18 Cfr 284.121-126

§ 284.15

18 CFR Ch. I (4–1–13 Edition)

§ 284.15 Bidding by affiliates in open
seasons for pipeline capacity.
(a) Multiple affiliates of the same entity may not participate in an open
season for pipeline capacity conducted
by any interstate pipeline providing
service under subparts B and G of this
part, in which the pipeline may allocate capacity on a pro rata basis, unless
each affiliate has an independent business reason for submitting a bid.
(b) For purposes of this section, an
affiliate is any person that satisfies the
definition of affiliate in § 358.3(a)(1) and
(3) of this chapter with respect to another entity participating in an open
season subject to paragraph (a) of this
section.
[Order 894, 76 FR 72306, Nov. 23, 2011]

Subpart B—Certain Transportation
by Interstate Pipelines
§ 284.101 Applicability.
This subpart implements section
311(a)(1) of the NGPA and applies to the
transportation of natural gas by any
interstate pipeline on behalf of:
(a) Any intrastate pipeline; or
(b) Any local distribution company.
§ 284.102 Transportation by interstate
pipelines.
(a) Subject to paragraphs (d) and (e)
of this section, other provisions of this
subpart, and the conditions of subpart
A of this part, any interstate pipeline
is authorized without prior Commission approval, to transport natural gas
on behalf of:
(1) Any intrastate pipeline; or
(2) Any local distribution company.
(b) Any rates charged for transportation under this subpart may not exceed the just and reasonable rates established under subpart A of this part.
(c) An interstate pipeline that engages in transportation arrangements
under this subpart must file reports in
accordance with § 284.13 of this chapter.
(d) Transportation of natural gas is
not on behalf of an intrastate pipeline
or local distribution company or authorized under this section unless:
(1) The intrastate pipeline or local
distribution company has physical custody of and transports the natural gas
at some point; or

(2) The intrastate pipeline or local
distribution company holds title to the
natural gas at some point, which may
occur prior to, during, or after the time
that the gas is being transported by the
interstate pipeline, for a purpose related to its status and functions as an
intrastate pipeline or its status and
functions as a local distribution company; or
(3) The gas is delivered at some point
to a customer that either is located in
a local distribution company’s service
area or is physically able to receive direct deliveries of gas from an intrastate pipeline, and that local distribution company or intrastate pipeline
certifies that it is on its behalf that
the interstate pipeline is providing
transportation service.
(e) An interstate pipeline must obtain from its shippers certifications including sufficient information to verify
that their services qualify under this
section. Prior to commencing transportation service described in paragraph
(d)(3) of this section, an interstate
pipeline must receive the certification
required from a local distribution company or an intrastate pipeline pursuant
to paragraph (d)(3) of this section.
[Order 436, 50 FR 42495, Oct. 18, 1985, as
amended by Order 526, 55 FR 33011, Aug. 13,
1990; Order 537, 56 FR 50245, Oct. 4, 1991; Order
581, 60 FR 53072, Oct. 11, 1995; Order 637, 65 FR
10222, Feb. 25, 2000; Order 756, 77 FR 4894, Feb.
1, 2012]

§§ 284.103–284.106

[Reserved]

Subpart C—Certain Transportation
by Intrastate Pipelines
§ 284.121

Applicability.

This subpart implements section
311(a)(2) of the NGPA and applies to the
transportation of natural gas by any
intrastate pipeline on behalf of:
(a) Any interstate pipeline, or
(b) Any local distribution company
served by any interstate pipeline.
§ 284.122 Transportation by intrastate
pipelines.
(a) Subject to paragraph (d) of this
section, other provisions of this subpart, and the applicable conditions of
Subpart A of this part, any intrastate

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Federal Energy Regulatory Commission
pipeline may, without prior Commission approval, transport natural gas on
behalf of:
(1) Any interstate pipeline; or
(2) Any local distribution company
served by an interstate pipeline.
(b) No rate charged for transportation authorized under this subpart
may exceed a fair and equitable rate
under § 284.123.
(c) Any intrastate pipeline engaged
in transportation arrangements authorized under this section must file
reports as required by § 284.126.
(d) Transportation of natural gas is
not on behalf of an interstate pipeline
or local distribution company served
by an interstate pipeline or authorized
under this section unless:
(1) The interstate pipeline or local
distribution company has physical custody of and transports the natural gas
at some point; or
(2) The interstate pipeline or local
distribution company holds title to the
natural gas at some point, which may
occur prior to, during, or after the time
that the gas is being transported by the
intrastate pipeline, for a purpose related to its status and functions as an
interstate pipeline or its status and
functions as a local distribution company.
[Order 436, 50 FR 42495, Oct. 18, 1985, as
amended by Order 537, 56 FR 50245, Oct. 4,
1991; Order 537–A, 57 FR 46501, Oct. 9, 1992;
Order 581, 60 FR 53073, Oct. 11, 1995; Order 756,
77 FR 4894, Feb. 1, 2012]

