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[Federal Register Volume 62, Number 34 (Thursday, February 20, 1997)]
[Notices]
[Page 7764]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-4126]

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DEPARTMENT OF ENERGY
[Docket No. CP97-237-000]

Panhandle Eastern Pipeline Company and Southwest Gas Storage 
Company; Notice of Application

February 13, 1997.
    Take notice that on February 7, 1997, Panhandle Eastern Pipe Line 
Company (Panhandle) and Southwest Gas Storage Company (Southwest), both 
located at P.O. Box 1642, Houston, Texas 77251-1642, filed in Docket 
No. CP97-237-000 an application, pursuant to Sections 7(b) and (c) of 
the Natural Gas Act, authorizing (1) Panhandle to abandon its Howell 
(Michigan), Waverly Illinois), and North Hopeton (Oklahoma) storage 
fields, including all cushion gas and appurtenant facilities, along 
with the cushion gas supplied by Panhandle to Southwest's Borchers 
North (Kansas) Storage Field, by transfer to Southwest; (2) Panhandle 
to abandon the lease of cushion gas to Southwest under Rate Schedule 
LS-1; (3) Southwest to acquire and operate all of Panhandle's storage 
field assets; and (4) Southwest to abandon storage service provided to 
Panhandle under Rate Schedule S-1, all as more fully set forth in the 
application, which is on file with the Commission and open for public 
inspection.
    It is indicated that Southwest is a wholly-owned subsidiary of 
Panhandle. It is also indicated that Panhandle will transfer the assets 
at net book value. Also, it is stated that Southwest would provide 35 
Bcf of storage service to Panhandle under Rate Schedule FSS in 
Panhandle's field zone from the North Hopeton and Borchers North 
Storage Fields. It is indicated that Southwest would also provide 21.4 
Bcf of storage service to Panhandle in Panhandle's market zone from the 
Waverly and Howell Storage fields. Panhandle states that it would in 
turn continue to provide unbundled, open-access storage and 
transportation to its customers using storage capacity provided by 
Southwest and third parties.
    Southwest states that the existing injection and withdrawal 
profiles in its tariff are based on the performance of its single 
storage field, Borchers North Storage Field. It is indicated that, with 
the addition of the three storage fields, Southwest must modify the 
injection and withdrawal profiles by combining the Borchers North and 
North Hopeton areas as the West Area Storage Facilities and the Waverly 
and Howell storage fields as the East Area Storage Facilities. 
Southwest also proposes to modify its Rate Schedule FSS to reflect the 
addition of the East Area Storage facilities and a new delivery point 
for West Area Storage Facilities and to make minor modifications to 
Rate Schedules FSS and ISS. Southwest also proposes to institute a fuel 
tracker mechanism within Rate Schedules FSS and ISS to allow Southwest 
to track projected fuel requirements against actual fuel usage from the 
combined storage fields, with bi-annual adjustments to the fuel 
reimbursement rate at April 1 and November 1 of each year to coincide 
with the beginning of the injection and withdrawal periods, 
respectively.
    It is stated that the Commission's approval of the abandonment and 
certificate authorization would permit Panhandle to further streamline 
its business operations in conjunction with the industry's 
restructuring under Order No. 636 and allow all of Panhandle's storage 
facilities to be owned by a single, non-jurisdictional company.
    Any person desiring to be heard or to make any protest with 
reference to said application should on or before March 6, 1997, file 
with the Federal Energy Regulatory Commission, Washington, D.C. 20426, 
a motion to intervene or a protest in accordance with the requirements 
of the Commission's Rules of Practice and Procedure (18 CFR 385.214 or 
385.211) and the Regulations under the Natural Gas Act (18 CFR 157.10). 
All protests filed with the Commission will be considered by it in 
determining the appropriate action to taken but will not serve to make 
the protestants parties to the proceeding. Any person wishing to become 
a party to a proceeding or to participate as a party in any hearing 
therein must file a motion to intervene in accordance with the 
Commission's Rules.
    Take further notice that, pursuant to the authority contained in 
and subject to the jurisdiction conferred upon the Federal Energy 
Regulatory Commission by Sections 7 and 15 of the Natural Gas Act and 
the Commission's Rules of Practice and Procedure, a hearing will be 
held without further notice before the Commission or its designee on 
this application if no motion to intervene is filed within the time 
required herein, if the Commission on its own review of the matter 
finds that a grant of the certificate and permission and approval for 
the proposed abandonment are required by the public convenience and 
necessity. If a motion for leave to intervene is timely filed, or if 
the Commission on its own motion believes that a formal hearing is 
required, further notice of such hearing will be duly given.
    Under the procedure herein provided for, unless otherwise advised, 
it will be unnecessary for Panhandle or Southwest to appear or be 
represented at the hearing.
Linwood A. Watson, Jr.,
Acting Secretary.
[FR Doc. 97-4126 Filed 2-19-97; 8:45 am]
BILLING CODE 6717-01-M
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