In accordance
with 5 CFR 1320, the information collection is approved for three
years. Note that FERC’s submittal to OMB for the NOPR in Docket
RM96-1-038 was made under a temporary collection number (and
temporary placeholder), FERC-545A, to enable FERC to submit it
timely to OMB for PRA review. (It was also submitted under
FERC-549C.) The FERC-545A temporary collection no. was used because
another unrelated item (in Docket PL15-1) was pending OMB review
under FERC-545. The PRA package in Docket PL15-1 has since
concluded, so the Final Rule in Docket RM96-1-038 is submitted
under FERC-545, the permanent collection number. (The metadata for
this ICR, for administrative and system reasons, shows that this
collection is not related to a rulemaking; however note that the
reporting requirements are in fact related to the Final Rule in
Docket RM96-1-038.)
Inventory as of this Action
Requested
Previously Approved
12/31/2018
36 Months From Approved
09/30/2018
2,648
0
2,483
286,827
0
285,177
0
0
0
FERC-545 is required to implement
sections 4, 5, and 16 of the Natural Gas Act (NGA), (15 USC 717c
717o, PL 75 688, 52 Stat. 822 and 830). NGA Sections 4, 5, and 6
authorize the Commission to inquire into rate structures and
methodologies and to set rates at a just and reasonable level.
Specifically, a natural gas company must obtain Commission
authorization for all rates and charges made, demanded, or received
in connection with the transportation or sale of natural gas in
interstate commerce. Under the NGA, a natural gas company’s rates
must be just and reasonable and not unduly discriminatory or
preferential. The Commission may act under different sections of
the NGA to effect a change in a natural gas company’s rates. When
the Commission reviews rate increases that a natural gas company
has proposed, it is subject to the requirement of section 4(e) of
the NGA. Under section 4(e), the natural gas company bears the
burden of proving that its proposed rates are just and reasonable.
On the other hand, when the Commission seeks to impose its own rate
determination, it must do so in compliance with section 5(a) of the
NGA. Under section 5, the Commission must first establish that its
alternative rate proposal is both just and reasonable. Section 16
of the NGA states that the Commission “shall have the power to
perform any and all acts, and to prescribe, issue, make, amend, and
rescind such orders, rules, and regulations as it may find
necessary or appropriate to carry out provisions of [the NGA].” In
other words, section 16 of the NGA grants the Commission the power
to define accounting, technical and trade terms, prescribe forms,
statements, declarations or reports and to prescribe rules and
regulations. Pipelines adjust their tariffs to meet market and
customer needs. Commission review of these proposed changes is
required to ensure rates remain just and reasonable and that
services are not provided in an unduly or preferential manner. The
Commission’s regulation in 18 C.F.R. Part 154 specifies what
changes are allowed and the procedures for requesting Commission
approval. The Commission sets rates for interstate pipeline
services in a number of proceedings. For example, when a pipeline
files to increase its rates, it makes a filing with the Commission
under section 4 of the NGA. These types of filings are referred to
as general section 4 rate cases. In the proceedings, the Commission
reviews all of a pipeline’s rates and services. A pipeline can file
a general section 4 rate case anytime it wishes, provided the
pipeline did not agree otherwise in a settlement. A pipeline must
demonstrate that the new rates it proposes to charge are just and
reasonable. When a rate increase filing is made pursuant to section
4, the application is typically suspended and set for hearing by a
Commission Order. The submittal to OMB for the NOPR in RM96-1-038
was made under a temporary collection number (and temporary
placeholder), FERC-545A, 1902-0174), to enable FERC to submit this
package timely to OMB for review under the Paperwork Reduction Act.
This was done because another unrelated item (in Docket PL15-1) was
pending OMB review under FERC-545, and only one item per OMB
Control Number can be pending OMB review at a time; the item in
Docket PL15-1 has since concluded and the collection will be
submitted in the permanent collection, FERC-545. Due to the
submittal of the NOPR being under another OMB Control no. and ROCIS
restriction, it's being submitted here as 'not associated with a
rulemaking', however it is a final rule.
On behalf of this Federal agency, I certify that
the collection of information encompassed by this request complies
with 5 CFR 1320.9 and the related provisions of 5 CFR
1320.8(b)(3).
The following is a summary of the topics, regarding
the proposed collection of information, that the certification
covers:
(i) Why the information is being collected;
(ii) Use of information;
(iii) Burden estimate;
(iv) Nature of response (voluntary, required for a
benefit, or mandatory);
(v) Nature and extent of confidentiality; and
(vi) Need to display currently valid OMB control
number;
If you are unable to certify compliance with any of
these provisions, identify the item by leaving the box unchecked
and explain the reason in the Supporting Statement.
RM96-1-038 Supp State_Final Rule545_549C_11-5-15.docx
15 USC 717o.pdf
Gas Pipeline Rates: Rate Change (Non-formal)