Northwest issued a recall advisory to shippers Wednesday and gave notice of a potential OFO and Declared Stage II (8%) Overrun Entitlement. “Net scheduled quantities have regularly exceeded the available physical capacity through the Kemmerer [WY] Compressor Station, even with the additional capacity provided by portable compression,” the pipeline’s bulletin board said. “Forward pricing does not indicate that this overscheduling pressure will decrease during the summer. Northwest has been accommodating the excess quantities by injecting gas into Clay Basin and withdrawing gas from Jackson Prairie. Heavy drafting during the first two weeks of April coupled with the overscheduling since February have depleted Northwest’s Jackson Prairie inventories.” The pipeline plans to use a portion of physical capacity through Kemmerer to realign its balancing storage gas and to move fuel gas as required. If scheduled volumes continue to exceed remaining available physical capacity through Kemererer, the OFO will be issued to be become effective next Tuesday, Northwest said. Because the potential for drafting increases during an OFO, it will concurrently entitle its system for overruns. See the bulletin board for further details.
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Transportation Notes
Pacific Gas & Electric expanded what had been a customer-specific OFO for Saturday into systemwide Stage 3 high-inventory OFOs for Sunday and Monday. The sytemwide OFOs carried $5/Dth penalties for positive daily imbalances exceeding a 2% tolerance. However, no order is in place for today.
FERC’s Price-Mitigation Plan Comes under Senate Scrutiny
FERC’s decision to mitigate prices only during Stage I, II and III emergencies will provide effective relief in the months ahead, said Commissioner Linda Breathitt yesterday, given that it’s very likely that California “may be in the stages for a lot of the summer.”
ERCOT in Mock Testing Stage for Pilot
The Electric Reliability Council of Texas (ERCOT), on track to begin its pilot deregulation program in 5% of the state June 1, issued a progress report to the Texas Public Utility Commission this week, reporting that it now is finalizing megawatt registrations for generators that will serve the state. Conversion remains on schedule for the pilot, with transition to a fully deregulated market by January 2002.
Transportation Note
Pacific Gas & Electric extended a systemwide Stage 3high-inventory OFO through at least today, but loosened thetolerance for positive daily imbalances from 1% to 3%. The utilitycontinued to project linepack rising well above its maximum targetlevels through Saturday.
FERC Sets Stage for Broad RTO in Southeast
FERC last week took the first step towards developing a broadregional transmission organization (RTO) in the southeasternsection of the nation.
FERC Sets Stage for Broad RTO in Southeast
FERC last week took the first step towards developing a broadregional transmission organization (RTO) in the southeasternsection of the nation.
TRC to Coordinate Cross-Border Gas Projects
To set the stage for what it hopes will lead to more natural gaspipelines between the Lone Star State and Mexico, the TexasRailroad Commission has been named the lead agency to coordinatepermit requirements for Texas/Mexico cross-border pipelineprojects. The TRC will be responsible for issuing permits andcoordinating other state agencies’ activities.
Transportation Notes
For a change Pacific Gas & Electric had more gas in itssystem than it wanted. The dual utility had a systemwide Stage 3high-inventory OFO with zero tolerance for positive dailyimbalances in effect Monday but did not extend the order intotoday.
Transportation Notes
Pacific Gas & Electric issued a systemwide Stage 3low-inventory OFO for today with penalties of $5/dth for negativeimbalances exceeding a 2% tolerance. It was projecting below-targetlinepack levels through Saturday.