§ 284.123 Rates and charges.
(a) General rule. Rates and charges for
transportation of natural gas authorized under § 284.122(a) shall be fair and
equitable as determined in accordance
with paragraph (b) of this section.
(b) Election of rates. (1) Subject to the
conditions in §§ 284.7 and 284.9 of this
chapter, an intrastate pipeline may
elect to:
(i) Base its rates upon the methodology used:
(A) In designing rates to recover the
cost of gathering, treatment, processing, transportation, delivery or
similar service (including storage service) included in one of its then effective
firm sales rate schedules for city-gate
service on file with the appropriate
state regulatory agency; or

§ 284.123
(B) In determining the allowance permitted by the appropriate state regulatory agency to be included in a natural gas distributor’s rates for citygate natural gas service; or
(ii) To use the rates contained in one
of its then effective transportation rate
schedules for intrastate service on file
with the appropriate state regulatory
agency which the intrastate pipeline
determines covers service comparable
to service under this subpart.
(2)(i) If an intrastate pipeline does
not choose to make any election under
paragraph (b)(1) of this section, it shall
apply for Commission approval, by
order, of the proposed rates and
charges by filing with the Commission
the proposed rates and charges, and information showing the proposed rates
and charges are fair and equitable.
Each petition for approval filed under
this paragraph must be accompanied
by the fee set forth in § 381.403 or by a
petition for waiver pursuant to § 384.106
of this chapter. Upon filing the petition
for approval, the intrastate pipeline
may commence the transportation
service and charge and collect the proposed rate, subject to refund.
(ii) 150 days after the date on which
the Commission received an application filed pursuant to paragraph
(b)(2)(i) of this section, the rate proposed in the application will be deemed
to be fair and equitable and not in excess of an amount which interstate
pipelines would be permitted to charge
for providing similar transportation
service, unless within the 150 day period, the Commission either extends
the time for action, or institutes a proceeding in which all interested parties
will be afforded an opportunity for
written comments and for the oral
presentation of views, data and arguments. In such proceeding, the Commission either will approve the rate or
disapprove the rate and order refund,
with interest, of any amount which has
been determined to be in excess of
those shown to be fair and equitable or
in excess of the rates and charges
which interstate pipelines would be
permitted to charge for providing similar transportation service.
(iii) A Commission order approving
or disapproving a transportation rate
under this paragraph supersedes a rate

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§ 284.124

18 CFR Ch. I (4–1–13 Edition)

determined in accordance with paragraph (b)(1) of this section.
(c) Treatment of revenues. The Commission presumes that all revenues received by an intrastate pipeline in connection with transportation authorized
under § 284.122(a) and computed in accordance with paragraph (b)(1) of this
section have been or will be taken into
account by the appropriate state regulatory agency for purposes of establishing transportation charges by the
intrastate pipeline for service to intrastate customers.
(d) Presumptions. If the intrastate
pipeline is charging a rate computed
pursuant to § 284.123(b)(1), the rate
charged is presumed to be:
(1) Fair and equitable; and
(2) Not in excess of the rates and
charges which interstate pipelines
would be permitted to charge for providing similar transportation service.
(e) Filing requirements. Within 30 days
of commencement of new service, any
intrastate pipeline that engages in
transportation arrangements under
this subpart must file with the Commission a statement that includes the
pipeline’s interstate rates, the rate
election made pursuant to paragraph
(b) of this section, and a description of
how the pipeline will engage in these
transportation arrangements, including operating conditions, such as quality standards and financial viability of
the shipper. If the pipeline changes its
operations, rates, or rate election
under this subpart, it must amend the
statement and file such amendments
not later than 30 days after commencement of the change in operations or the
change in rate election.
(f) Electronic filing of statements, and
related materials—(1) General rule. All
filings made in proceedings initiated
under this part must be made electronically, including rates and charges,
or parts thereof, and material related
thereto,
statements,
and
all
workpapers.
(2) Requirements for signature. All filings must be signed in compliance with
the following:
(i) The signature on a filing constitutes a certification that the contents are true to the best knowledge
and belief of the signer, and that the

signer possesses full power and authority to sign the filing.
(ii) A filing must be signed by one of
the following:
(A) The person on behalf of whom the
filing is made;
(B) An officer, agent, or employee of
the company, governmental authority,
agency, or instrumentality on behalf of
which the filing is made; or,
(C) A representative qualified to
practice before the Commission under
§ 385.2101 of this chapter who possesses
authority to sign.
(iii) All signatures on the filing or
any document included in the filing
must comply, where applicable, with
the requirements in § 385.2005 of this
chapter with respect to sworn declarations or statements and electronic signatures.
(3) Format requirements for electronic
filing. The requirements and formats
for electronic filing are listed in instructions for electronic filing and for
each form. These formats are available
on the Internet at http://www.ferc.gov
and can be obtained at the Federal Energy Regulatory Commission, Public
Reference Room, 888 First Street, NE.,
Washington, DC 20426.
[44 FR 52184, Sept. 7, 1979, as amended at 44
FR 66791, Nov. 21, 1979; Order 394, 49 FR 35364,
Sept. 7, 1984; Order 436, 50 FR 42496, Oct. 18,
1985; 50 FR 52276, Dec. 23, 1985; Order 581, 60
FR 53073, Oct. 11, 1995; Order 714, 73 FR 57535,
Oct. 3, 2008]

§ 284.124

Terms and conditions.

