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PA Bulletin, Doc. No. 00-1080

RULES AND REGULATIONS

Title 52--PUBLIC UTILITIES

PENNSYLVANIA PUBLIC UTILITY COMMISSION

[52 PA. CODE CH. 59]

[30 Pa.B. 3172]

[L-980134]

Reporting Requirements Relating to the Submission of Gas Supply and Demand Data

   The Pennsylvania Public Utility Commission (Commission) on March 2, 2000, adopted a final rulemaking order modifying the reporting requirements in §§ 59.81 and 59.84 (relating to periodic reporting requirements for major gas utilities; and formats) regarding gas supply and demand data. The contact persons are William Hall, Bureau of Conservaton, Economics and Energy Planning (717) 783-1547 and Rhonda Daviston, Law Bureau, (717) 787-6166.

Executive Summary

   On February 9, 1998, the Pennsylvania Gas Association (PGA) filed a petition requesting that the Commission modify the reporting requirements in §§ 59.81 and 59.84. These requirements involve gas supply and demand data. The petition requested that the existing requirements be replaced by the proposed modified supply and demand forms.

   The purpose of this regulation is to consolidate the existing 10 forms, containing 49 tables, which now provide data on 5 historic years and 3 projected years. The changes eliminate seasonal data requirements, reduce the historical reporting period from 5 years to 2 years, eliminate detailed pricing information and tariff rates for transportation and storage, and add new tables which are focused on the current year annual and peak day data. The result is that the existing 10 forms with 49 tables will be reduced to 9 forms with 9 tables. These new forms and tables will provide a clearer and more concise presentation than the current tables.

Regulatory Review

   Under section 5(a) of the Regulatory Review Act (71 P. S. § 745.5(a)), the Commission submitted a copy of the proposed rulemaking published at 29 Pa.B. 1515 (March 20, 1999) and served on March 10, 1999, to the Independent Regulatory Review Commission (IRRC) and the Chairpersons of the House Committee on Consumer Affairs and the Senate Committee on Consumer Protection and Professional Licensure for review and comment.

   Under section 5(c) of the Regulatory Review Act, the Commission also provided IRRC and the Committees with copies of all comments received, as well as other documentation. In preparing these final-form regulations, the Commission has considered all comments received from IRRC, the Committees and the public.

   Under section 5.1(d) of the Regulatory Review Act (71 P. S. § 745.5a(d)), on May 9, 2000, these final-form regulations were deemed approved by the House Committee on Consumer Affairs and by the Senate Committee on Consumer Protection and Professional Licensure. The final-form regulations were deemed approved by IRRC on May 11, 2000, under section 5.1(e) of the Regulatory Review Act.

Commissioners Present: John M. Quain, Chairperson; Robert K. Bloom, Vice Chairperson; Nora Mead Brownell; Aaron Wilson, Jr.; Terrance J. Fitzpatrick

Public Meeting held
March 2, 2000

Final Rulemaking Order

By the Commission:

   On February 9, 1998, the PGA filed a petition requesting that the Commission amend §§ 59.81 and 59.84. These regulations concern the Natural Gas Integrated Resource Planning Reports. The petition specifically involved the gas supply and demand forms (Forms IRP lA, lB, 1C, 2A, 2B, 2C, 4A, 4B, 4C).

   Simultaneously, the PGA requested a waiver of the existing reporting requirements, and also requested that the proposed modified supply and demand forms be accepted by the Commission in lieu of the current requirements. The Commission approved that request on February 26, 1998.

   The proposed rulemaking was published at 29 Pa.B. 1515 (March 20, 1999). Following publication, the Commission received a letter from the PGA in lieu of a formal comment. In its letter, the PGA noted that the new forms were developed through the joint efforts of utility representatives and Commission staff. The PGA endorsed the proposed amendments and stated that the new forms significantly reduce the number of tables submitted without compromising the Commission's analytical base or emergency preparedness.

   By this order, we amend the reporting requirements in §§ 59.81 and 59.84 relating to the submission of gas supply and demand data. Specifically, we are consolidating the 10 forms containing 49 tables, which now provide data on 5 historic years and 3 projected years. The nine new consolidated forms will eliminate seasonal data and duplicative data. Each new form will contain one table and will provide data for 2 historic years and 3 projected years. Under the amended regulations, the existing 10 forms with 49 tables will become 9 forms with a total of 9 tables.

