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Purchase contract provisions pinpointed as major problem in statement of FERC. [Federal Energy Regulatory Commission]

Journal Article · · AGA Mon.; (United States)
OSTI ID:6891251
In August 1982, American Gas Association (AGA) provided the first documentation on the extent of recent fuel switching by industrial and power-plant customers from natural gas to competing fuels, mainly No. 6 fuel oil and some propane. The documentation represented AGA's criticism of the market-ordering solutions contemplated by the US Federal Energy Regulatory Commission in its solicitation for comments on the gas market's problems. The price data that were provided by AGA indicated that the fuel switching was price-induced. In its documentation, AGA asserted that although market-ordering problems exist, major price boosts for old gas would only worsen the situation by raising burner-tip prices and further inhibiting gas's marketability. AGA also forcefully reiterated its support of legislation to restrict the operation of indefinite price-escalator clauses after decontrol.
OSTI ID:
6891251
Journal Information:
AGA Mon.; (United States), Journal Name: AGA Mon.; (United States) Vol. 64; ISSN AGMOD
Country of Publication:
United States
Language:
English