18 Cfr 2.80

§ 2.80

18 CFR Ch. I (4–1–16 Edition)

STATEMENT OF GENERAL POLICY TO IMPLEMENT PROCEDURES FOR COMPLIANCE WITH THE NATIONAL ENVIRONMENTAL POLICY ACT OF 1969

§§ 2.100–2.102

§ 2.103 Statement of policy respecting
take or pay provisions in gas purchase contracts.
(a) Recognizing that take or pay contract obligations may be shielding the
prices of deregulated and other higher
cost gas from market constraints, the
Commission sets forth its general policy regarding prepayments for natural
gas pursuant to take or pay provisions
in gas contracts and amendments
thereto between producers and interstate pipelines which become effective
December 23, 1982. The provisions of
this policy statement do not establish
a binding norm but instead provide
general guidance. In particular cases,
both the underlying validity of the policy and its application to particular
facts may be challenged and are subject to further consideration.
(b) With respect to gas purchase contracts entered into on or after December 23, 1982, the Commission intends to
apply a rebuttable presumption in general rate cases that prepayments to
producers will not be given rate base
treatment if the prepayments are made
pursuant to take or pay requirements
in such gas purchase contracts or
amendments which exceed 75 percent of
annual deliverability.

AUTHORITY: Sections 2.80–2.82 issued under
secs. 4, 10, 15, 307, 309, 311 and 312 (41 Stat.
1065, 1066, 1068, 1070; 46 Stat. 798, 49 Stat. 839,
840, 841, 942, 843, 844, 856, 857, 858, 859, 860,
Stat. 501, 82 Stat. 617; 16 U.S.C. 797, 803, 808,
825f, 825h, 825j, 825k), and the Natural Gas
Act, particularly secs. 7 and 16 (52 Stat. 824,
825, 830, 56 Stat. 83, 84; 61 Stat. 459; 15 U.S.C.
717f, 717o), and the National Environmental
Policy Act of 1969, Pub. L. 91–190, approved
January 1, 1970, particularly secs. 102 and 103
(83 Stat. 853, 854), unless otherwise noted.

§ 2.80 Detailed
ment.

environmental

state-

(a) It will be the general policy of the
Federal Energy Regulatory Commission to adopt and to adhere to the objectives and aims of the National Environmental Policy Act of 1969 (NEPA) in
its regulations promulgated for statutes under the jurisdiction of the Commission, including the Federal Power
Act, the Natural Gas Act and the Natural Gas Policy Act. The National Environmental Policy Act of 1969 requires, among other things, all Federal
agencies to include a detailed environmental statement in every recommendation or report on proposals
for legislation and other major Federal
actions significantly affecting the
quality of the human environment.
(b) Therefore, in compliance with the
National Environmental Policy Act of
1969, the Commission staff will make a
detailed
environmental
statement
when the regulatory action taken by
the Commission under the statutes
under the jurisdiction of the Commission will have a significant environmental impact. The specific regulations implementing NEPA are contained in part 380 of the Commission’s
regulations.

(Natural Gas Act, 15 U.S.C. 717–717w; Natural
Gas Policy Act of 1978, Pub. L. No. 95–621, 92
Stat. 3350, 15 U.S.C. 3301–3432)
[47 FR 57269, Dec. 23, 1982]

§ 2.104 Mechanisms for passthrough of
pipeline take-or-pay buyout and
buydown costs.
(a) General Policy. The Commission as
a matter of policy will provide two distinct mechanisms for passthrough of
take-or-pay buyout and buydown costs
of interstate natural gas pipelines. The
first is pursuant to existing Commission policy and practice. Under this
method, pipelines may pass through
prudently incurred take-or-pay buyout
and buydown costs in their sales commodity rates. The second method is
available to pipelines which agree to
an equitable sharing of take-or-pay
costs and which transport under part
284 of this chapter. Qualifying pipelines
may utilize the alternative passthrough mechanisms described in this

[Order 486, 52 FR 47910, Dec. 17, 1987]

STATEMENT OF GENERAL POLICY TO IMPLEMENT THE ECONOMIC STABILIZATION ACT OF 1970, AS AMENDED, AND
EXECUTIVE ORDERS 11615 AND 11627
lpowell on DSK54DXVN1OFR with $$_JOB

[Reserved]

AUTHORITY: Sections 2.90 through 2.102
issued under 84 Stat. 799, as amended, 85
Stat. 38, unless otherwise noted.

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