Maritimes & Northeast Pipeline failed to provide adequate back-up for their recent rate filing, Mobil Natural Gas said, in asking the Federal Energy Regulatory Commission (FERC) to require the pipeline to provide detailed records of its rate design and cost-of-service calculations (RP02-134).

“This is the first opportunity the Commission and shippers have to review Maritimes’ costs, revenues and rates against actual operating history,” Mobil said. The cost and revenue study Maritimes filed with the Commission Dec. 27 shows overall cost of service at $120,844,163 with a $4.3 million revenue deficiency. Maritimes current rates are based on estimated costs of $104,438,523.

As part of its certification, FERC had required that Maritimes file a cost and revenue study after three years of operation so FERC could determine whether it should start a section 5 proceeding to set rates.

Calpine Energy Services, whose affiliates have interests in five gas-fired power plants in New England along the route of the pipeline that carries Sable Island gas from Canada to Massachusetts, protested the Maritimes filing, saying it is time to move away from postage stamp rates. The Westbrook interconnect, connecting the joint downstream facilities owned by Maritimes and the Portland Natural Gas Transmission System (PNGTS), and the two companies’ upstream lines, serves as a market area hub.

The development of the hub would be further supported by zoned rates, apportioning rates to cover upstream and downstream costs. Calpine noted that Maritimes now has an operating history to help determine a zoned rate system.

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