[Federal Register Volume 63, Number 59 (Friday, March 27, 1998)]
[Notices]
[Pages 14913-14915]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-8008]
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DEPARTMENT OF ENERGY
Federal Energy Regulatory Commission
[Docket No. CP98-285-000]
Northwest Pipeline Corporation; Notice of Application
March 23, 1998.
Take notice that on March 18, 1998, Northwest Pipeline Corporation
[[Page 14914]]
(Northwest), 295 Chipeta Way, Salt Lake City, Utah 84158, filed an
application pursuant to Sections 7 (b) and (c) of the Natural Gas Act
and Part 157 of the Commission's Regulations for amendments to existing
certificates of public convenience and necessity, permission and
approval for abandonments and approval of various tariff waivers and
modifications as necessary to implement changes in its use of storage
for system balancing and its provision of storage from the Jackson
Prairie Storage Project (Jackson Prairie), in which it is a one-third
owner, all as more fully set forth in the application which is on file
with the Commission and open to public inspection.
Northwest states that the proposed changes generally are related to
and/or consistent with proposals by Puget Sound Energy, Inc. (Puget
Sound), the Project Operator of Jackson Prairie, to implement an
updated and amended Gas Storage Agreement (Update Project Agreement)
and expand the storage project.
Concurrently with the implementation of the Updated Project
Agreement proposed by Puget Sound, which is anticipated to occur in the
fall of 1998, Northwest proposes to:
(1) Abandon the certificated services provided under Rate Schedule
SGS-1 and X-82 for the two-thirds of the Jackson Prairie capacity owned
by Puget Sound and The Washington Water Power Company. (Each owner
henceforth will have direct access to its one-third ownership share of
storage rights in Jackson Prairie.)
(2) Abandon the certificated Rate Schedule SGS-1 services from
Northwest's one-third ownership share of storage rights in Jackson
Prairie. (Each SGS-1 customer has elected to convert to open-access
service under Rate Schedule SGS-2F.) Northwest also requests waivers of
the posting/billing provisions in Section 25 of the General Terms and
Conditions in its FERC tariff to the extent necessary to effectuate
these conversions.
(3) Increase total firm deliverability by 2,200 Dth per day (Dth/d)
and total firm working gas capacity by 60,400 Dth available for
Northwest's storage services from its one-third ownership share in the
storage project. (These increased storage quantities result from
utilization of an updated thermal conversion factor for the existing
volumetric capacities of the storage project.) Northwest specifically
requests waivers of the available capacity posting provisions in
Sections 17.4(c) and 26 of the General Terms and Conditions in its FERC
tariff to allow these available storage quantities to be allocated pro
rata among Northwest's existing firm storage customers, as reflected in
the new Rate Schedule SGS-2F service agreements replacing existing
service agreements for both converting Rate Schedule SGS-1 customers
and existing Rate Schedule SGS-2F customers.
(4) Utilize for system balancing all firm, best-efforts and
interruptible rights to which Northwest is entitled under the Updated
Project Agreement, to the extent such rights are not being used to
provide firm service under Rate Schedule SGS-2F. (This clarification of
existing certificate authority ensures that Northwest's existing
balancing flexibility will be maintained.)
(5) Abandon its certificate for operation of the Jackson Prairie
meter station. (Northwest henceforth will operate the meter station as
agent for and under the certificate authority of Puget Sound, the
project operator.)
(6) Implement the related tariff changes necessary to: cancel Rate
Schedules X-82 and SGS-1; enhance the best-efforts withdrawal rights
under Rate Schedule SGS-2F; clarify and revise the scheduling and
curtailment priorities for Northwest's use of its storage service
rights under the Updated Project Agreement; clarify and enhance
availability of interruptible service under Rate Schedule SGS-2I;
explicitly define injection capacity rights under Rate Schedule SGS-2F;
and update and revise the provisions of Rate Schedule TF-2 for storage
redelivery transportation service.
Upon completion of the Jackson Prairie expansion proposed by Puget
Sound, which is anticipated to occur in the fall of 1999, Northwest
proposes to:
(1) Realign storage capacity authorized to be retained for system
balancing by replacing 3.04 Bcf of its existing Clay Basin storage
capacity and the associated 25.3 MMcf/d of firm deliverability with
Northwest's share of the proposed Jackson Prairie expansion capacity,
1.067 Bcf of storage capacity and the associated 100 MMcf/d firm
deliverability;
(2) Abandon, by sale, Northwest's certificated share of the Jackson
Prairie Zone 2 cushion gas (0.73 Bcf) and Zone 9 testing gas (0.33 Bcf)
which will be converted to working gas as a result of Puget Sound's
proposed expansion;
(3) Implement the related tariff changes necessary to: revise the
fuel gas reimbursement procedures applicable to Northwest's share of
the Jackson Prairie storage fuel and lost and unaccounted-for-gas;
allow the sale of the cushion gas and testing gas proposed to be
abandoned; and reflect the storage project's proposed new withdrawal
deliverability formula in Rate Schedule SGS-2F.
Further, Northwest requests the Commission to make a determination
in this proceeding that Northwest's one-third share (approximately $10
million) of the Jackson Prairie expansion costs should be treated on a
rolled-in basis in Northwest's next general rate case. Northwest
proposes to use its share of the expanded storage capacity for system
balancing, which will provide system-wide operational benefits.
Northwest contends that its cost-of-service attributable to the
expansion will be more than offset by the associated reduction in Clay
Basin storage expenses.
Northwest also requests blanket authority to make periodic, short-
term (less than one year) adjustments in the quantity of Clay Basin
storage capacity and associated injection and withdrawal rights which
it retains for system balancing, as appropriate to accommodate by
short-term changes in its operational balancing agreements.
Any person desiring to be heard or to make any protest with
reference to said amendment should on or before April 13, 1998, file
with the Federal Energy Regulatory Commission, 888 First Street, N.E.,
Washington, D.C. 20426, a motion to intervene or a protest in
accordance with the requirements of the Commission's Rules of Practice
and Procedure (18 CFR 385.214 or 385.211) and the Regulations under the
Natural Gas Act (18 CFR 157.10). All protests filed with the Commission
will be considered by it in determining the appropriate action to be
taken but will not serve to make the protestants parties to the
proceeding. Any person wishing to become a party to a proceeding or to
participate as a party in any hearing therein must file a motion to
intervene in accordance with the Commission's Rules.
Take further notice that, pursuant to the authority contained in
and subject to jurisdiction conferred upon the Federal Energy
Regulatory Commission by Sections 7 and 15 of the Natural Gas Act and
the Commission's Rules of Practice and procedure, a hearing will be
held with further notice before the Commission or its designee on this
application if no motion to intervene is filed within the time required
herein, or if the Commission on its own review of the matter finds that
permission and approval for the proposed certificate and abandonment
are required by the public convenience and necessity. If a motion for
leave to intervene is timely filed, or if the Commission on its own
motion believes that a formal hearing is
[[Page 14915]]
required, further notice of such hearing will be duly given.
Under the procedure herein provided for, unless otherwise advised,
it will be unnecessary for Northwest to appear or be represented at the
hearing.
David P. Boergers,
Acting Secretary.
[FR Doc. 98-8008 Filed 3-26-98; 8:45 am]
BILLING CODE 6717-01-M
