Federal Register / Vol. 61, No. 103 / Tuesday, May 28, 1996 / Notices 26509

1Algonquin Gas proposes to rebuild the East

Providence meter station under its Subpart F

blanket certificate and associated environmental

requirements. Algonquin LNG will pay for the

rebuild.

services with more than one award

made under each RFP.

Contract Term: A contract term of five

to ten years is envisioned. This would

allow a contractor two to three years to

procure transportation and storage

equipment and achieve operational

readiness. Performance of waste

acceptance and transportation services

would take place over the remaining

period of any contract. A service period

spanning several years also would allow

contractors the flexibility to improve the

efficiency of operations and reduce

costs.

Schedule: Schedule specifics will be

addressed in any solicitation. For

planning purposes, it is expected that a

Federal facility could be in operation to

receive spent fuel within four years of

statutory direction, and contractors

could be expected to begin developing

service arrangements with Purchasers

two to three years before spent fuel

shipment.

Submissions of Interest

OCRWM is interested in receiving

expressions of interest and comments

relating to this proposed approach for

carrying out its waste acceptance,

transportation and any storage functions

especially with regard to the following

issues:

1. The ability of transportation service

contractors and individual Purchasers to

reach agreement on methods and

schedules for servicing specific utility

sites, including ways to foster Purchaser

cooperation.

2. The willingness of Purchasers to

construct temporary or permanent

physical plant modifications and to

obtain license amendments or technical

specification changes that would

improve the efficiency and reduce the

costs of loading and removal of spent

fuel from individual plants.

3. The reasonableness of dividing the

country into a number of regions to

preserve competition and industrial

capability in the marketplace, while still

ensuring low cost services to OCRWM.

4. The capability of the nuclear

industry to acquire sufficient spent fuel

canister, transportation cask, and

storage module production capacity to

meet near-term service contractor

requirements.

5. Potential business arrangements/

pricing structures which might increase

contractor freedom and flexibility to

develop and implement innovative

approaches to improve system

efficiency and lower costs, reduce or

eliminate the need for front-end

financing by OCRWM of contractor

activities and procurements, or mitigate

risks associated with programmatic

uncertainties.

6. Alternative methods of structuring

this procurement to ensure competition

on future procurements.

DOE will consider and may utilize all

information, recommendations, and

suggestions provided in response to this

notice. Respondents should not provide

any information that they consider to be

privileged or confidential or which the

respondent does not want disclosed to

the public. DOE does not intend to

respond to comments, either to

individual commentors or by

publication of a formal notice. Each

submittal should consist of one original

and three photocopies.

This notice should not be construed

(1) as a commitment by the Department

to enter into any agreement with any

entity submitting an expression of

interest or comments in response to this

Notice, (2) as a commitment to issue any

RFP concerning the subject of this

Notice, or (3) as a request for proposals.

Issued in Washington, DC, on May 21,

1996.

Scott Sheffield,

Director, Headquarters Operation Division

‘‘B’’, Office of Placement and Administration.

[FR Doc. 96–13244 Filed 5–24–96; 8:45 am]

BILLING CODE 6450–01–P

Federal Energy Regulatory

Commission

[Docket No. CP96–517–000]

Algonquin LNG, Inc.; Notice of

Application

May 21, 1996.

Take Notice that on May 13, 1996,

Algonquin LNG, Inc. (Algonquin LNG),

1284 Soldiers Field Road, Boston,

Massachusetts, 02135, filed in Docket

No. CP96–517–000 an application for a

certificate of public convenience and

necessity under Section 7(c) of the

Natural Gas Act (NGA) and a request for

abandonment of services and facilities

under Section 7(b) of the NGA.

Algonquin LNG seeks authorization for

new services and facilities so that it will

have the enhanced flexibility to receive

from its customers natural gas to be

liquefied and stored as liquefied natural

gas (LNG), and to withdraw and deliver,

as requested by its customer(s), such

natural gas in liquid or gaseous form.

