Natural Gas Supply Association Objects to INGAA's Characterization of Columbia Gas Modernization Cost Surcharge as 'Precedent' Underlying FERC's Policy on Cost Recovery Mechanisms for Gas Facility Modernization; Also Opposes Any Cost Rationalization Mandate for Surcharges in Capacity Release Contracts

摘要

The Natural Gas Supply Association (NGSA) made some comments at FERC in response to a request for clarification submitted in mid- May by the Process Gas Consumers (PGC) and the American Forest & Paper Association (AF&PA) regarding the need for a generic determination on cost responsibility for the modernization surcharges in existing interstate natural gas pipeline capacity release contracts. NGSA also commented on what it characterized as "an inaccurate assertion" submitted by the Interstate Natural Gas Association of American (INGAA) (in an answer to the PGC/AF&PA) that a prior modernization surcharge settlement (Columbia Gas) creates "precedent". Both contested issues are in regard to the FERC's April 16 Policy Statement -- Cost Recovery Mechanisms for Modernization of Natural Gas Facilities (PL15-1).