w, 3301-3432; 42 U.S.C. 7101-7352.

    34. Amend Sec.  157.217 by adding a sentence to the end of 
paragraph (a)(4) to read as follows:


Sec.  157.217  Changes in rate schedules.

    (a) * * *
    (4) * * * This tariff filing must be filed in the electronic format 
required by Sec.  154.4 of this chapter.
* * * * *

PART 250--FORMS

    35. The authority citation for part 250 continues to read as 
follows:

    Authority: 15 U.S.C. 717-717w; 3301-3432; 42 U.S.C. 7101-7352.


Sec. Sec.  250.2, 250.3, and 250.4  [Removed and Reserved]

    36. Sections 250.2, 250.3, and 250.4 are removed and reserved.

PART 281--NATURAL GAS CURTAILMENT UNDER THE NATURAL GAS POLICY ACT 
OF 1978

    37. The authority citation for part 281 continues to read as 
follows:

    Authority: 15 U.S.C. 717-717w; 3301-3432; 16 U.S.C. 2601-2645; 
42 U.S.C. 7101-7352.
    38. In Sec.  281.204, the first sentence in paragraph (a) is 
revised to read as follows:


Sec.  281.204  Tariff filing requirements.

    (a) General Rule. Each interstate pipeline listed in Sec.  281.202 
shall file tariff sheets, in accordance with Sec.  154.4 of this 
chapter, including an index of entitlements, which provides that if the 
interstate pipeline is in curtailment, natural gas will be delivered in 
accordance with the provisions of this subpart.* * *
* * * * *


Sec. Sec.  281.204, 281.212, 281.213  [Amended]

    39. In addition to the amendments set forth above, in 18 CFR part 
281, the following nomenclature changes are made to the sections as 
amended:
    a. In Sec. Sec.  281.204 (a), 281.212 (a), 281.212 (b), 281.212 
(c), 281.213 (b), 281.213 (d), 281.213 (e), all references to 
``sheets'' are revised to read as ``sections''.
    b. In Sec.  281.212, the section heading is amended to remove the 
reference to ``sheets'' and add in its place ``sections.''

[[Page 43942]]

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

    40. The authority for part 284 continues to read as follows:

    Authority: 15 U.S.C. 717-717w; 3301-3432; 42 U.S.C. 7101-7352; 
43 U.S.C. 1331-1356.


Sec.  284.8  [Amended]

    41. In Sec.  284.8, paragraph (i) is removed.
    42. In Sec.  284.123, the heading of paragraph (e)(1), paragraph 
(e)(2), and paragraph (f) are added to read as follows:


Sec.  284.123  Rates and charges.

* * * * *
    (e) Filing requirements. (1) Information to be filed.* * *
    (2) Form of filing. The filed statement must contain rates and 
operating conditions for each rate schedule. Additional sections such 
as forms of service agreements may be added where applicable. Each rate 
schedule must be separately designated. Each rate scheduled and section 
of the operating conditions must be numbered for convenient reference.
    (f) Electronic filing of statements, and related materials. (1) 
General Rule. All filings made in proceedings initiated under this part 
must be made electronically, including rates and charges, or parts 
thereof, and material related thereto, statements, and all workpapers. 
Paper submittals are not required to be filed.
    (2) Requirements for Signature. All filings must be signed in 
compliance with the following:
    (i) The signature on a filing constitutes a certification that the 
contents are true to the best knowledge and belief of the signer, and 
that the signer possesses full power and authority to sign the filing.
    (ii) A filing must be signed by one of the following:
    (A) The person on behalf of whom the filing is made;
    (B) An officer, agent, or employee of the company, governmental 
authority, agency, or instrumentality on behalf of which the filing is 
made; or,
    (C) A representative qualified to practice before the Commission 
under Sec.  385.2101 of this chapter who possesses authority to sign.
    (iii) All signatures on the filing or any document included in the 
filing must comply, where applicable, with the requirements in Sec.  
385.2005 of this chapter with respect to sworn declarations or 
statements and electronic signatures.
    (3) Format requirements for electronic filing. The requirements and 
formats for electronic filing are listed in instructions for electronic 
filing and for each form. These formats are available on the Internet 
at http://www.ferc.gov and can be obtained at the Federal Energy 
Regulatory Commission, Public Information and Reference Branch, 888 
First Street, NE., Washington, DC 20426.

