Proposed Transfer of Two Natural Gas Pipeline Operating Companies, and for Lightened and Incide...
NY-ADR
11/7/18 N.Y. St. Reg. PSC-45-18-00004-P
NEW YORK STATE REGISTER
VOLUME XL, ISSUE 45
November 07, 2018
RULE MAKING ACTIVITIES
PUBLIC SERVICE COMMISSION
PROPOSED RULE MAKING
NO HEARING(S) SCHEDULED
I.D No. PSC-45-18-00004-P
Proposed Transfer of Two Natural Gas Pipeline Operating Companies, and for Lightened and Incidental Regulation
PURSUANT TO THE PROVISIONS OF THE State Administrative Procedure Act, NOTICE is hereby given of the following proposed rule:
Proposed Action:
The Commission is considering a petition for approval to transfer ownership of Alliance Energy Transmissions LLC and Alliance Energy Transmissions-Syracuse LLC, and for incidental regulation of the transferred companies.
Statutory authority:
Public Service Law, sections 2(10), (11), (12), (13), 5(1)(b), 5-b, 64, 65, 66, 68, 69 and 70
Subject:
Proposed transfer of two natural gas pipeline operating companies, and for lightened and incidental regulation.
Purpose:
To consider transfer if there is no market power or ratepayer harm, incidental regulation, and continuing lightened regulation.
Substance of proposed rule:
The Commission is considering a petition filed by Alliance Energy Group, LLC (AEG), Alliance Energy Transmissions LLC (AET), Alliance Energy Transmissions-Syracuse, LLC (AET-Syracuse), the Linger Trust, and AET Holdings LLC (AET Holdings) (collectively, the Petitioners) for the authority to transfer ownership of AET and AET-Syracuse from AEG to AET Holdings. Petitioners request that AET and AET-Syracuse be incidentally regulated as provided by Public Service Law Section 66(13), and for confirmation that the lightened ratemaking regulatory regimes previously granted to these companies will continue after the proposed transaction is effectuated.
Petitioners explain that AET owns and operates an approximately 11.2-mile intrastate natural gas pipeline that is used exclusively to transport gas to an approximately 67.3 MW electric generating facility located in Batavia, New York. AET-Syracuse owns and operates an approximately 9.5-mile intrastate natural gas pipeline that is used solely to provide natural gas transportation services to Syracuse University. As proposed, AET would transfer 100% of its membership interests in these companies to AET Holdings, a company formed for purposes of the proposed transaction.
Petitioners note that AET and AET-Syracuse operate under lightened ratemaking regulatory regimes previously approved by the Commission. Requesting confirmation that this regulatory treatment will continue after the proposed transaction is effectuated, Petitioners also request further relief from regulation that Public Service Law Section 66(13) makes available, under certain circumstances, to companies whose jurisdictional business is incidental to its primary, unregulated business.
The full text of the petition and the full record of the proceeding may be reviewed online at the Department of Public Service web page: www.dps.ny.gov. The Commission may adopt, reject or modify, in whole or in part, the action proposed and may resolve related matters.
Text of proposed rule and any required statements and analyses may be obtained by filing a Document Request Form (F-96) located on our website http://www.dps.ny.gov/f96dir.htm. For questions, contact:
John Pitucci, Public Service Commission, 3 Empire State Plaza, Albany, New York 12223-1350, (518) 486-2655, email: [email protected]
Data, views or arguments may be submitted to:
Kathleen H. Burgess, Secretary, Public Service Commission, 3 Empire State Plaza, Albany, New York 12223-1350, (518) 474-6530, email: [email protected]
Public comment will be received until:
60 days after publication of this notice.
Regulatory Impact Statement, Regulatory Flexibility Analysis, Rural Area Flexibility Analysis and Job Impact Statement
Statements and analyses are not submitted with this notice because the proposed rule is within the definition contained in section 102(2)(a)(ii) of the State Administrative Procedure Act.
(18-G-0615SP1)
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