PROPOSED RULEMAKING
PENNSYLVANIA PUBLIC UTILITY COMMISSION
[52 PA. CODE CH. 59]
[L-980134]
Reporting Requirements Relating to the Submission of Gas Supply and Demand Data
[29 Pa.B. 1515] The Pennsylvania Public Utility Commission (Commission) at its July 9, 1998, public meeting adopted a proposed rulemaking in response to a petition filed by the Pennsylvania Gas Association (PGA) to modify the reporting requirements in §§ 59.81 and 59.84 (relating to periodic reporting requirements for major gas utilities; and formats) regarding gas supply and demand data. The proposed amendments consolidate the existing ten forms with 49 tables that provide data on 5 historic years and 3 projected years. The changes eliminate seasonal data requirements, reduce the historical reporting period from 5 years to 2 years, eliminate detailed pricing information and tariff rates for transportation and storage and add tables which focus on the current year annual and peak day data. The result is that the existing 10 forms with 49 tables will be reduced to 9 forms with 9 tables. The contact persons are William Hall, Bureau of Conservation Economics and Energy Planning (CEEP) (717) 783-1547 and Ramona Cataldi, Assistant Counsel, Law Bureau (717) 787-3639.
Executive Summary
On February 9, 1998, the PGA filed a petition requesting that the Commission modify the reporting requirements in §§ 59.81 and 59.84. These requirements involve gas supply and demand data. The petition requested that the existing requirements be replaced by the proposed modified supply and demand forms.
The purpose of this proposed rulemaking is to consolidate the existing 10 forms, containing 49 tables which now provide data on 5 historic years and 3 projected years. The proposed changes eliminate seasonal data requirements, reduce the historical reporting period from 5 years to 2 years, eliminate detailed pricing information and tariff rates for transportation and storage, and add new tables which are focused on the current year annual and peak day data. The result is that the existing 10 forms with 49 tables will be reduced to 9 forms with 9 tables. These new forms and tables will provide a clearer and more concise presentation than the current tables.
Regulatory Review
Under section 5(a) of the Regulatory Review Act (71 P. S. § 745.5(a)), on March 10, 1999, the Commission submitted a copy of this proposed rulemaking to the Independent Regulatory Review Commission (IRRC) and to the Chairpersons of the House and Senate Committees. In addition to submitting the proposed amendments, the Commission has provided IRRC and the Committees with a copy of a detailed Regulatory Analysis Form prepared by the Commission in Compliance with Executive Order 1996-1, ''Regulatory Review and Promulgation.'' A copy of this material is available to the public upon request.
Under section 5(g) of the Regulatory Review Act, if IRRC has objections to any portion of the proposed amendments, it will notify the Commission within 10 days of the close of the Committees' review period. The notification shall specify the regulatory review criteria that have not been met by the portion of the proposed amendments to which an objection is made. The Regulatory Review Act specifies detailed procedures for review, prior to final publication of the amendments, by the Commission, the General Assembly and the Governor of objections raised.
Public Meeting
held July 9, 1998Commissioners Present: John M. Quain, Chairperson; Robert K. Bloom, Vice Chairperson; David Rolka; Nora Mead Brownell; and Aaron Wilson, Jr.
Proposed Rulemaking Order By the Commission:
On February 9, 1998, the PGA filed a petition requesting that the Commission amend §§ 59.81 and 59.84. These regulations concern the Natural Gas Integrated Resource Planning reports. The petition specifically involves the gas supply and demand forms (Forms IRP 1A, 1B, 1C, 2A, 2B, 2C, 4A, 4B, 4C).
Simultaneously, the PGA requested a waiver of the existing reporting requirements, and also requested that the proposed modified supply and demand forms be accepted by the Commission in lieu of the current requirements. The Commission approved that request on February 26, 1998.
By this order, we propose to amend the reporting requirements in §§ 59.81 and 59.84 relating to the submission of gas supply and demand data. The PGA's petition requests consolidation of the ten forms containing 49 tables, which now provide data on 5 historic years and 3 projected years. The proposed nine new consolidated forms would eliminate seasonal data and duplicative data. Each new form would contain one table and would provide data for 2 historic years and 3 projected years. Under the proposed rulemaking, the existing ten forms with 49 tables would become nine forms with a total of nine tables.
