FERC Requests Comments on Capacity Assignment Rules for Interstate Service Offered by Section 311 and Hinshaw Pipelines

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Today the Federal Energy Regulatory Commission (FERC or Commission) issued a Notice of Inquiry (NOI) (attached) requesting comments regarding whether and how holders of firm interstate capacity on section 311 and Hinshaw pipelines can allow others to use their capacity, including to what extent buy/sell transactions should be permitted. Comments will be due 60 days from the date of publication in the Federal Register.

Enforcement of Buy/Sell Prohibition on Section 311 and Hinshaw Pipelines Pending Resolution

In light of the uncertainty continuing to surround these issues, the Commission has decided that it "will not institute any enforcement actions with respect to prior buy/sell transactions involving section 311 and Hinshaw pipelines." The Commission also grants "a blanket waiver of the prohibition on buy/sell transactions to allow existing and new buy/sell transactions involving section 311 and Hinshaw pipelines to continue to take place until the Commission issues a further order in this proceeding."

Please see full alert below for more information.

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