PART 300--CONFIRMATION AND APPROVAL OF THE RATES OF FEDERAL POWER 
MARKETING ADMINISTRATIONS

    43. The authority citation for part 300 continues to read as 
follows:

    Authority: 16 U.S.C. 825s, 832-8321, 838-838k, 839-839h; 42 
U.S.C. 7101-7352; 43 U.S.C. 485-485k.
    44. Section 300.10 is amended as follows:
    a. In paragraph (h)(2), the reference to ``Electric Power 
Regulation'' is revised to read ``Markets, Tariffs and Rates''.
    b. Add paragraph (a)(4) to read as follows:


Sec.  300.10  Application for confirmation and approval.

    (a) * * *
    (4) Electronic Filing. All material must be filed electronically in 
accordance with the requirements of Sec.  35.7 of this chapter. Paper 
submittals are not required to be filed.
* * * * *

PART 341--OIL PIPELINE TARIFFS: OIL PIPELINE COMPANIES SUBJECT TO 
SECTION 6 OF THE INTERSTATE COMMERCE ACT

    45. The authority citation for part 341 continues to read as 
follows:

    Authority: 42 U.S.C. 7101-7352; 49 U.S.C. 1-27.


Sec.  341.0  [Amended]

    46. Amend Sec.  341.0 as follows:
    a. In paragraph (a)(11), remove the words ``pages and supplements'' 
and add in their place ``sections''.
    b. Paragraph (b)(3) is removed and reserved.
    47. Section 341.1 is revised to read as follows:


Sec.  341.1  Electronic filing of tariffs and related materials.

    (a) General rule. All filings made in proceedings initiated under 
this part must be made electronically, including tariffs, rate 
schedules, and contracts, or parts thereof, and material related 
thereto, cancellation, termination or adoption of tariffs, statements, 
workpapers, responses to data requests, compliance filings, and 
rehearings. Paper submittals are not required to be filed.
    (b) Requirement for signature. All filings must be signed in 
compliance with the following:
    (1) The signature on a filing constitutes a certification that the 
contents are true to the best knowledge and belief of the signer, and 
that the signer possesses full power and authority to sign the filing.
    (2) A filing must be signed by one of the following:
    (i) The person on behalf of whom the filing is made;
    (ii) An officer, agent, or employee of the company, governmental 
authority, agency, or instrumentality on behalf of which the filing is 
made; or,
    (iii) A representative qualified to practice before the Commission 
under Sec.  385.2101 of this chapter who possesses authority to sign.
    (3) All signatures on the filing or any document included in the 
filing must comply, where applicable, with the requirements in Sec.  
385.2005 of this chapter with respect to sworn declarations or 
statements and electronic signatures.
    (c) Format requirements for electronic filing. The requirements and 
formats for electronic filing are listed in instructions for electronic 
filing and for each form. These formats are available on the Internet 
at http://www.ferc.gov and can be obtained at the Federal Energy 
Regulatory Commission, Public Information and Reference Branch, 888 
First Street, NE., Washington, DC 20426.
    48. Section 341.2 is amended as follows:
    a. In paragraph (c)(1) the phrase ``tariffs or supplement numbers'' 
is revised to read ``tariff sections''.
    b. Paragraph (c)(3) is removed.
    c. Paragraph (a) is revised to read as follows:


Sec.  341.2  Filing requirements.

    (a) Service of filings. Carriers must serve a copy of the tariff 
publication and any tariff justification to each shipper and subscriber 
consistent with Sec. Sec.  385.2010 of this chapter.
* * * * *
    49. Section 341.3 is amended as follows:
    a. Paragraphs (b)(2) and (c) are removed.
    b. Paragraphs (b)(3) through (b)(11) are redesignated paragraphs 
(b)(2) through (b)(10).
    c. Paragraphs (a), (b) introductory text, (b)(1), (b)(5)(ii), 
(b)(5)(iv), (b)(5)(v), (b)(9) and the section heading are revised to 
read as follows:

[[Page 43943]]

Sec.  341.3  Format of tariff publication.