The proposed changes cover four main topics: elimination of seasonal data requirements, reduction of the historical reporting period from 5 years to 2 years, elimination of detailed pricing information and tariff rates for transportation and storage, and the addition of new tables which are focused on the current year annual and peak day data.
We are satisfied that we need not continue requiring the submission of seasonal data, except for the annual storage report. The Commission has not had occasion to use seasonal data for policy review for at least the past few years, nor have we received a request for seasonal information from the public or any other agency.
There have been some special cases in which we have examined seasonal storage data (injections and withdrawals). However, if seasonal data is necessary in a particular instance, specific data can always be gathered on a case by case basis. Additionally, the proposed rulemaking continues to require the submission of annual and peak day storage injection and storage withdrawal data.
A reduction of the historical reporting period from 5 years to 2 years is reasonable. Since a 5 year span only reiterates data which is available from previous reports, the Commission would continue to have access to this information, as necessary.
The elimination of detailed supply pricing information and tariff rates for transportation and storage would significantly simplify the reports. The contract volumes and termination dates of contracts will still be important during the continued restructuring of the gas industry. The contracts may represent a significant stranded cost for certain companies. The PGA is correct in the statement that the supply pricing data, along with the pipeline transportation tariffs and storage tariffs, is also contained in the 1307(f) filings. The 1307(f) filings contain data on storage and pipeline transportation tariffs in addition to other gas costs. Summary information would still be provided under the proposed reporting requirements.
The proposed new tables for supply provide a clearer presentation than the current tables. The new tables provide peak day and annual data based on the most recent year. The suggested forms present the data in a more concise and clear format. The new forms still provide the supply, transport, upstream and storage information that is used for analysis. Detailed supply contract reporting is limited to the ten largest contracts or 75% of total gas supply contracts (by volume). The remaining gas supply would be reported as miscellaneous (other) contract supplies which would provide a balance of supply and demand data.
We will not mandate the format of the required data. Instead, each jurisdictional utility shall continue to use the forms and schedules as specified by the Bureau of Conservation, Economics and Energy Planning, as already stated in § 59.84.
We are interested in receiving comments from any interested party on the proposed reporting requirements. Additionally, it is our intent that this data be made available to the public, to the extent possible. As the gas industry has been opened up to more competition, some gas utilities have considered this information to be confidential and proprietary. We request comments on what information, if any, contained in these reports should be considered confidential.
The Commission may still require additional data or information in certain instances. Nothing in this proposed rulemaking should be construed as restricting our authority to require the submission of additional gas utility data as the Commission may deem necessary. Rather, it is the intention of the Commission to eliminate unnecessary and burdensome reporting requirements whenever it is possible. Accordingly, under 66 Pa.C.S. §§ 308(c), 501, 504, 5213, 1319 and 1501, and the Commonwealth Documents Law (45 P. S. § 1201 et. seq.) and regulations promulgated thereunder in 1 Pa. Code §§ 7.1--7.4, we hereby propose amendments to the regulations in 52 Pa. Code §§ 59.81 and 59.84; Therefore,
It is Ordered that:
1. A proposed rulemaking docket shall be opened pertaining to the reporting requirements in §§ 59.81--59.84 to read as set forth in Annex A of this order.
2. The Secretary shall certify this order and Annex A and deposit them with the Legislative Reference Bureau for publication in the Pennsylvania Bulletin.
3. Interested parties may submit written comments, an original and 15 copies to the Secretary, Pennsylvania Public Utility Commission, P. O. Box 3265, Harrisburg, PA 17105-3265, within 30 days from the date this order is published in the Pennsylvania Bulletin. A copy of written comments shall also be served upon the Commission's Bureau of Conservation, Economics and Energy Planning.
4. The Secretary shall submit this order and Annex A to the Office of Attorney General for preliminary review as to form and legality.
5. The Secretary shall submit this order and Annex A to the Governor's Budget Office for review of fiscal impact.
6. The Secretary shall submit this order and Annex A for review and comments by designated standing committees of both Houses of the General Assembly, and for review and comments by IRRC.
7. A copy of this order and Annex A shall be served upon all jurisdictional gas utility companies, the Office of Consumer Advocate and the Office of Small Business Advocate.
