Oklahoma Administrative Code › Title 165 - Corporation Commission › Chapter 45 - Gas Service Utilities › Subchapter 17 - Competitive Bidding and Affiliate Transaction Rules for the Provision of Natural Gas Services of Gas Supply, Gathering, Transmission and Storage of Natural Gas Utilities Upstream of the Citygate › Section 165:45-17-7 - Unbundling of natural gas services of gas supply, gathering, transmission and storage of all natural gas utilities upstream of citygates and proposed aggregation points

Current through Vol. 41, No. 20, July 1, 2024
(a) To
				establish a fair and reasonable process, wherein, the natural gas service
				industry can be restructured in such a manner that will be in the best public
				interest of all natural gas consumers, and that would complement and improve
				the state's economic growth by increasing its market base for natural gas and
				to effectuate the policy of the Commission that a competitive bidding process
				is among the most effective means to achieve these objectives, the natural gas
				services of gas supply, gathering, transmission and storage of all natural gas
				utilities shall be unbundled upstream of the citygate or proposed aggregation
				points. Any entity, including an intrastate pipeline, an interstate pipeline, a
				utility owned transmission pipeline and, where applicable, any marketer, gas
				producer or natural gas aggregator, may seek to competitively bid to provide
				these natural gas services. Gas supply, gathering, transmission and storage of
				all natural gas utilities upstream of the citygate shall be provided and priced
				on a separate and individual basis. All customers of a gas utility located
				upstream of a citygate and/or proposed aggregation point shall have the
				opportunity to purchase these services on an unbundled basis. Any customer
				which is subject to an existing pipeline tariff agreement or other tariff
				agreement shall not have the opportunity to purchase these services on an
				unbundled basis until the expiration or termination of such tariff agreement
				except upon order of the Commission. The Commission shall consider an
				application to modify any tariff agreement upon good cause shown as a result of
				the change in circumstances due to the restructuring of the natural gas service
				industry as reflected in this Subchapter, or for such other reason as the
				Commission may determine.
(b)
				Customers shall have the choice of what services to purchase and can pay for
				only the services which they need or desire:
(1) Each natural gas service offered on an
				unbundled basis by a gas utility shall be identified and provided under a
				separate tariff and available on a separate basis from other natural gas
				services offered by such utility.
(2) The rates to be charged by a gas utility
				for any unbundled natural gas service shall be based upon the cost of providing
				that service. In determining the costs of providing a specific unbundled
				service, no costs of providing any other natural gas service shall be charged
				or allocated to such specific unbundled service. These rates shall be
				system-wide rates by customer class or a sub-group of a customer class
				applicable to the particular unbundled service subject to subsection
				(a).