January 2011 Vol. 238 No. 1

Government

FERC Investigates Pipeline Rates; PHMSA Rejects INGAA Pleas

The Federal Energy Regulatory Commission (FERC) is investigating the possibility that two interstate pipelines are charging unreasonable rates. The FERC opened mid-November investigations of Kinder Morgan Interstate Gas Transmission LLC and Ozark Gas Transmission LLC, a unit of Spectra Energy Partners LP., based on reviews of Form 2 cost of service and revenue information submitted by the companies for 2008 and 2009. None of the FERC commissioners gave any indication they were beginning to look closely at pipeline rates more broadly, and that these two investigations were the front end of a longer string of upcoming cases. However, Chairman Jon Wellinghoff noted that the Kinder

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