30 CFR § 1206.111 - How do I determine a transportation allowance if I have an arm's-length transportation contract?
(1) If you or your affiliate incur transportation costs under an arm's-length transportation contract, you may claim a transportation allowance for the reasonable, actual costs incurred, as more fully explained in paragraph (b) of this section, except as provided in § 1206.110(f) and subject to the limitation in § 1206.110(d).
(b) Subject to the requirements of paragraph (c) of this section, you may include, but are not limited to, the following costs to determine your transportation allowance under paragraph (a) of this section; you may not use any cost as a deduction that duplicates all or part of any other cost that you use under this section including, but not limited to:
(2) Fees paid (either in volume or in value) for actual or theoretical line losses.
(3) Fees paid for administration of a quality bank.
(4) Fees paid to a terminal operator for loading and unloading of crude oil into or from a vessel, vehicle, pipeline, or other conveyance.
(5) Fees paid for short-term storage (30 days or less) incidental to transportation as a transporter requires.
(6) Fees paid to pump oil to another carrier's system or vehicles as required under a tariff.
(8) Payments for a volumetric deduction to cover shrinkage when high-gravity petroleum (generally in excess of 51 degrees API) is mixed with lower gravity crude oil for transportation.
(9) Costs of securing a letter of credit, or other surety, that the pipeline requires you, as a shipper, to maintain.
(11) The cost of carrying on your books as inventory a volume of oil that the pipeline operator requires you, as a shipper, to maintain and that you do maintain in the line as line fill. You must calculate this cost as follows:
(i) First, multiply the volume that the pipeline requires you to maintain - and that you do maintain - in the pipeline by the value of that volume for the current month calculated under § 1206.101 or § 1206.102, as applicable.
(ii) Second, multiply the value calculated under paragraph (b)(11)(i) of this section by the monthly rate of return, calculated by dividing the rate of return specified in § 1206.112(i)(3) by 12.
(1) Fees paid for long-term storage (more than 30 days)
(2) Administrative, handling, and accounting fees associated with terminalling
(3) Title and terminal transfer fees
(4) Fees paid to track and match receipts and deliveries at a market center or to avoid paying title transfer fees
(5) Fees paid to brokers
(6) Fees paid to a scheduling service provider
(8) Gauging fees
(d) If you have no written contract for the arm's-length transportation of oil, then ONRR will determine your transportation allowance under § 1206.105. You may not use this paragraph (d) if you or your affiliate perform(s) your own transportation.
(2) You may use that method to determine your allowance until ONRR issues its determination.
The following state regulations pages link to this page.