    (a) Structure of tariff. Each carrier's tariff publication must be 
structured so that the rates for movements, rules and regulations, and 
other information are contained in sections of a single tariff 
addressing each of the carrier's movements.
    (b) Contents of tariff. All major tariff sections must contain the 
following information:
    (1) General information. (i) The number designation of the section, 
numbered consecutively, and the number designation of the section that 
is canceled, if any, under it;
    (ii) The type of rates, e.g., local, joint, or proportional, and 
the commodity to which the tariff or section applies, e.g., crude, 
petroleum product, or jet fuel;
    (iii) Governing sections, e.g., separate ``rules and regulations'' 
tariffs or sections, if any;
    (iv) The specific Commission order pursuant to which the tariff or 
section is issued;
    (v) The issue date;
    (vi) The expiration date, if applicable;
    (vii) The name of the issuing officer or duly appointed official 
issuing the relevant section, the complete street and mailing address 
of the carrier, and the name and phone number of the individual 
responsible for compiling the tariff publication.
* * * * *
    (5) * * *
    (ii) Each rule must be given a separate number, and the title of 
each rule must be shown in distinctive font.
* * * * *
    (iv) Rules may be separately published in a general rules section 
when it is not desirable or practicable to include the governing rules 
in the rate section. Rate sections that do not contain rules must make 
specific reference to the governing general rules section.
    (v) When joint rate tariffs or sections refer to a separate 
governing rules section, such separate tariff must be concurred in by 
all joint carriers.
* * * * *
    (9) Changes to be indicated in tariff. (i) A marked version of the 
tariff sections to be changed or superseded showing additions and 
deletions. All new numbers and text must be marked by either highlight, 
background shading, bold, or underline. Deleted text and numbers must 
be indicated by a strike-through. A marked version of the tariff 
sections to be changed must be included in each copy of the filing 
required by these regulations.
    (ii) When a tariff publication that cancels a previous tariff 
publication does not include points of origin or destination, or rates, 
rules, or routes that were contained in the prior tariff publication, 
the new tariff publication must indicate the cancellation.
* * * * *
    50. Section 341.4 is revised to read as follows:


Sec.  341.4  Postponing the effective date of a pending tariff.

    Tariff filings postponing the effective date of pending tariffs 
must be filed prior to the proposed effective date of the filing. A 
postponement tariff filing may not postpone the effective date for more 
than 30 days. Postponements must be filed in conformance with Sec.  
341.1.
    51. Section 341.5 is revised to read as follows:


Sec.  341.5  Cancellation of tariffs.

    Carriers must cancel prior tariffs when the tariffs are reissued. 
If the service in connection with the tariff is no longer in interstate 
commerce, the tariff publication must so state. Cancellation of tariffs 
must be filed in accordance with the requirements of Sec.  341.1.
    52. In Sec.  341.6, paragraph (b) is amended to remove the last 
sentence, and paragraphs (c) and (d) are revised to read as follows:


Sec.  341.6  Adoption rule.

* * * * *
    (c) Change of name. When a carrier changes its legal name, the 
carrier must file revised tariffs incorporating the name change.
    (d) Adoption. When the ownership of a carrier's properties is 
transferred in whole or in part to another carrier, the adopting and 
former carrier must comply with the following:
    (1) The adopting carrier must file and post a revised tariff that 
reflects the transfer and indicates whether the rates remain unchanged 
after the transfer; and
    (2) The former owner must immediately file revisions to its tariff 
or applicable sections covered by the adoption that states that the 
movement is transferred, names the adopting carrier, and specifies the 
tariff section where it can be found in the adopting carrier's tariff.
    53. Section 341.7 is removed and reserved.
    54. In Sec.  341.9, paragraph (f) is removed and paragraph (e) is 
revised to read as follows:


Sec.  341.9  Index of tariffs.

* * * * *
    (e) Updating. The index must be kept current by tariff section 
filings pursuant to Sec.  341.2. The index updates may be issued 
quarterly. At a minimum, the index must be reissued every four years.


