ANR Pipeline received a FERC certificate Wednesday to reconfigure its gas storage operations in Michigan by converting 4.1 Bcf of base gas to working gas in three storage fields and abandoning by sale the Capac Field, an inefficient off-system storage field, to Mid Michigan Gas Storage Co. ANR also will construct new injection/withdrawal wells and separation equipment at one field and add other facilities at two other fields to enhance late season deliverability. FERC said approval of the $9.8 million project will serve the public interest by allowing ANR to improve the overall efficiency of its entire storage system. The project will result in a net decrease of ANR’s maximum storage quantity of 9.5 Bcf and a net decrease of late season deliverability of 38 MMcf/d. However, ANR will still have 24.5 Bcf of unsubscribed capacity and 355 MMcf/d of unsubscribed deliverability available.

FERC further clarified its final rule Wednesday on the standards of conduct governing the relationships between regulated natural gas/electric transmission providers and their affiliates and again delayed implementation, pushing the date back from Sept. 1 to Sept. 22. In the 200-page-plus final rule, which was issued last November, the Commission combined the standards of conduct for both jurisdictional gas pipelines and transmission-owning public utilities, and significantly expanded the scope of the existing Order 497 regulations that had limited preferential treatment just to their marketing and wholesale merchant affiliates. The rule extends the FERC restrictions against preferential treatment, information disclosure and employee sharing to a wider universe of affiliates of regulated pipeline/transmission providers, including traders, producers, gatherers, processors, intrastate and Hinshaw pipelines, and any affiliate making a sale for resale of natural gas or electric energy in interstate commerce. The first order on rehearing was issued in April.

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