[Federal Register Volume 62, Number 71 (Monday, April 14, 1997)]
[Notices]
[Pages 18106-18107]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-9491]
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DEPARTMENT OF ENERGY
Federal Energy Regulatory Commission
[Docket No. CP96-671-002]
National Fuel Gas Supply Corporation; Notice of Amendment
April 8, 1997.
Take notice that on April 3, 1997, National Fuel Gas Supply
Corporation (National Fuel), 10 Lafayette Square, Buffalo, New York
14203, filed an amendment to its pending application in Docket No.
CP96-671-000 pursuant to Sections 7(b) and (c) of the Natural Gas Act
for a certificate of public convenience and necessity authorizing the
construction and operation of facilities in order to create additional
firm transportation capacity from the Niagara import point to Leidy and
Wharton, Pennsylvania, and permission and approval to abandon certain
facilities, all as more fully set forth in the application which is on
file with the Commission and open to public inspection.
National Fuel states that the purpose of the amendment is to
eliminate from the application the facilities not needed to serve two
firm shippers, Enron Capital & Trade Resources Corp. (Enron) and Union
Pacific Fuels, Inc. (Union Pacific), whose services are not dependent
upon authorization of the proposed SeaBoard project of Transcontinental
Gas Pipe Line Corporation (Transco). Specifically, National Fuel
proposes to: (1) eliminate from its application the request for
authorization to replace compressor units 1-4 at the Ellisburg
Compressor Station with a new 3,200 hp unit, and (2) submit the Amended
and Restated Precedent Agreement between National Fuel and Enron
Capital & Trade Resources.
National Fuel states that the original application sought
authorization for facilities that would provide an additional 48,000
Dth per day of firm winter capacity and 21,344 Dth per day of firm non-
winter capacity from the Niagara import point to the interconnections
between the facilities of National Fuel and Transco at Leidy and
Wharton, Pennsylvania. Of this additional capacity, 44,344 Dth/d was
subscribed on a long-term basis by Enron and Renaissance Energy (U.S.),
Inc. (Renaissance), both of which planned to use the additional
capacity on National Fuel's system in combination with proposed
SeaBoard capacity downstream on Transco's system. It is stated that
National Fuel's original service agreement with each of Enron and
Renaissance made the execution of a transportation service agreement
with Transco a condition to the execution of a transportation agreement
with National Fuel.
National Fuel states that on January 21, 1997, Transco advised the
Commission that its proposed SeaBoard Project would not be placed in
service until at least November 1, 1998.
It is stated that on January 30, 1997, National Fuel filed an
amendment to its application (First Amendment), which advised the
Commission that National Fuel and Union Pacific have executed a
precedent agreement for the remaining 3,656 Dth/d of firm winter
capacity to be created by National Fuel's 1997
[[Page 18107]]
Niagara Expansion Project. National Fuel states that the First
Amendment also addressed a proposed change in compressor mode and
horsepower at National Fuel's Ellisburg Compressor Station, and sought
certificate authority for a meter replacement that had been described
in the original application as an auxiliary facility.
National Fuel states that on March 14, 1997, it responded to a data
request from the Commission seeking information about National Fuel's
plans in light of Transco's announcement that the SeaBoard project
would be delayed. National Fuel states that it advised the Commission
that Enron and National Fuel had just entered into an Amended and
Restated Precedent Agreement, under which the service to be rendered by
National Fuel is not dependent upon the outcome of Transco's SeaBoard
project or any other downstream facilities. National Fuel also
clarified that its proposed service to Union Pacific is not depended on
downstream facilities. National Fuel indicated that it intended to file
an amendment to its application seeking a Commission order, on the
earliest date possible, authorizing the construction of the facilities
required by National Fuel to render firm service to Enron and Union
Pacific, while the facilities required to serve Renaissance would
remain tied to Transco's SeaBoard project.
According to National Fuel, the revised project is not dependent
upon the outcome of Transcop's SeaBoard project, nor is it dependent
upon the certification or construction of any downstream facilities.
National Fuel states that the service to be provided to Enron will
be changed in two minor respects. First, Transco at Leidy is now
designated as the primary delivery point with respect to all of Enron's
maximum daily transportation quantity (MDT). Under the original
agreement, the primary delivery point with respect to 5,300 Dth/d of
Enron's MDT was to be Transco at Wharton, 12.2 miles from Leidy.
Second, the agreement calls for the execution of two service
agreements--one ten year service agreement with an MDT of 15,694 Dth/d
and one eleven year service agreement with an MDT of 5,650 Dth/d--
instead of one ten year service agreement with an MDT of 21,344 Dth/d.
It is stated that the total quantity subscribed by Enron remains at
21,344 Dth/d; the effect of this change is that the primary term with
respect to 5,650 Dth/d of Enron's capacity has been increased from ten
to eleven years.
It is stated that neither the Enron nor the Union Pacific service
will be dependent upon any other downstream facilities. National Fuel
states that these customers have requested firm service to Leidy,
Pennsylvania, a recognized market center. It is stated that National
Fuel's firm shippers would have a number of options for the delivery of
their gas at Leidy, including the sale of such gas to shippers with
primary firm, secondary firm, released firm or interruptible capacity
on Transco's system. In addition, National Fuel's firm shippers would
be able to arrange the redelivery of their gas to other interstate
pipelines (including CNG Transmission Corporation, Tennessee Gas
Pipeline Company and Texas Eastern Transmission Corporation) at several
secondary points in the Ellisburg-Leidy area, or elsewhere on National
Fuel's system. In addition, National Fuel contends that the
availability of storage in the Ellisburg-Leidy area provides another
delivery option for National Fuel's shippers.
Any person desiring to be heard or to make any protest with
reference to said amendment should on or before April 17, 1997, file
with the Federal Energy Regulatory Commission, Washington, DC 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 required, further notice of
such hearing will be duly given.
Under the procedure herein provided for, unless otherwise advised,
it will be unnecessary for National Fuel to appear or be represented at
the hearing.
Lois D. Cashell,
Secretary.
[FR Doc. 97-9491 Filed 4-11-97; 8:45 am]
BILLING CODE 6717-01-M
