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.
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Court Rules Utes Own Rights to Colorado Coal-Seam Gas
A decision by the 10th Circuit U.S. Court of Appeals giving theSouthern Ute Indian tribe rights and royalties to natural gasproduced on about 200,000 acres in the San Juan Basin of Coloradopotentially could be used as a precedent impacting 2.4 millionacres of producing properties in six Western states, AmocoProduction Co. said last week.
July 27, 1998
Judge Rules Against Producers in Royalty Cas
In a “Freddie Krueger-style” wipeout, a federal district courton Friday the 13th dealt a crippling blow to a major producergroup and two producers when it denied their motions dealing withroyalty treatment of take-or-pay settlement payments. U.S. DistrictCourt Judge Royce Lamberth upheld his earlier ruling that theIndependent Petroleum Association of America (IPAA) lackedjurisdiction in a lawsuit challenging the Interior Department’scollection of royalties on lump-sum payments made by producers toget out of their gas contracts with pipelines. The IPAA lawsuit ledto a 1996 ruling by the D.C. Circuit Court of Appeals in favor ofgas producers
February 24, 1998
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