JAMES J. MCNULTY,
SecretaryFiscal Note: 57-198. No fiscal impact; (8) recommends adoption.
Annex A
TITLE 52. PUBLIC UTILITIES
PART I. PUBLIC UTILITY COMMISSION
Subpart C. FIXED SERVICE UTILITIES
CHAPTER 59. GAS SERVICE
ANNUAL RESOURCE PLANNING REPORT § 59.81. Periodic reporting requirements for major gas utilities.
(a) For the purposes of this subchapter, each jurisdictional public utility with sales of 8 billion cubic feet per year or more including transportation volume shall submit to the Commission an annual integrated resource planning report. Except for Form 1A/2A, whose filing date is March 1, copies of the report shall be submitted on or before June 1, 1996, and June 1 of successive years. An original and five copies of the report shall be submitted. This report shall include a plan that includes the past year's historical data, program changes, and the next 3-year forecast. One copy of the report shall also be submitted to the Office of Consumer Advocate, the Office of Small Business Advocate and the Office of Trial Staff. The information contained within the report shall conform to the following requirements:
* * * * * (2) A forecast of annual[, winter season] and peak day energy demand requirements in million cubic feet displayed by component parts, as indicated in [Form 1A, Form 1B and Form 1C, respectively] Form-IRP-Gas-1A and Form-IRP-Gas-1B. The load growth projections shall reflect the effects of price elasticity, market-induced conservation, building and appliance efficiency standards and the effects of the utility's existing and planned conservation and load management activities.
(3) A forecast of annual[, winter season] and peak day energy supply resources in million cubic feet indicating sources of presently available and new supplies which the utility estimates will become available displayed by component parts, as indicated in Form-IRP-Gas-2A, a list of contracts for gas transportation to the reporting utility's city gate, upstream of the city gate and related to transportation, as indicated in Form-IRP-Gas-2B and a list of contracts for gas storage services provided to the reporting utility, as indicated in Form-IRP-Gas-2C[, respectively].
* * * * * (5) A summary forecast of annual[, winter season] and peak day energy supply resources and demand requirements in million cubic feet, as indicated in Form-IRP-Gas-4A[,] and Form-IRP-Gas-4B [and Form-IRP-Gas-4C].
(6) The data required under paragraphs (1)--(5) shall consist of the past [5] 2 years actual historical data, the current year (both actual and projected) and a 3-year forecast. For the purpose of this section, the term ''current year'' refers to the year in which the filing is being made.
* * * * * (b) The reporting formats referred to in this section are contained in § 59.84 (relating to formats). Annual data shall be submitted on a calendar year basis, January 1 through December 31. If the utility purchases gas on a contract basis other than a calendar year, the contract time interval shall be identified. [Winter season data shall be submitted for the period November 1 through March 31 unless compelling reasons require the use of a different interval, in which case, the interval utilized shall be indicated.]
* * * * * § 59.84. Formats.
In preparing the annual integrated resource planning reports required by § 59.81(a) (relating to periodic reporting requirements for major gas utilities), each jurisdictional utility shall use the forms and schedules specified by the Bureau of Conservation, Economics and Energy Planning, which shall include the following:
* * * * * (1) Form-IRP-Gas-1A--Annual [Energy] Gas Demand Requirements; Form-IRP-Gas-1B--[Winter Season Energy Demand Requirements; Form-IRP-Gas-1C--] Peak Day [Energy Demand] Gas Requirements.
(2) Form-IRP-Gas-2A--[Annual Energy Resources] Natural Gas Supply; Form-IRP-Gas-2B--[Winter Season Energy Resources] Natural Gas Transporta-tion; Form-IRP-Gas-2C--[Peak Day Energy Resource] Natural Gas Storage.
* * * * * (4) Form-IRP-Gas-4A--Annual [Supply/Demand] Supply and Demand Requirements Summary; Form-IRP-Gas-4B--[Winter Season Supply/Demand; Form-IRP-Gas-4C--] Peak Day [Supply/Demand] Supply and Demand Requirements Summary.
* * * * *
[Pa.B. Doc. No. 99-457. Filed for public inspection March 19, 1999, 9:00 a.m.]
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