FERC gave CNG Transmission a slap on the hand last week andordered the pipeline to honor a shipper’s right of first refusal(ROFR) on a 13,350 Dth/d package of capacity that was sold toanother party last month. The Commission also intends to take acloser look at CNG’s capacity reservation and posting practices.
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FERC Slaps CNG’s Hand, Grants NAEC’s Complaint
FERC gave CNG Transmission a slap on the hand and ordered it tohonor North American Energy Conservation’s (NAEC) right of firstrefusal (ROFR) on 13,350 Dth/d of firm transportation capacity for atleast one year. But the Commission also intends to take a closer lookat CNG’s capacity reservation and posting practices and wants thepipeline to explain why it discriminated against NAEC in awarding thecapacity to another shipper (see Daily GPI, Sept. 8).
FERC Grants AGL Waiver from Capacity Release Rules
FERC ventured into unknown territory yesterday to help Georgia’slargest gas utility implement retail unbundling behind its citygateon Nov. 1 but avoid costs stranded by retail competition. In afour-to-one vote, the Commission granted Atlanta Gas Light alimited one-year waiver of certain federal regulations, allowing itto allocate, rather than release under the regulated competitivebidding procedure, 102,100 Dth/d of capacity on Southern NaturalGas to marketers taking over gas sales on its distribution system.