Sen. Larry Craig (R-ID) confirmed last week that he has sought”some information” from FERC on its natural gas policy optionspaper, saying he was especially concerned that certain proposalscould lead to re-regulation of the gas industry.

In seeking the information, “my intention simply was [as] amember of the Energy Committee to understand what they’re doing andwhy they’re doing it,” he said following a speech to the NationalEnergy Resources Organization (NERO) on Capitol Hill last week. “Mycuriosity has been satisfied,” he told energy executives.

Craig doubted it would be necessary “at this time” to call aSenate oversight hearing to explore the issues in the optionspaper. He indicated the Commission would make “some publicpronouncement, if necessary, when they move toward proposing anykind of final rule…”

The options paper, which has been under tight seal at FERC formonths, takes a look at ways to resolve the lingering,second-generation gas issues, such as pricing in thecapacity-release market, negotiated terms and conditions of serviceand regulation of pipelines on the Outer Continental Shelf. It wasprepared by FERC staff, and has been in the hands of thecommissioners since March.

Separately, Craig said he wasn’t privy to who might succeedEnergy Secretary Federico Pena. “No, not in any finality.” Pena hasannounced that he will step down at the end of the month.

Susan Parker

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