Florida Gas Transmission Company; Notice of Proposed Changes in FERC Gas Tariff

[Federal Register Volume 61, Number 176 (Tuesday, September 10, 1996)]
[Notices]
[Page 47745]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-22979]


-----------------------------------------------------------------------

DEPARTMENT OF ENERGY
[Docket No. RP96-366-000]


Florida Gas Transmission Company; Notice of Proposed Changes in 
FERC Gas Tariff

September 4, 1996.
    Take notice that on August 30, 1996, Florida Gas Transmission 
Company (FGT) tendered for filing as part of its FERC Gas Tariff, Third 
Revised Volume No. 1 and Original Volume No. 3, the tariff sheets 
listed on Appendix A to the filing, proposed to become effective on 
October 1, 1996.
    FGT states that the proposed changes would increase revenues from 
jurisdictional service by approximately $27.4 million for the pre-
expansion system, and by approximately $8.2 million for the Phase III 
system over the first twelve months, both based on the twelve-month 
period ended April 30, 1996, as adjusted.
    FGT states that this rate filing is made to effectuate changes in 
the rates and terms applicable to FGT's services under Rate Schedules 
FTS-1, FTS-2, SFTS, NNTS, and ITS-1, the forms of service agreements 
thereunder, and the General Terms and Conditions. FGT states that the 
changes reflected in the tariff sheets, FGT asserts, are also required 
to make certain operational and administrative changes to FGT's Tariff, 
including provisions regarding shipper balancing.
    Further, FGT states it is eliminating Rate Schedules PTS-1 and PRS 
and the related forms of service agreements pursuant to the terms of 
the Settlement dated June 16, 1993 in Docket No. RS92-16-000, et al. In 
addition, FGT states it is transferring the rate provisions and other 
terms and conditions of Western Division transportation service, 
currently included in Rate Schedules FTS-1 and ITS-1, to new Rate 
Schedules FTS-WD and ITS-WD.
    FGT's proposed rates are based on a cost of service of $159.5 
million for the pre-expansion system and $159.2 million for the Phase 
III system. FGT states that its filing with respect to the Phase III 
system reflects the adjustment to common equity and the $18.75 million 
reduction to Account No. 101, Gas Plant in Service, provided by the 
Stipulation and Agreement of Settlement filed on July 30, 1996 in 
Docket No. FA94-15-000, which is pending Commission approval.
    FGT states that the overall return for the pre-expansion system is 
12.19% (reflecting a 9.70% cost of debt and a 14.50% return on common 
equity) and, for the Phase III system, is 10.50% (reflecting an 8.53% 
cost of debt and a 14.00% return on common equity). The depreciation 
component of FGT's cost of service computations for the pre-expansion 
system reflects an increase in the depreciation rate applicable to 
FGT's Onshore Transmission Plant from 2.5% to 3.56%. FGT states that, 
although it is proposing no change in the twenty-five year depreciable 
life of the Phase III system, FGT has adjusted the depreciation 
schedule utilizing a levelized rate methodology as provided for by the 
Phase III Settlement. Such adjusted depreciation schedule reflects the 
overall higher depreciation expense resulting from the fact that the 
actual construction costs of the Phase III system were greater than 
estimated.
    In addition, FGT is requesting authorization herein to secure third 
party storage from Bay Gas Storage Company, Ltd. (Bay Gas) to be 
utilized to provide No Notice service, including the expanded 
availability and flexibility of such service as proposed (including 
customer-requested increased winter quantities). FGT respectfully 
requests that the Commission grant whatever authorization is deemed 
necessary by December 1, 1996, so that FGT may proceed with the 
acquisition of such storage under the terms of its letter of intent 
with Bay Gas.
    Any person desiring to be heard or to protest said filing should 
file a motion to intervene or protest with the Federal Energy 
Regulatory Commission, 888 First Street, NE, Washington, DC 20426, in 
accordance with Sections 385.211 and 385.214 of the Commission's Rules 
and Regulations. All such motions or protests must be filed as provided 
in Section 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.
Lois D. Cashell,
Secretary.
[FR Doc. 96-22979 Filed 9-9-96; 8:45 am]
BILLING CODE 6717-01-M