Sec.  341.11  [Amended]

    55. In Sec.  341.11, paragraph (b) is removed and reserved.
    56. In Sec.  341.13, paragraph (b) introductory text is revised to 
read as follows:


Sec.  341.13  Withdrawal of proposed tariff publications.

* * * * *
    (b) Tariff publications that are subject to investigation. A tariff 
publication that has been permitted to become effective subject to 
investigation may be withdrawn at any time by filing a notice with the 
Commission, which includes a transmittal letter, a certification that 
all subscribers have been notified of the withdrawal, and the previous 
tariff provisions that are to be reinstated upon withdrawal of the 
tariff publication under investigation. Such withdrawal shall be 
effective immediately upon the submission of the notice, unless a 
specific effective date is set forth in the notice, and must have the 
following effects:
* * * * *


Sec.  341.14  [Amended]

    57. In Sec.  341.14 (a) remove the phrase ``on the Title Pages''.


Sec.  341.15  [Amended]

    58. In Sec.  341.15 (d), remove the reference to ``the title page 
of''.

PART 344--FILING QUOTATIONS FOR U.S. GOVERNMENT SHIPMENTS AT 
REDUCED RATES

    59. The authority citation for part 344 continues to read as 
follows:

    Authority: 42 U.S.C. 7101-7352; 49 U.S.C. 1-27.

    60. Amend Sec.  344.2 as follows:
    a. Remove and reserve paragraph (b).
    b. Revise paragraphs (a) and (c) to read as follows:


Sec.  344.2  Manner of submitting quotations.

    (a) The quotation or tender must be submitted to the Commission 
concurrently with the submittal of the quotation or tender to the 
Federal department or agency for whose account the quotation or tender 
is offered or the proposed services are to be rendered.
    (b) [Reserved]
    (c) Filing procedure. (1) The quotation must be filed with a letter 
of transmittal that prominently indicates that the filing is in 
accordance with section 22 of the Interstate Commerce Act.

[[Page 43944]]

    (2) All filings pursuant to this part must be filed electronically 
consistent with Sec. Sec.  341.1 and 341.2 of this chapter.
* * * * *

PART 346--OIL PIPELINE COST-OF-SERVICE FILING REQUIREMENTS

    61. The authority citation for part 346 continues to read as 
follows:

    Authority: 42 U.S.C. 7101-7352; 49 U.S.C. 60502; 49 App. U.S.C. 
1-85.

    62. In Sec.  346.1, paragraph (b) is revised to read as follows:


Sec.  346.1  Content of filing for cost-of-service rates.

* * * * *
    (b) The proposed tariff filed consistent with the requirements of 
Sec. Sec.  341.1 and 341.2 of this chapter; and
* * * * *

PART 347--OIL PIPELINE DEPRECIATION STUDIES

    63. The authority citation for part 347 continues to read as 
follows:

    Authority: 42 U.S.C. 7101-7352; 49 U.S.C. 60502; 49 App. U.S.C. 
1-85.

    64. In Sec.  347.1, remove and reserve paragraph (b), remove the 
last two sentences of paragraph (c), and paragraph (a) is revised to 
read as follows:


Sec.  347.1  Material to support request for newly established or 
changed property account depreciation studies.

    (a) Means of filing. Filing of a request for new or changed 
property account depreciation rates must be made pursuant to part 347 
and must be consistent with Sec. Sec.  341.1 and 341.2 of this chapter.
* * * * *

PART 348--OIL PIPELINE APPLICATIONS FOR MARKET POWER DETERMINATIONS

    65. The authority citation for part 348 continues to read as 
follows:

    Authority: 42 U.S.C. 7101-7352; 49 U.S.C. 60502; 49 App. U.S.C. 
1-85.

    66. In Sec.  348.2, paragraphs (a) and (c) are revised to read as 
follows:


Sec.  348.2  Procedures.

