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Tony Pryor Tony Pryor
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When the Commission granted Texas Eastern authority to hold capacity on another pipeline in Texas Eastern Transmission Corporation, 74 FERC P 61,074 (1996), it stated that when a pipeline holds capacity on an upstream pipeline, the downstream pipeline's customers may hold title to the gas transported on the upstream pipeline.
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The Commission recognized this as one of the limited exceptions to the shipper must have title rule.
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Specifically, the Commission stated: The downstream pipeline will not hold title to gas shipped on capacity it has acquired on an upstream pipeline.
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Rather, shippers on the downstream pipeline will hold title to the gas on the upstream pipeline.
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We will allow a pipeline to hold the upstream capacity; we will not, however, allow the pipeline to hold title to the gas being shipped.
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Thus, the downstream pipeline will be the shipper on the upstream pipeline, but will not hold title when the gas is being shipped.
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This results in a limited exception to the rule that a shipper must hold title to gas being shipped.
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I believe that if we can address the Commission's other concerns about this filing, they will grant a similar waiver for this transaction.
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You can feel free to pass this along to your contact at PNM.
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HOROSCOPE: Weekly For May 15-21: You're moving away from one base of operations into another.
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Your priorities and basic requirements are also shifting.
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You find yourself relying less on something you've clung to in the past -- and moving closer to something newer, fresher, and more invigorating.
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You've got a rage to live and a burning desire for peak experiences.
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Middle of the road choices won't do it for you.
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Your hankering to push the envelope could get you into hot water with the old guard and certain close associates or relatives -- possibly because they're afraid of being replaced.
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But the genie is already out of the bottle, Aquarius.
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You can't unlearn what you've already tasted.
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Change is rolling in on its own power now.
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Go with it.
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.
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.
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and try to enjoy the ride.
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.
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.
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HOROSCOPE: Weekly For May 2000: Reassess your goals and friendships.
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Things have changed.
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Are you satisfied with your job, relationships, and immediate future?
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May brings things to light that have been buried or disguised.
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Take a cool calm steady look at what surfaces.
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.
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.
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and decide if a change in direction is warranted.
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It's clear that your work scenario needs refurbishing and your daily schedule cries out for major rehab.
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But first and foremost, you'll get your second wind by dropping tension and frustration mid month, increasing the probability for better relations with friends, coworkers, and relatives.
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Try to establish healthy, positive change no later than the Full Moon.
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Take steps to insure your financial and business future on or before May 28.
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The Word of the Day for May 19 is: *1 : of, relating to, or caused by witchcraft or the supernatural : magical 2 : of strange or extraordinary character : odd, fantasti Example sentence: "Hagar, the witch, chanted an awful incantation over her kettleful of simmering toads, with weird effect."
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(LouisaMay Alcott, Little Women) Did you know?
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You may know today's word as a generalized term for anyth unusual, but "weird" also has older meanings that are mor specific.
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"Weird" derives from the Old English noun "wyrd essentially meaning "fate."
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By the late 8th century, theplural "wyrde" had begun to appear in texts as a gloss for the Latin name for the Fates -- three goddesses who spun, measured, and cut the thread of life. In the 15th and 16t centuries, Scots authors employed "werd" or "weird" in th phrase "weird sisters" to refer to the Fates. William Shakespeare adopted this usage in Macbeth, in which the "weird sisters" are depicted as three witches. Subsequent adjectival use of "weird" grew out of a reinterpretation of the "weird" in Shakespeare.
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Mike, please see the attached.
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The first document has Transwestern's revisions highlighted.
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If this meets with your approval, please execute two originals and send them to me.
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Please call me if you have any questions.
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Susan Scott Transwestern Pipeline Company 1400 Smith St., Room 4788
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Steve, attached for your reading pleasure is the testimony we've filed in the GIR proceeding.
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The man who thinks he can do without the world is indeed mistaken; but the man who thinks the world cannot do without him is mistaken even worse.
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Well, I wanted you to have something to open ON your birthday.
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Greetings from San Francisco!
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I'm told we're having "earthquake weather" today.
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Don't know what that means, but it sounds scary!
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Hi to K. and G.!
