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Commission Plans Second Auction Conference

Commission Plans Second Auction Conference

FERC staff has scheduled a conference for Dec. 8th to address all policy and technical issues associated with the Commission's proposal to implement auctioning of pipeline capacity in the short-term market.

Specific issues to be addressed will include: how an auction might affect pipeline cost recovery, including issues of rate design, reserve prices and access charges; how prearranged capacity-release transactions could be accommodated within an auction; how a capacity auction could coordinate with gas purchasing and risk management practices as well as with the acquisition and scheduling of capacity on interconnecting pipelines and local distribution companies; how auctions affect transaction costs; and how to determine the extent of available capacity as well as the types of capacity that should be included in the auction," the notice of conference said.

The staff conference will consist of roundtable discussions and presentations. Persons wishing to make presentations and/or participate in the discussions should write a letter by Nov. 20 to the Secretary, FERC, 888 First St., NE, Washington DC 20426. For further information about the conference, contact Elizabeth Zerby, FERC's Office of Pipeline Regulation, at (202) 208-1181

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