FERC has unveiled its long-awaited final rule on expeditedcomplaint procedures, the focus of which is its fast-track processfor resolving industry disputes within 20 to 60 days after aninitial complaint is filed. The Commission voted out the ordernotationally late Wednesday.

The fast-track procedures aren’t meant to replace the standardprocedures for resolving complaints at the Commission, but ratherare intended to complement them, according to FERC. To get a caseon the fast track, a complainant must make “a highly credible claimand a persuasive showing that the standard complaint process willnot provide meaningful relief,” Commissioner William Massey said.

If such a showing is made, the Commission will issue aprocedural order (on how it intends to process the complaint) “ifnecessary within 2 to 3 days after [an] answer” to the complaint isfiled by the other party, he noted. And it will try to rule on themerits of a dispute within 20 days after a response has beensubmitted. The final rule requires that parties respond tocomplaints within 20 days of their filing. “I would have preferredthat we make the fast track even faster by delegating to staffcertain process decisions, but the majority did not agree.”

In addition to the fast-track process, the final rule codifiesFERC’s current Enforcement Hotline procedures, brings FERC’scurrent alternative dispute resolution (ADR) into conformance withthe Administrative Dispute Resolution Act of 1996, offers ADR asone of the available paths for handling complaints, specifies indetail the information that must be included in complaints, andestablishes a simplified procedure for resolving complaints thatinvolve less than $100,000.

“We’re much clearer than we ever have been about what thecriteria are for accepting [a] complaint, [and] how quicklyresponses need to be filed. We make available various modes ofresolution, including an innovative fast track process…There area lot of new approaches in here-the use of ADR, real-timeCommission decisions, expeditious hearing orders, [and] interimrelief,” which is “something I like especially because [it’s] asmall claims process” for settling disputes, said Chairman JamesHoecker.

He further noted the Commission has set up an E-mail address forthe Enforcement Hotline – hotline@ferc.fed.us – to aid industry.This is in addition to the phone number: (877) 303-4340. “We’replugged in and ready to roll,” Hoecker said, adding that theHotline has been effective as an alternative to filing formalcomplaints.

Both producers and pipelines reacted positively to the finalcomplaint rule. Producers especially favored the fast-trackprocedures, codifying the Hotline, and the Commission’s concept ofproviding interim relief to complainants, said Philip Budzik of theNatural Gas Supply Association.

“It’s really encouraging” the Commission has issued a final rulebecause “a lot of other things depend on an expedited complaintprocess,” such as negotiated terms and conditions, said LorraineCross, senior vice president of the Interstate Natural GasAssociation of America (INGAA). She was encouraged the Commissioncodified its Hotline procedures-a position that the pipelinessupported.

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