   The amendments cover four main topics: elimination of seasonal data requirements, reduction of the historical reporting period from 5 years to 2 years, elimination of detailed pricing information and tariff rates for transportation and storage, and the addition of new tables which are focused on the current year annual and peak day data.

   We are satisfied that we need not continue requiring the submission of seasonal data, except for the annual storage report. The Commission has not had occasion to use seasonal data for policy review for at least the past few years, nor have we received a request for seasonal information from the public or any other agency.

   There have been some special cases in which we have examined seasonal storage data (injections and withdrawals). However, if seasonal data is necessary in a particular instance, specific data can always be gathered on a case by case basis. Additionally, the amended regulations continue to require the submission of annual and peak day storage injection and storage withdrawal data.

   A reduction of the historical reporting period from 5 years to 2 years is reasonable. Since a 5-year span only reiterates data which is available from previous reports, the Commission will continue to have access to this information, as necessary.

   The elimination of detailed supply pricing information and tariff rates for transportation and storage will significantly simplify the reports. Although the contract volumes and termination dates of contracts will still be important during the continued restructuring of the gas industry, the detailed shipping pricing data is not essential. As we have recognized, the statement that the supply pricing data, along with the pipeline transportation tariffs and storage tariffs, is also contained in the section 1307(f) filings. The section 1307(f) filings include data on storage and pipeline transportation tariffs in addition to other gas costs. Additionally, summary information of this data will still be provided under the amended reporting requirements.

   The new tables for supply provide a clearer presentation than the current tables. The new tables provide peak day and annual data based on the most recent year. The suggested forms present the data in a more concise and clear format. The new forms still provide the supply, transport, upstream and storage information that is used for analysis. Detailed supply contract reporting is limited to the ten largest contracts or 75% of total gas supply contracts (by volume). The remaining gas supply would be reported as miscellaneous (other) contract supplies which will provide a balance of supply and demand data.

   We will not mandate the format of the required data. Instead, each jurisdictional utility shall continue to use the forms and schedules as specified by the Bureau of Conservation, Economics and Energy Planning, as already stated in § 59.84.

   The Commission may still require additional data or information in certain instances. Nothing in this amended rulemaking should be construed as restricting our authority to require the submission of additional gas utility data as the Commission may deem necessary. Rather, it is the intention of the Commission to eliminate unnecessary and burdensome reporting requirements whenever it is possible. Accordingly, under 66 Pa.C.S. §§ 308(c), 501, 504, 5213, 1319 and 1501, and the act of July 31, 1968 (P. L. 769, No. 240) (45 P. S. §§ 1201, et. seq.) and regulations promulgated thereunder at 1 Pa. Code §§ 7.1--7.4, we hereby amend the regulations in 52 Pa. Code §§ 59.81 and 59.84; Therefore, It Is Ordered That:

   1.  The regulations of the Commission, 52 Pa. Code (relating to public utilities) are amended consistent with this order by amending the reporting requirements in §§ 59.81 and 59.84 to read as set forth in Annex A.

   2.  The Secretary shall certify this order and Annex A and deposit them with the Legislative Reference Bureau for publication in the Pennsylvania Bulletin.

   3.  The Secretary shall submit this order and Annex A to the Office of Attorney General for review as to form and legality.

   4.  The Secretary shall submit this order and Annex A to the Governor's Budget Office for review of fiscal impact.

   5.  The Secretary shall submit this order and Annex A for review by designated standing committees of both Houses of the General Assembly, and for review and approval by the Independent Regulatory Review Commission.

   6.  A copy of this order and Annex A shall be served upon all jurisdictional gas utility companies, the Office of Consumer Advocate, and the Office of Small Business Advocate.

JAMES J. MCNULTY,   
Secretary

   (Editor's Note:  For the text of the order of the Independent Regulatory Review Commission, relating to this document, see 30 Pa.B. 2688 (May 27, 2000).)

   Fiscal Note: Fiscal Note 57-198 remains valid for the final adoption of the subject regulations.

Annex A

TITLE 52.  PUBLIC UTILITIES

PART I.  PUBLIC UTILITY COMMISSION

Subpart C.  FIXED SERVICE UTILITIES

CHAPTER 59.  GAS SERVICE

ANNUAL RESOURCE PLANNING REPORT

§ 59.81.  Periodic reporting requirements for major gas utilities.