Algonquin LNG’s proposal is more fully

set forth in its application which is on

file with the Commission and open for

public inspection.

Specifically, Algonquin LNG seeks

authorization to:

(1) acquire, own, and operate existing

pipeline facilities for the purpose of

connecting its storage facility to the

interstate pipeline grid;

(2) construct, own, and operate new

pipeline, liquefaction, high-pressure

vaporization, metering, and ancillary

facilities; and,

(3) provide an enhanced LNG firm

and interruptible handling service,

which will include natural gas

liquefaction, LNG storage and LNG

vaporization on an open access, selfimplementing blanket basis.

Algonquin LNG also wants the

Commission to:

(4) approve the terms and conditions

of a restated and revised FERC Gas

Tariff;

(5) approve a Blanket Certificate

under Part 157, Subpart F, of the

Commission’s Regulations for the

construction from time to time of

eligible facilities other than those at the

LNG plant site; and,

(6) authorize the abandonment,

pursuant to Section 7(b) of the NGA, of

the services it presently provides, and

the low-pressure vaporizers and certain

other facilities currently in service at

Algonquin LNG’s site.

Algonquin LNG currently owns and

operates a 600,000 barrel LNG storage

facility located at a site on the west bank

of the Providence River in Providence,

Rhode Island. Algonquin LNG utilizes

such LNG storage facility to provide

firm and interruptible open access LNG

storage and vaporization service

approved under Part 284 of the

Commission’s regulations pursuant to

Algonquin LNG’s Rate Schedules FST–

LG and IST–LG. Algonquin LNG says

that its current LNG plant does not have

direct access to the interstate pipeline

grid, but that vaporized LNG is

delivered into the interstate system via

displacement through the local

distribution facilities of Providence Gas

Company (Providence Gas).

Algonquin LNG proposes by this

application to enhance its LNG storage

services by installing liquefaction

capability at its LNG plant and to

establish a direct connection to the

interstate pipeline grid. Algonquin LNG

will acquire two 10-inch lines under the

Providence River near its LNG plant

from Providence gas and will construct

one mile of new 20-inch line to connect

the river crossing with Algonquin Gas

Transmission Company’s (Algonquin

Gas) mainline.1 Algonquin LNG will

also construct liquefaction facilities

capable of liquefying natural gas at a

rate of 40,000 MMBtu/d, and
26510 Federal Register / Vol. 61, No. 103 / Tuesday, May 28, 1996 / Notices

vaporization facilities with a

vaporization capability of 375,000

MMBtu/d. Further, Algonquin LNG will

construct various metering facilities,

control and monitoring systems and

other miscellaneous facilities. No

changes to tank storage although

Algonquin LNG intends to conduct a

thorough inspection of the internal

components of the tank and perform any

necessary maintenance. The total cost of

all of this work is estimated to be $75.7

million, including the acquisition cost

of the river crossing pipelines.

Algonquin LNG proposes to provide

its new open access LNG handling

service under the terms of its proposed

Second Revised Volume No. 1—FERC

Tariff, which is contained in Exhibit P

of the application. Algonquin LNG says

that the open access provisions of its

former Volume No. 1—FERC Tariff have

been replicated in the new tariff.

Algonquin LNG says that the new tariff

will control the nomination and

scheduling of liquefaction and

vaporization and may, under certain

conditions, subject customers to

operational flow orders. The tariff

consists of a firm service rate schedule

and an interruptible rate schedule, plus

general terms and conditions and pro

forma service agreements.

The proposed initial rates for

Algonquin LNG’s firm and interruptible

services are based on a straight fixedvariable cost classification. The

reservation fee has been designed on the

basis of storage tank capacity. The

vaporization and liquefaction services

will subject the customers to fuel use

retainage factors and adjustments. The

rate base underlying the proposed initial

rates is based on the estimated capital

cost of $75.7 million, plus the net book

value as of November 1, 1997, of the

existing facilities that will be used as

part of this proposal. The cost of service

underlying the proposed initial rates

was developed utilizing the capital

structure of Algonquin LNG’s parent

Algonquin Gas and the cost of capital,

as approved in Algonquin Gas’s most

recent rate settlement, along with a

proposed depreciation rate of 3.33

percent.

