NGI The Weekly Gas Market Report / NGI All News Access

Stay Sought of NE Pipe Projects if Rehearing Denied

Stay Sought of NE Pipe Projects if Rehearing Denied

If FERC should deny rehearing of the interim order approving Independence Pipeline and the MarketLink expansion, Texas Eastern Transmission (Tetco) and Rep. William J. Pascrell (D-NJ) separately have asked for a stay of the decision pending a judicial review.

Tetco contends it meets two standards for granting a stay - it has a "high probability" of succeeding in the courts and it would experience "irreparable injury" in the form of stranded capacity if the two projects are given a green light. Also, it believes a stay would provide more opportunity to review its proposed lease alternatives to the East-bound Independence and MarketLink projects, which it says would be in the public's interest.

The Duke Energy pipeline argues a stay is appropriate in this case because FERC's decision "while styled [as] an interim order is akin to a certificate order, subject to the typically imposed condition that the applicant execute contracts" before starting construction. The Commission issued the interim order in mid-December, conditionally approving the projects but withholding certificates until adequate market support is shown.

Rep. Pascrell has asked for the stay based on what he contends is a lack of need for the MarketLink expansion, which would go through northern New Jersey. Even if MarketLink and Independence can come up with firm contracts to replace precedent agreements, which the Commission has ordered, "no true need will have been demonstrated that cannot be satisfied in some alternative way [that is] less harmful to the communities involved."

Susan Parker

©Copyright 2000 Intelligence Press, Inc. All rights reserved. The preceding news report may not be republished or redistributed in whole or in part without prior written consent of Intelligence Press, Inc.

ISSN © 2577-9877 | ISSN © 1532-1266
Comments powered by Disqus