Recalling

Transportation Notes

Recalling its notice earlier this month advising shippers that working storage inventory levels were significantly above levels for a comparable period last year and there was a distinct possibility of running out of available capacity by mid-summer (see Daily GPI, May 12), Southern Natural Gas said Wednesday it was implementing immediately the restrictions on certain storage transactions that the notice had said might be required to preserve firm storage obligations and interruptible storage quantities that already had been accepted. See the bulletin board for details of the restrictions now in effect on interruptible storage nominations. The pipeline emphasized that “firm storage transactions are NOT being restricted.”

May 25, 2006

Transportation Notes

Recalling an Oct. 31, 2003 letter in which Texas Eastern notified firm storage customers that it would monitor their activity and, if necessary, issue customer-specific OFOs to those who exceeded recommended maximum withdrawal limits, the pipeline said it had issued such OFOs “at the end of each withdrawal period throughout the winter of 2003/2004.” The orders remained in effect unless specifically canceled by Texas Eastern when customers injected the required volumes to bring them back into compliance with the storage tariff. However, Texas Eastern said it canceled all individual OFOs Monday after having “determined that based on current inventory levels and forecast withdrawals, the individual storage OFOs are no longer necessary to preserve storage deliverability to meet firm withdrawal entitlements.”

February 24, 2004

AGA Recall Proposal Assailed at FERC

The American Gas Association’s (AGA) proposal to expand the rights of firm capacity-holders to recall released capacity — to include recalling capacity on which gas has already been nominated or scheduled to flow — has come under fire at FERC from natural gas producers, marketers and pipelines.

April 23, 2001