[Federal Register Volume 61, Number 69 (Tuesday, April 9, 1996)]
[Notices]
[Pages 15792-15793]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-8725]
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DEPARTMENT OF ENERGY
[Docket No. PR96-190-000]
Colorado Interstate Gas Company; Proposed Changes in FERC Gas
Tariff
April 3, 1996.
Take notice that on March 29, 1996, Colorado Interstate Gas Company
(CIG) tendered for filing as part of its FERC Gas Tariff, First Revised
Volume No. 1, the tariff sheets listed in Appendix A to the filing, to
become effective May 1, 1996. The proposed rates changes (motion rates)
would increase revenues from jurisdictional service by approximately
$30 million based on the 12-month period ending December 31, 1995, as
adjusted. However, CIG notes that the underlying supporting statements
and schedules developing cost-of-service and billing-determinant levels
based on 12-months ending December 31, 1995, as adjusted, support rates
(``indicated rates'') which would increase revenues by $46 million
annually. CIG is proposing to not place into effect a portion of the
indicated rate increase, in the interests of market stability, as
explained further below.
Specifically, CIG is proposing at this time to implement
approximately $30 million of its overall $46 million rate increase. CIG
states that such $46 million rate increase would be necessary to: (1)
compensate CIG for the inflation in operating costs that has occurred
since its last general rate case in 1993; (2) recover the cost of
service of necessary capital additions made by CIG since 1993,
(including safety-related system integrity, as well as substantial
electronic and computer enhancements, the need for which has evolved
since Order No. 636 restructuring); (3) modify rates to reflect CIG's
current business and discounting profile; and (4) allow CIG to earn a
rate of return on CIG's assets, at a level that will be competitive
[[Page 15793]]
in capital markets. As noted above, CIG does not believe the market
will accept this rate level, and considers it inappropriate to place
the full indicated increase into effect subject to refund. Accordingly,
while not modifying any of its underlying positions on specific issues,
CIG has voluntarily waived implemention of 12.5 percent of the total
reservation-rate level as to Rate Schedules TF-1 and TF-2, and has
adjusted the Rate Schedule TI-1 rate to be consistent with the
resulting Rate Schedule TF-1 level.
CIG states that the tariff sheets listed in Appendix A to the
filing include the creation of two new transportation services and the
substantial modification of its two ``no-notice'' delivery services, as
well as multiple conforming tariff modifications. Further, CIG states,
the tariff sheets provide for a tracking provision to flow through to
CIG's former jurisdictional sales customers the benefit of the ``Mesa
Settlement Surcharge,'' as further explained in the filing. Last, CIG
states that the tariff sheets include the necessary authority to
implement the Commission's policy on negotiated rates, pursuant to the
policy statement issued January 31, 1996 in Docket No. RM95-6.
CIG states that a full copy or abbreviated copy of its filing are
being served on all jurisdictional customers, applicable state
commissions and interested parties that have requested service.
Any person desiring to be heard or to protest this filing should
file a motion to intervene or protest with the Federal Energy
Regulatory Commission, 888 First Street Washington, DC 20426, in
accordance with 385.214 and 385.211 of the Commission's Rules and
Regulations. All such motions or protests must be filed as provided in
Sec. 154.210 of the Commission's Regulations. Protests will be
considered by the Commission in determining the appropriate action to
be taken, but will not serve to make protestants parties to the
proceeding. Any person wishing to become a party must file a motion to
intervene. Copies of this filing are on file with the Commission and
are available for public inspection in the Public Reference Room.
Linwood A. Watson, Jr.,
Acting Secretary.
[FR Doc. 96-8725 Filed 4-8-96; 8:45 am]
BILLING CODE 6717-01-M