Algonquin LNG says that interruptible

customers will pay a unit rate equal to

the cost that a firm customer would

incur for storage of one barrel of LNG for

one year, but that no costs have been

allocated to interruptible service.

Instead, the tariff provides for crediting

to firm customers of 90 percent of

revenues received for interruptible

storage and services.

Algonquin LNG says that the available

capacity of the project, 592,000 barrels

of LNG storage, has been fully

subscribed. Providence Gas has signed a

binding precedent agreement obligating

it to sign a service agreement for

349,452 barrels. EnergyPlus Marketing

Company (EnergyPlus), an affiliate of

Algonquin LNG via parent company

PanEnergy Corp., has signed a binding

precedent agreement obligating it to sign

a service agreement for 242,548 barrels,

the remainder of the available capacity.

Therefore, Algonquin LNG says that it

has satisfied all of the conditions

required to avoid an ‘‘at risk’’ condition.

Both Providence Gas and EnergyPlus

will be responsible for obtaining gas

supplies.

Algonquin LNG says that the existing

Algonquin Gas system would function

as both the upstream and the

downstream connection to the proposed

new facilities, depending upon whether

Algonquin LNG is functioning in the

vaporization or liquefaction mode.

There is capacity on the Algonquin Gas

system to take gas away from the

Algonquin LNG Interconnect. Thus, no

downstream capacity needs to be

installed on the Algonquin Gas pipeline

to support peak day vaporization

operations of the Algonquin LNG

facility.

Algonquin LNG says that the

environmental impact of the proposed

project will be minimal. Most of the

construction will take place within a

site that has been dedicated to industrial

use for over a century. It says that the

use of the existing Providence Gasowned river crossings will further

minimize the environmental impacts of

the project. It further says that the

environmental impacts associated with

the 1 mile of 20-inch pipeline on the

east side of the river will be minimal as

a result of the location of a substantial

portion of the pipeline within or

adjacent to existing right-of-way

corridors. Algonquin LNG also says that

any impacts of the operation of the plant

would be little affected by the proposed

plant modifications and that the use of

electric compressors and pumps will

limit air and noise emissions from the

site.

Any person desiring to be heard or to

make any protest with reference to this

application should on or before June 12,

1996, 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 NGA (18 CFR 157.20). All

protests filed with the Commission will

be considered by it in determining the

appropriate action to be taken but will

not serve to make the protestants parties

to the proceeding. Any person wishing

to become a party to the 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

Commission by Sections 7 and 15 of the

NGA 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 is 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

Algonquin LNG to appear or be

represented at the hearing.

Lois D. Cashell,

Secretary.

[FR Doc. 96–13217 Filed 5–24–96; 8:45 am]

BILLING CODE 6717–01–M

[Docket No. RP96–212–001]

CNG Transmission Corporation; Notice

of Section 4 Filing

May 21, 1996.

Take notice that on May 14, 1996,

CNG Transmission Corporation (CNG),

tendered for filing, pursuant to Section

4 of the Natural Gas Act, Substitute

Original Sheets 10, 11, 12, 19, 22, 29,

30, 61, 62, 79, 84, 86, 87, 88, 89, 93, 103,

and 104 to First Revised Volume 1A of

CNG Transmission’s FERC Gas Tariff.

CNG further states that the filing is

made to correct errata in the filing of

First Revised Volume 1A.

Any person desiring to protest this

filing should file a protest with the

Federal Energy Regulatory Commission,

888 First Street, N.E., Washington, D.C.

20426, in accordance with the

requirements of the Commission’s Rules

and Regulations. All such protests must

be filed as provided in Section 154.210

of the Commission’s Regulations.

Protests will be considered by the

Commission in determining the

appropriate action to be taken, but will

not serve to make the protestants parties

to the proceedings. Copies of this filing

are on file with the Commission and are