The American Gas Association (AGA) says it is “highly disturbed”by ANR Pipeline’s request that FERC “reinterpret” the scope of theHinshaw Amendment as part of its deliberations into whether tocertificate the proposed Guardian Pipeline.

If ANR’s request is granted, “the jurisdictional status of everyintrastate pipeline facility built by a local distribution companycould be in question,” the AGA told FERC [CP00-38]. The LDC tradegroup believes ANR’s request is based on a “purely competitiveconcern” – to prevent the construction of the proposed competingGuardian line from Joliet, IL, to southeastern Wisconsin, atransportation route that has long been dominated by ANR.

ANR contends the proposed 150-mile Guardian line and the 38-mileconnecting lateral to be built by Wisconsin Gas are, in fact, oneintegrated interstate system. Consequently, it argues thatWisconsin Gas’ role in the project should strip it of its status asa Hinshaw line exempt from Natural Gas Act regulation.

Guardian has stressed that the two are separate projects. TheGuardian line is jointly owned by CMS Gas Transmission and Storage,Viking Gas Transmission and WICOR Inc. Guardian, a limitedliability company, will construct the pipeline, and CMS will beoperator, it said. Wisconsin Gas will operate the lateralconnecting its distribution system to Guardian, and nothing more,the pipeline told the Commission.

In related action, Northern States Power Co.-Wisconsin, theMetropolitan Milwaukee Association of Commerce and the IndependentBusiness Association of Wisconsin added their names to the growinglist of supporters of the Guardian project.

Susan Parker

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