    (a) A carrier must file in the manner provided by Sec. Sec.  341.1 
and Sec.  341.2 of this chapter. A carrier must submit with its 
application any request for privileged treatment of documents and 
information under Sec.  388.112 of this chapter and a proposed form of 
protective agreement. In the event the carrier requests privileged 
treatment under Sec.  388.112 of this chapter, it must file in the 
manner provided by Sec.  388.122(b)(2) of this chapter.
* * * * *
    (c) A letter of transmittal must describe the market-based rate 
filing, including an identification of each rate that would be market-
based, and the pertinent tariffs, state if a waiver is being requested 
and specify the statute, section, subsection, regulation, policy or 
order requested to be waived. Letters of transmittal must be certified 
pursuant to Sec.  341.1(b).
* * * * *

PART 375--THE COMMISSION

    67. The authority citation for part 375 continues to read as 
follows:

    Authority: 5 U.S.C. 551-557; 15 U.S.C. 717-717w, 3301-3432; 16 
U.S.C. 791-825r, 2601-2645; 42 U.S.C. 7101-7352.

    68. In Sec.  375.307, paragraphs (i)(5), (n)(1), and (o) are 
removed and reserved, and paragraph (k)(5) is added to read as follows:


Sec.  375.307  Delegations to the Director of the Office of Markets, 
Tariffs and Rates.

* * * * *
    (k) * * *
    (5) Take appropriate action on motions to withdraw tariff filings 
filed under parts 35 and 154 of this chapter.
* * * * *

PART 385--RULES OF PRACTICE AND PROCEDURE

    69. The authority citation for part 385 continues to read as 
follows:

    Authority: 5 U.S.C. 551-557; 15 U.S.C. 717-717z, 3301-3432; 16 
U.S.C. 791a-825r, 2601-2645; 28 U.S.C. 2461; 31 U.S.C. 3701, 9701; 
42 U.S.C. 7101-7352; 49 U.S.C. 60502; 49 App. U.S.C. 1-85 (1988).


Sec.  385.203  [Amended]

    70. Amend Sec.  385.203 as follows:
    a. In paragraph (a)(1), remove the reference to ``symbols'' and add 
in its place ``information''.
    b. In paragraph (a)(4) the reference to ``sheets'' is revised to 
read ``sections''.
    71. In Sec.  385.215, paragraph (a)(2) is amended to add a first 
sentence to read as follows:


Sec.  385.215  Amendment of pleadings and tariff or rate filings (Rule 
215).

    (a) * * *
    (2) A tariff or rate filing may be amended or modified only as 
provided in the regulations governing such filings. * * *
* * * * *
    72. In Sec.  385.216, paragraph (a) is redesignated as paragraph 
(a)(1) and paragraph (a)(2) is added to read as follows:


Sec.  385.216  Withdrawal of pleadings and tariff or rate filings (Rule 
216).

    (a) Filing. (1) * * *
    (2) A tariff or rate filing may be withdrawn only as provided in 
the regulations governing such filings. The procedures provided in this 
section do not apply to withdrawals of tariff or rate filings.
* * * * *


Sec.  385.217  [Amended]

    73. In Sec.  385.217 (d)(1)(iii), the reference to ``sheets'' is 
revised to read ``sections''.
    74. Section 385.2011 is amended as follows:
    a. Paragraphs (b)(4) and (b)(5) are removed.
    b. In paragraph (c)(1), the word ``schedule'' is revised to read 
``schedule, tariff''.
    c. Paragraphs (b)(1), (c)(3), and (d)(1) are revised to read as 
follows:


Sec.  385.2011  Procedures for filing on electronic media (Rule 2011).

* * * * *
    (b) * * *
    (1) All tariff and rate filings required by this chapter to be 
submitted electronically.
* * * * *
    (c) * * *
    (3) With the exception of the Form Nos. 1, 2, 2-A and 6, and the 
tariff and rate filings required to be submitted electronically, the 
electronic filing must be accompanied by the traditional prescribed 
number of paper copies.
* * * * *
    (d)(1) Where to file. The electronic media must be submitted 
according to the electronic filing instructions applicable to each 
filing. Electronic files submitted on media such as diskettes or CD 
Roms, as well as paper copies when applicable, and accompanying cover 
letter must be submitted to: Office of the Secretary, Federal Energy 
Regulatory Commission, 888 First Street, NE., Washington, DC 20426.
* * * * *
[FR Doc. 04-16478 Filed 7-22-04; 8:45 am]
BILLING CODE 6717-01-P