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In response to your inquiries about whether TW's tariff allows the format posting, bidding and awarding of capacity in our EnronOnline proposal, here is my 2 cents' worth.
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The criteria for awarding capacity is found in the Right of First Refusal section of TW's tariff (for some reason that's never been clear to me).
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See Section 13.A.
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(Sheet No. 18): "All available capacity shall be allocated under these procedures, and Transporter will not maintain a firm transportation queue."
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The ROFR section does specify the posting and bidding procedures (including a minimum one month period between posting and the bid deadline -- See Section 13.D.) but arguably these timelines only apply to the ROFR bidding process, not to an open season for other capacity.
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Even if the one-month minimum bid period did apply outside the ROFR process, the EnronOnline proposal complies by giving shippers at least a month to submit bids (Tony -- am I right about this?).
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The only other relevant part of our tariff is the EBB/Internet section of the General Terms and Conditions (beginning on Sheet No. 72).
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TW will continue to comply with all provisions in this section.
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The section even specifically provides that shippers may request service and contract electronically.
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I've found nothing in else in TW's tariff that would appear to address an online open season one way or the other.
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I believe our tariff gives us the flexibility to sell capacity online as we've proposed to do.
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Hope this helps.
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If you want to discuss this I'll be here most of the day, and I will be reachable by e-mail while I'm in San Francisco next week.
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My hearing does not start 'til noon Houston time on Tuesday, so if we need to talk Tuesday morning you can reach me at my hotel (415.398.1234).
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Tried to print a blank form without success.
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Is there any other way I can get one, so I can do some rough drafts of my reviews on my business trip next week.
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Please advise.
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Christine, this looks fine to me.
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Please circulate to the appropriate people for approval with a notation that Appendix or Exhibit whatever provides that the quantity goes to zero during Apr-Oct.
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If you need to reach me, I'll be logged in from about 9 to 10 a.m. your time before I go to our hearing here in SF.
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Sorry for the late response; it's been a little crazy out here!
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Approved.
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Since the market affiliate rule looks at business units rather than the function within the business unit (or any firewalls that are set up), since he works for ECT I have to say I would be uncomfortable putting him on the distribution list.
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I know that he has access to the same info, but to give him access to our work product is probably a violation of the rule.
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I am out of town, but if you have any questions please e-mail or leave me a voice mail, and I will reply after my hearing today.
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Since the contract quantity goes to zero in Nov.-Mar., they pay no reservation charge in those months, so effectively the rate is zero for those months.
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I suppose we could draft it either way and logistically it would work.
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We used a similar structure in a deal we did earlier this year, if I recall correctly.
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Also -- I agree that we would need to file this as a material deviation if SWG agrees to include the capacity release provision.
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In case FERC does not like the provision for some reason, do we want to provide that disapproval by FERC will invalidate the whole contract (see language in the recent USGT contract), or do we want it to invalidate just that provision and let the rest of the deal stand?
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It would depend on how much value the parties are attaching to that provision and whether we would want a chance to renegotiate...and I am assuming we would.
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Christine, let me know which is preferable and I'll send you some language in the a.m.
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Mike, please see the attached, which incorporates the changes we discussed yesterday.
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If this looks acceptable to you, please sign two originals and forward them to me.
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Thanks.
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Susan Scott Transwestern Pipeline Company 1400 Smith St., Room 4788
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Glen, at page 1020 of the transcript of yesterday's proceedings, the judge asked you and Norm Pedersen to work with various other parties to develop an exhibit reflecting capacity at the California border.
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The judge mentioned she wanted to discuss the exhibit this morning, so I am surprised that you did not attempt to contact me to get Transwestern's input or at least to let us review the exhibit.
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I would like to review the exhibit as soon as possible.
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I am out of town but you can either e-mail it to me or fax it to 941-466-2198 (before 3 pm PDT).
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Also, I should be reachable on my mobile phone (713-494-5002) or by voice mail at my office (713-853-0596).
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Glen, thanks for the quick response.
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The process the parties agreed upon yesterday is acceptable to TW.
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Sorry to hear there was an emergency at home; I hope all is well by now.
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Luckily, we will have input re.
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the exhibit, and if SoCal does not cooperate to make it accurate, we will be able to file our own with an explanation.
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