National Fuel Gas Supply Corporation; Notice of Amendment

[Federal Register Volume 62, Number 230 (Monday, December 1, 1997)]
[Notices]
[Pages 63536-63537]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-31371]


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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission
[Docket No. CP98-94-000]


National Fuel Gas Supply Corporation; Notice of Amendment

November 24, 1997.
    Take notice that on November 17, 1997, National Fuel Gas Supply 
Corporation (National Fuel), 10 Lafayette Square, Buffalo, New York 
14203, filed an application pursuant to Sections 7(b) and (c) of the 
Natural Gas Act for a certificate of public convenience and necessity 
authorizing the construction and operation of facilities in order to 
create additional firm transportation capacity from the Niagara Import 
Point to the Leidy Hub (1997 Niagara Expansion Project--Phase II), and 
permission and approval to abandon certain facilities, all as more 
fully set forth in the application which is on file with the Commission 
and open to public inspection.
    National Fuel states that its 1997 Niagara Expansion Project--Phase 
II would provide an additional 23,000 Dth per day of firm winter-only 
capacity from the Niagara Import Point to the interconnection between 
the facilities of National Fuel and Transcontinental Gas Pipe Line 
Corporation at Leidy, Pennsylvania. It is stated that the additional 
firm winter-only transportation service will be provided pursuant to 
National Fuel's Rate Schedule FT and part 284 of the Commission's 
regulations. National Fuel contends that this additional capacity is 
subscribed on a long-term basis by Renaissance Energy U.S., Inc. 
(Renaissance), subject to the receipt of necessary regulatory 
approvals.
    In order to provide this firm transportation service to 
Renaissance, National Fuel proposes to modify its existing Ellisburg 
Compressor Station in Potter County, Pennsylvania, including the 
abandonment and replacement of four compressor units (three 330 
horsepower units and one 300 horsepower unit) with the installation of 
one 3,200 horsepower unit. National Fuel estimates that the project 
will cost $5.1 million.
    National Fuel states that during each month within each winter 
period, it will charge Renaissance the maximum rate for FT service from 
the Niagara Import Point to the Leidy Hub. However, National Fuel 
contends that the revenues generated by such maximum rates, collected 
only over the winter period, will not fully recover the incremental 
cost of service for the

[[Page 63537]]

project. Therefore, National Fuel proposes to amend its Rate Schedule 
FT to establish a reservation surcharge applicable to Renaissance, 
calculated to recover the differential. National Fuel proposes a 
reservation surcharge of $2.3565 per Dth.
    National Fuel requests that the Commission make a determination 
that rolled-in rate treatment is appropriate for the costs and revenues 
associated with its 1997 Niagara Expansion Project--Phase II, other 
than the costs allocated to the proposed surcharge. National Fuel 
contends that if the Rate Schedule FT surcharge is approved and costs 
are allocated in the manner discussed in Section VIII of its 
application, the project would not increase the rates of any of 
National Fuel's firm shippers by more than 0.02 percent.
    In addition, National Fuel requests waiver of Section 3.2 of its 
Rate Schedule FT to the extent necessary to permit National Fuel to 
accept a guaranty from Renaissance's parent company, Renaissance Energy 
Ltd. of the obligations of Renaissance under the service agreement to 
be executed by National Fuel and Renaissance.
    National Fuel requests that the Commission issue an order granting 
the authorization requested herein on or before March 1, 1998, to allow 
for commencement of the new service as scheduled on November 1, 1998.
    Any person desiring to be heard or to make any protest with 
reference to said amendment should on or before December 15, 1997, file 
with the Federal Energy Regulatory Commission, 888 First Street, N.E., 
Washington, D.C. 20426, a motion to intervene or a protest in 
accordance with the requirements of the Commission's Rules of Practice 
and Procedure (18 CFR 385.214 or 385.211) and the Regulations under the 
Natural Gas Act (18 CFR 157.10). All protests filed with the Commission 
will be considered by it in determining the appropriate action to be 
taken but will not serve to make the protestants parties to the 
proceeding. Any person wishing to become a party to a proceeding or to 
participate as a party in any hearing therein must file a motion to 
intervene in accordance with the Commission's Rules.
    Take further notice that, pursuant to the authority contained in 
and subject to jurisdiction conferred upon the Federal Energy 
Regulatory Commission by Sections 7 and 15 of the Natural Gas Act and 
the Commission's Rules of Practice and Procedure, a hearing will be 
held with further notice before the Commission or its designee on this 
application if no motion to intervene is filed within the time required 
herein, or if the Commission on its own review of the matter finds that 
permission and approval for the proposed certificate and abandonment 
are required by the public convenience and necessity. If a motion for 
leave to intervene is timely filed, or if the Commission on its own 
motion believes that a formal hearing is required, further notice of 
such hearing will be duly given.
    Under the procedure herein provided for, unless otherwise advised, 
it will be unnecessary for National Fuel to appear or be represented at 
the hearing.
Linwood A. Watson, Jr.,
Acting Secretary.
[FR Doc. 97-31371 Filed 11-28-97; 8:45 am]
BILLING CODE 6717-01-M