   (a)  For the purposes of this subchapter, each jurisdictional public utility with sales of 8 billion cubic feet per year or more including transportation volume shall submit to the Commission an annual integrated resource planning report. Except for Form 1A/2A, whose filing date is March 1, copies of the report shall be submitted on or before June 1, 1996, and June 1 of successive years. An original and five copies of the report shall be submitted. This report shall include a plan that includes the past year's historical data, program changes, and the next 3-year forecast. One copy of the report shall also be submitted to the Office of Consumer Advocate, the Office of Small Busines Advocate and the Office of Trial Staff. The information contained within the report shall conform to the following requirements:

   (1)  The name and telephone number of persons having knowledge of the matters, and to whom inquiries should be addressed.

   (2)  A forecast of annual and peak day energy demand requirements in million cubic feet displayed by component parts, as indicated in Form-IRP-Gas-1A and Form-IRP-Gas-lB. The load growth projections shall reflect the effects of price elasticity, market-induced conservation, building and appliance efficiency standards and the effects of the utility's existing and planned conservation and load management activities.

   (3)  A forecast of annual and peak day energy supply resources in million cubic feet indicating sources of presently available and new supplies which the utility estimates will become available displayed by component parts, as indicated in Form-IRP-Gas-2A, a list of contracts for gas transportation, to the reporting utility's city gate, upstream of the city gate and related to transportation as indicated in Form-IRP-Gas-2B and a list of contracts for gas storage services provided to the reporting utility, as indicated in Form-IRP-Gas-2C.

   (4)  A forecast of the number of customers (year end) displayed by component parts, as indicated in Form-IRP-Gas-3.

   (5)  A summary forecast of annual and peak day energy supply resources and demand requirements in million cubic feet, as indicated in Form-IRP-Gas-4A and Form-IRP-Gas-4B.

   (6)  The data required under paragraphs (1)--(5) shall consist of the past 2 years actual historical data, the current year (both actual and projected) and a 3-year forecast. For the purpose of this section, the term ''current year'' refers to the year in which the filing is being made.

   (7)  A detailed discussion of the methodologies, data sources and assumptions used in preparing the information required by this section shall be included.

   (b)  The reporting formats referred to in this section are contained in § 59.84 (relating to formats). Annual data shall be submitted on a calendar year basis, January 1 through December 31. If the utility purchases gas on a contract basis other than a calendar year, the contract time interval shall be identified.

   (c)  Annual integrated resource planning reports submitted under subsection (a) shall be accompanied by a summary suitable for public distribution. The summary shall include an implementation plan specifying activities scheduled for the acquisition and development of the resources delineated in the report, which are to take place during the planning period. Utilities shall maintain copies of the summary open for public inspection during normal business hours.

   (d)  Informal sessions may be scheduled for reviewing integrated resource plans and providing an opportunity for interested parties to participate in the review process.

§ 59.84.  Formats.

   In preparing the annual integrated resource planning reports required by § 59.81(a) (relating to periodic reporting requirements for major gas utilities), each jurisdictional utility shall use the forms and schedules specified by the Bureau of Conservation, Economics and Energy Planning, which shall include the following:

   (1)  Form-IRP-Gas-lA--Annual Gas Demand Requirements; Form-IRP-Gas-1B--Peak Day Gas Requirements.

   (2)  Form-IRP-Gas-2A--Natural Gas Supply; Form-IRP-Gas-2B--Natural Gas Transportation; Form-IRP-Gas-2C--Natural Gas Storage.

   (3)  Form-IRP-Gas-3--Number of Customers (Year End).

   (4)  Form-IRP-Gas-4A--Annual Supply and Demand Requirements Summary; Form-IRP-Gas-4B--Peak Day Supply and Demand Requirements Summary.

   (5)  Form-IRP-Gas-5--Program Description.

   (6)  Form-IRP-Gas-6--Energy Users.

   (7)  Form-IRP-Gas-7--Program Summary.

   (8)  Form-IRP-Gas-8--Cost-Benefit Analysis Inputs.

   (9)  Form-IRP-Gas-9--Cost-Benefit Analysis Results.      

[Pa.B. Doc. No. 00-1080. Filed for public inspection June 23, 2000, 9:00 a.m.]



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