FERC Draft Orders on Kern River and PG&E Projects

FERC today issued Draft Orders denying rehearing in the following:

Kern River, CP01-31 (2002 Expansion Project)
Rejected arguments of the Firm Customers that the project should not have been approved or, alternatively, the rights of the expansion shippers at Wheeler Ridge should be subordinate to those of the existing shippers.

PG&E Gas Transmission, NW, CP01-141 (2001 Expansion)
Rejected Newport Northwest LLC's assertion that requiring the expansion shippers to pay a fuel cost surcharge to recover any incremental fuel costs due to the additional compression approved for this project is contrary to FERC precedent and the policy statement on expansion facilities.

These orders should be issued within the next few days, and we will circulate copies. Let Melinda know if you want to see the draft copies before then (they are not available electronically).