18 Cfr 284.288

§ 284.285

18 CFR Ch. I (4–1–11 Edition)

sales service agreement for a bundled
sales service are converted to an equivalent amount of unbundled sales service and an equivalent amount of
unbundled interruptible transportation
service.
(d)
A
pipeline
that
provides
unbundled sales service under this section may serve as an agent of the sales
customer to arrange for any pipelineprovided service necessary to deliver
gas to the customer.
(e) Small customer cost-based rate. A
pipeline that provided bundled sales
service to a small customer before the
effective date of the blanket certificate
granted in paragraph (a) of this section
is required to offer a sales service to
that customer at a cost-based rate for
one year from the effective date of the
certificate. The obligation to sell at
the cost-based rate expires one year
after the effective date of the certificate.
[Order 636, 57 FR 13318, Apr. 16, 1992, as
amended by Order 636–A, 57 FR 36218, Aug. 12,
1992; Order 581, 60 FR 53074, Oct. 11, 1995]

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§ 284.285 Pregrant of abandonment of
unbundled sales services.
Abandonment of unbundled sales
services is authorized pursuant to section 7(b) of the Natural Gas Act upon
the expiration of the contractual term
or upon termination of each individual
sales arrangement authorized under
§ 284.284.
§ 284.286 Standards of conduct for
unbundled sales service.
(a) To the maximum extent practicable, the pipeline must organize its
unbundled sales and transportation operating employees so that they function independently of each other.
(b) The pipeline must conduct its
business to conform to the requirements set forth in § 284.7(b)(2) and
§ 284.9(b)(2) with respect to the equality
of service by not giving shippers of gas
sold by the pipeline any preference
over shippers of gas sold by any other
merchant in matters relating to part
284 transportation.
(c) The pipeline must comply with
part 358 by considering its unbundled
sales operating employees as an operational unit which is the functional
equivalent of a marketing affiliate.

(d) The pipeline must comply with
§ 250.16 of this chapter by considering
its unbundled sales operating employees as an operational unit which is the
functional equivalent of a marketing
affiliate.
(e)
A
pipeline
that
provides
unbundled sales service under § 284.284
must have tariff provisions on file with
the Commission indicating how the
pipeline is complying with the standards of this section.
[Order 636, 57 FR 13318, Apr. 16, 1992, as
amended by Order 566, 59 FR 32899, June 27,
1994; Order 581, 60 FR 53074, Oct. 11, 1995;
Order 2004, 68 FR 69157, Dec. 11, 2003]

§ 284.287 Implementation and effective
date.
(a) Prior to offering any sales service
under this subpart J, a pipeline must
file revised tariff sheets incorporating
the provisions of this subpart J.
(b) A blanket certificate issued under
§ 284.284 will be effective on the effective date (as approved by the Commission) of the tariff sheets implementing
service under that certificate.
[Order 581, 60 FR 53074, Oct. 11, 1995]

§ 284.288 Code
of
conduct
for
unbundled sales service.
(a) To the extent Seller engages in
reporting of transactions to publishers
of electricity or natural gas indices,
Seller must provide accurate and factual information, and not knowingly
submit false or misleading information
or omit material information to any
such publisher, by reporting its transactions in a manner consistent with
the procedures set forth in the Policy
Statement on Natural Gas and Electric
Price Indices, issued by the Commission
in Docket No. PL03–3–000 and any clarifications thereto. Seller must notify
the Commission as part of its FERC
Form No. 552 annual reporting requirement in § 260.401 of this chapter whether it reports its transactions to publishers of electricity and natural gas
indices. In addition, Seller must adhere
to any other standards and requirements for price reporting as the Commission may order.
(b)
A
pipeline
that
provides
unbundled natural gas sales service
under § 284.284 shall retain, for a period
of five years, all data and information

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Federal Energy Regulatory Commission

§ 284.402

upon which it billed the prices it
charged for natural gas it sold pursuant to its market based sales certificate or the prices it reported for use in
price indices.

(i) A natural gas conditioning or
processing facility, or
(ii) Another pipeline, or
(iii) A distributor or end user of natural gas.

[Order 644, 68 FR 66336, Nov. 26, 2003, as
amended by Order 673, 71 FR 9716, Feb. 27,
2006; Order 677, 71 FR 30287, May 26, 2006; 73
FR 1032, Jan. 4, 2008]

[Order 509, 53 FR 50938, Dec. 19, 1988, as
amended by Order 509-A, 54 FR 8313, Feb. 28,
1989]

§ 284.303

Subpart K—Transportation of Natural Gas on the Outer Continental Shelf by Interstate Natural Gas Pipelines on Behalf
of Others
SOURCE: Order 509, 53 FR 50938, Dec. 19,
1988, unless otherwise noted.

[Order 559, 58 FR 52663, Oct. 12, 1993]

§ 284.301

Subpart L—Certain Sales for
Resale by Non-interstate Pipelines

Applicability.

This subpart implements section 5 of
the Outer Continental Shelf Land Act
(OCSLA) and applies to any jurisdictional interstate natural gas pipeline
that holds a certificate under section 7
of the Natural Gas Act (NGA) authorizing the construction and operation of
facilities on the Outer Continental
Shelf (OCS).
§ 284.302

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OCS blanket certificates.

Every OCS pipeline [as that term is
defined in § 284.302(b)] is required to
provide open-access, nondiscriminatory
transportation service pursuant to a
blanket
transportation
certificate
issued under subpart G of this part.

§ 284.401

Definitions.

Affiliated marketer. For purposes of
this subpart, an ‘‘affiliated marketer’’
is a person engaged in the ‘‘marketing’’
of natural gas that is an ‘‘affiliate’’ of
an interstate pipeline as those terms
are defined in § 161.2 of this chapter.
[Order 547, 57 FR 57959, Dec. 8, 1992]

Definitions.

For the purposes of this subpart, the
term:
(a) Outer Continental Shelf (OCS) has
the same meaning as found in section
2(a) of the OCSLA (43 U.S.C. 1331(a));
and
(b) OCS pipeline means an interstate
natural gas pipeline that holds a certificate under section 7 of the NGA authorizing the construction and operation of facilities on the OCS, and includes all of the OCS pipeline’s facilities that fall within the scope of the
Commission’s jurisdiction under section 7 of the NGA to the full extent
that such facilities are used or necessary to transport natural gas on or
across the OCS between:
(1) Any locations on the OCS (if the
pipeline does not have an interconnection off the OCS), or
(2) The OCS and the first point of
interconnection on the shoreward side
of the OCS where the pipeline delivers
or receives natural gas to or from either:

§ 284.402 Blanket
cates.

marketing

(a) Authorization. Any person who is
not an interstate pipeline is granted a
blanket certificate of public convenience and necessity pursuant to section
7 of the Natural Gas Act authorizing
the certificate holder to make sales for
resale at negotiated rates in interstate
commerce of any category of gas that
is subject to the Commission’s Natural
Gas Act jurisdiction. A blanket certificate issued under Subpart L is a certificate of limited jurisdiction which
will not subject the certificate holder
to any other regulation under the Natural Gas Act jurisdiction of the Commission, other than that set forth in
this Subpart L, by virtue of the transactions under this certificate.
(b) The authorization granted in
paragraph (a) of this section will become effective on January 7, 1993 except as otherwise provided in paragraph (c) of this section.

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