[Federal Register Volume 70, Number 100 (Wednesday, May 25, 2005)]
[Notices]
[Page 30104]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E5-2623]


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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[Docket No RM93-11-000]


Revisions to Oil Pipeline Regulations Pursuant to the Energy 
Policy Act of 1992; Notice of Annual Change in the Producer Price Index 
for Finished Goods

May 17, 2005.

    The Commission's regulations include a methodology for oil 
pipelines to change their rates through use of an index system that 
establishes ceiling levels for such rates. The Commission bases the 
index system, found at 18 CFR 342.3, on the annual change in the 
Producer Price Index for Finished Goods (PPI-FG). This rule now 
provides that pipelines should use PPI-FG as the oil pricing index 
factor, 18 CFR 342.3(d)(2).\1\ The Commission determined in an order on 
remand issued February 24, 2003, that the PPI-FGE without the minus 1 
percent is the appropriate oil pricing index factor for pipelines to 
use.\2\
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    \1\ 108 FERC ] 61,210 (2004).
    \2\ 102 FERC ] 61,195 at P 1 (2003).
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    The regulations provide that the Commission will publish annually, 
an index figure reflecting the final change in the PPI-FG, after the 
Bureau of Labor Statistics publishes the final PPG-FG in May of each 
calendar year. The annual average PPI-FG index figure for 2003 was 
143.3. The annual average PPI-FG index figure for 2004 was 148.5. \3\ 
Thus, the percent change (expressed as a decimal) in the annual average 
PPI-FG from 2003 to 2004 is positive .036288. \4\ Oil pipelines must 
multiply their July 1, 2004, through June 30, 2005, index ceiling 
levels by positive 1.036288 \5\ to compute their index ceiling levels 
for July 1, 2005, through June 30, 2006, in accordance with 18 CFR 
Sec.  342.3(d). For guidance in calculating the ceiling levels for each 
12 month period beginning January 1, 1995 \6\ see Explorer Pipeline 
Company, 71 FERC 61,416 at n.6 (1995).
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    \3\ Bureau of Labor Statistics (BLS) publishes the final figure 
in mid-May of each year. This figure is publicly available from the 
Division of Industrial Prices and Price Indexes of the BLS, at (202) 
691-7705, and in print in August in Table 1 of the annual data 
supplement to the BLS publication Producer Price Indexes via the 
Internet at [http://www.bls.gov/ppi]. To obtain the BLS data, click 
on ``Get Detailed PPI Statistics,'' and then under the heading 
``Most Requested Statistics'' click on ``Commodity Data.'' At the 
next screen, under the heading ``Producer Price Index--Commodity,'' 
select the first box, ``Finished goods--WPUSOP3000'', then scroll 
all the way to the bottom of this screen and click on Retrieve data.
    \4\ [148.5--143.3]/143.3 = 0.036288.
    \5\1 + 0.036288 = 1.036288
    \6\6For a listing of all prior multipliers issued by the 
Commission, see the Commission's website, www.ferc.gov. The table of 
multipliers can be found under the headings ``Oil'' and ``Index''.
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    In addition to publishing the full text of this Notice in the 
Federal Register, the Commission provides all interested persons an 
opportunity to view and/or print this Notice via the Internet through 
FERC's Home Page (http://www.ferc.gov) and in FERC'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. The full text of 
this Notice is available on FERC's Home Page at the eLibrary link. To 
access this document in eLibrary, type the docket number excluding the 
last three digits of this document in the docket number field and 
follow other directions on the search page.
    User assistance is available for eLibrary and other aspects of 
FERC's Web site during normal business hours. For assistance, contact 
FERC Online Support at [email protected] or toll free at (866) 
208-3676, or for TTY, contact (202) 502-8659.

 Magalie R. Salas,
Secretary.
[FR Doc. E5-2623 Filed 5-24-05; 8:45 am]
BILLING CODE 6717-01-P