Federal Register #PR26-75-000

FERC Oversight of Major Natural Gas Pipeline Expansion Projects and Rate Petition Protest

This summary covers major natural gas infrastructure expansion projects overseen by the Federal Energy Regulatory Commission (FERC) under the Department of Energy: - Government Buyer: - Department of Energy, Federal Energy Regulatory Commission (FERC) - Primary OEMs and Vendors Mentioned: - Guardian Pipeline, LLC (project developer) - Florida Gas Transmission Company (project developer) - Bay Gas Storage Company, LLC (rate petition subject) - Products/Services Requested: - Construction of approximately 42.6 miles of 36-inch-diameter looping natural gas pipeline (Juliet Loop) in Illinois - Construction of approximately 25.5 miles of 36-inch-diameter looping natural gas pipeline (Sycamore Loop) in Illinois - Installation of two new 11,110-horsepower compressor units at the Joliet Compressor Station in Illinois - Modifications to compression facilities at the Sycamore Compressor Station in Illinois - Construction of a new (greenfield) 9,000-horsepower compressor station (Eden CS) in Wisconsin - Construction of a new (greenfield) meter and regulator station (Sheboygan MS) in Wisconsin - Unique or Notable Requirements: - Projects are designed to increase natural gas transportation capacity in the Midwest and Southeast regions - The Guardian 3 Expansion Project will provide an additional 536,903 Dth/day of capacity - The Florida Gas Transmission Phase IX Project has a reported cost of $1.22 billion - Regulatory oversight includes environmental assessments, rate design compliance, and cost allocation reviews - Bay Gas Storage Company, LLC's rate petition is under protest for compliance with FERC's rate design policies - No specific part numbers or commercial product brands are listed; the focus is on large-scale infrastructure and equipment.

Description

This notice pertains to a staff protest filed by the Federal Energy Regulatory Commission staff regarding a rate petition made by Bay Gas Storage Company, LLC. The petition involves proposed rates for firm and interruptible interstate transportation services under section 311 of the Natural Gas Policy Act of 1978. The staff protest raises concerns about the fairness and equity of the proposed rates and their compliance with the Commission's rate design policies, particularly regarding variable costs and compressor station expenses.

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