Cost Recovery Mechanisms for Modernization of Natural Gas Facilities

FERC is seeking comments on a proposed Policy Statement regarding Cost Recovery Mechanisms for Modernization of Natural Gas Facilities.  The proposed Policy Statement, issued on November 20, 2014 in Docket No. PL15-1, notes that interstate pipelines are likely to incur costs associated with modernizing their facilities pursuant to obligations imposed by the Pipeline and Hazardous Materials Safety Administration (PHMSA) and with complying with greenhouse gas emission requirements imposed by the Environmental Protection Agency (EPA).  FERC is proposing a means to permit pipelines to recover these costs in a manner that will continue to ensure that pipeline rates remain just and reasonable and that natural gas consumers are protected from excessive costs.
Continue Reading FERC Issues Proposed Policy Statement Regarding Cost Recovery For Pipeline Modernization