Contracts for the transportation of
natural gas authorized under this subpart shall provide that the transportation arrangement is subject to the
provisions of this subpart.
§ 284.125

[Reserved]

§ 284.126 Reporting requirements.
(a) Notice of bypass. An intrastate
pipeline that provides transportation
(except storage) under § 284.122 to a customer that is located in the service
area of a local distribution company
and will not be delivering the customer’s gas to that local distribution
company, must file with the Commission within thirty days after commencing such transportation, a statement that the interstate pipeline has

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Federal Energy Regulatory Commission
notified the local distribution and the
local distribution company’s appropriate state regulatory agency in writing of the proposed transportation
prior to commencement.
(b) Form No. 549D, Quarterly Transportation and Storage Report of Intrastate Natural Gas and Hinshaw Pipelines.
(1) Each intrastate pipeline must use
Form No. 549D to file a quarterly report with the Commission and the appropriate state regulatory agency that
contains, for each transportation and
storage service provided during the
preceding calendar quarter under
§ 284.122, the following information on
each transaction, aggregated by contract:
(i) The full legal name, and identification number, of the shipper receiving the service, including whether
there is an affiliate relationship between the pipeline and the shipper;
(ii) The type of service performed
(i.e., firm or interruptible transportation, storage, or other service);
(iii) The rate charged under each contract, specifying the rate schedule/
name of service and docket where the
rates were approved. The report should
separately state each rate component
set forth in the contract (i.e., reservation, usage, and any other charges);
(iv) The primary receipt and delivery
points covered by the contract, identified by the list of points that the pipeline has published with the Commission, which shall include the industry
common code for each point where one
has already been established;
(v) The quantity of natural gas the
shipper is entitled to transport, store,
or deliver under each contract;
(vi) The duration of the contract,
specifying the beginning and (for firm
contracts only) ending month and year
of the current agreement;
(vii) Total volumes transported,
stored, injected or withdrawn for the
shipper; and
(viii) Annual revenues received for
each shipper, excluding revenues from
storage services. The report should separately state revenues received under
each component, and need only be reported every fourth quarter.
(2) The quarterly Form No. 549D report for the period January 1 through
March 31 must be filed on or before

§ 284.142
June 1. The quarterly report for the period April 1 through June 30 must be
filed on or before September 1. The
quarterly report for the period July 1
through September 30 must be filed on
or before December 1. The quarterly report for the period October 1 through
December 31 must be filed on or before
March 1.
(3) Each Form No. 549D report must
be filed as prescribed in § 385.2011 of this
chapter as indicated in the General Instructions and Data Dictionary set out
in the quarterly reporting form. Each
report must be prepared and filed in
conformance with the Commission’s
software or XML Schema, eTariff filing
structure, and reporting guidance, so
as to be posted and available for
downloading from the FERC Web site
(http://www.ferc.gov). One copy of the
report must be retained by the respondent in its files.
(4) Intrastate pipelines filing Form
No. 549D are no longer required to file
Form No. 549—Intrastate Pipeline Annual Transportation Report after their
March 31, 2011 filing.
[Order 436, 50 FR 42496, Oct. 18, 1985, as
amended at 50 FR 52276, Dec. 23, 1985; Order
636, 57 FR 13317, Apr. 16, 1992; Order 581, 60 FR
53073, Oct. 11, 1995; 71 FR 38066, July 5, 2006;
75 FR 29419, May 26, 2010; 75 FR 80697, Dec. 23,
2010; Order 757, 77 FR 4224, Jan. 27, 2012]

Subpart D—Certain Sales by
Intrastate Pipelines
SOURCE: 44 FR 12409, Mar. 7, 1979, unless
otherwise noted. Redesignated at 44 FR 52184,
Sept. 7, 1979.

§ 284.141 Applicability.
This subpart implements section
311(b) of the NGPA and applies to certain sales of natural gas by intrastate
pipelines to:
(a) Interstate pipelines; and
(b) Local distribution companies
served by interstate pipelines.
§ 284.142 Sales by intrastate pipelines.
Any intrastate pipeline may, without
prior Commission approval, sell natural gas to any interstate pipeline or
any local distribution company served
by an interstate pipeline. The rates
charged by an intrastate pipeline pursuant to this subpart may not exceed

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