FERC orders rate design to reduce gas costs

Journal Article · Mon Oct 11 04:00:00 EDT 1982 · Energy User News; (United States)

OSTI ID:6883861

Betts, M

A plan initiated by the Federal Energy Regulatory Commission (FERC) offers pipeline companies financial incentives to keep their prices low enough to retain utility customers who might otherwise switch to residual oil. FERC will target pipelines whose costs approach those of competing fuels. The goal is to shift the burden of underutilized pipelines from consumers and distribuors back to the pipelines. A sliding scale for pipeline profits and targeted sales is a possible design. The five-member FERC commission ordered the incentive rate design for a Tennessee Gas Pipeline Co. hearing, and asked consumers to suggest rate designs. Future intervenors will have to make their own requests. Industry supports the FERC order, but wants the incentives to be standardized. (DCK)

• OSTI ID: 6883861
• Journal Information: Energy User News; (United States), Journal Name: Energy User News; (United States) Vol. 7:41; ISSN EUSND
• Country of Publication: United States
• Language: English

Related Subjects

03 NATURAL GAS
030600 -- Natural Gas-- Economic
Industrial
& Business Aspects
29 ENERGY PLANNING, POLICY, AND ECONOMY
294003* -- Energy Planning & Policy-- Natural Gas
ENERGY SOURCES
ENERGY SYSTEMS
FINANCIAL INCENTIVES
FLUIDS
FOSSIL FUELS
FUEL GAS
FUEL SUBSTITUTION
FUELS
GAS FUELS
GASES
NATIONAL ORGANIZATIONS
NATURAL GAS
NATURAL GAS DISTRIBUTION SYSTEMS
PIPELINES
PRICES
RATE STRUCTURE
REGULATIONS
US DOE
US FERC
US ORGANIZATIONS