La. Admin. Code tit. 43, § XI-1101 - Establishment, Promulgation, and Implementation of Emergency Gas Shortage Allocation Plan (Formerly section 141)
A.
This regulation shall apply to the establishment, promulgation, implementation
and administration of a plan for statewide emergency intrastate natural gas
conservation, allocation or rationing pursuant to Part IV of the Act.
B. The policy of the state of Louisiana,
pursuant to Part IV of Act 16, is to maintain, preserve and protect all those
vital services and human needs which depend upon intrastate natural gas.
1. The governor of Louisiana has the
authority pursuant to Part IV of the Act to declare, from time to time, that as
a result of extreme shortages of existing intrastate natural gas needed to
maintain, protect and preserve human needs, that a state of emergency
exists.
2. Upon a declaration by
the governor of the state of Louisiana that a state of emergency exists, the
commissioner shall immediately implement by written order the emergency gas
shortage allocation plan provided for in this regulation. The commissioner's
order shall specify the nature and cause of the gas shortage emergency which
resulted in the governor's declaration and shall require each intrastate
natural gas transporter with a shortage of natural gas on its system to curtail
and to reallocate intrastate natural gas in the custody and control of such
intrastate natural gas transporter and may require other intrastate natural gas
transporters to curtail such intrastate natural gas for reallocation to such
transporter with a shortage all in accordance with the emergency gas shortage
allocation plan as necessary:
a. in the event
any person makes a request of the governor of the state of Louisiana or the
commissioner for the declaration of a gas shortage emergency or issuance of any
order in connection therewith ("applicant"), such applicant shall certify under
oath that supplies of gas necessary to meet priorities one through five are
physically unavailable from any other source. Such applicant also shall provide
the commissioner with the following information in writing not more than 24
hours after making such request:
i. the
precise nature of the gas shortage, the estimated amount of supply that is or
may be curtailed and the estimated volume which must be made available to meet
priorities one through five;
ii.
the reasons such gas shortage exists;
iii. that applicant's efforts to secure
alternate supplies of gas including a list of all pipelines, producers,
marketing companies, or other specific potential suppliers contacted together
with details as to the prices, terms and conditions offered by or requested
from such potential suppliers and any rejection by such applicant of proposals
for sale;
iv. an explanation of
that applicant's inability to obtain alternate supplies of gas from any
source;
v. a list of all pipelines
connected to the plant, pipeline, or any other facilities of that
applicant;
vi. in the event the
applicant making such request is an intrastate natural gas transporter or local
distribution company, he shall specify the level of curtailments by priority of
customer on his system at the time the request is made and anticipated
thereafter. Such entities may not make such a request for an emergency
declaration unless they have adopted and filed with the commissioner a gas
shortage allocation plan comparable to that of the state and are prepared upon
issuance of an order to curtail all priorities six through nine categories of
gas, using the gas curtailed to meet priorities one through five. The
commissioner's order may not reallocate gas from other transporters until the
commissioner is satisfied that there is insufficient gas available by
curtailment of the gas available to the applicant's system or facility or for
purchase from any source to meet priorities one through five;
vii. in the event the applicant is an end
user of gas, he shall specify those volumes of gas available to him at the time
the request is made and anticipated thereafter, whether those volumes
constitute plant protection gas, and what alternative fuel capabilities exist;
such information shall be furnished in the form of a sworn affidavit duly
executed before a notary public by the appropriate person or corporate officer
possessing such knowledge, as the case may be. The commissioner may make
further inquiry or require additional information as necessary prior to the
issuance of any order;
b.
should the commissioner issue any order pursuant to such request, the applicant
for whose benefit such order was issued and all intrastate natural gas
transporters affected by such order shall inform the commissioner daily
regarding the gas shortage emergency and its effect on those applicants. At
such time as the commissioner may determine that the person for whose benefit
such order was issued and all intrastate natural gas transporters affected by
such order no longer have a gas shortage, the commissioner's order and the
governor's declaration shall be terminated;
c. upon the declaration of a gas shortage
emergency by the governor of the state of Louisiana and the issuance of any
order in connection therewith by the commissioner, the commissioner immediately
shall notify all affected intrastate natural gas transporters by telephone and,
subsequently, in writing of such declaration or order. Such notice shall
specify the curtailment procedures, orders, rules, or regulations of the
commissioner to be implemented;
d.
the commissioner, in his discretion, may notify such other persons of the
existence of a gas shortage emergency as he deems appropriate, including local
distribution companies, end users, and any other persons who have specifically
requested that they be so notified. In addition, the commissioner shall request
the governor's office to notify the media and the general public of such
emergency and may request that citizens adopt measures to conserve the use of
gas during the period of gas shortage;
e. upon receipt of notification from the
commissioner of the declaration of a gas shortage emergency and the issuance of
any order in connection therewith, each intrastate natural gas transporter
affected by such order immediately shall notify its affected transportation and
sales customers by telephone and, subsequently, in writing of such declaration
or order. Such notice shall specify the curtailment procedures, orders, rules,
or regulations of the commissioner to be implemented;
f. in order to implement this regulation, the
commissioner shall require that each intrastate natural gas transporter
annually submit a contact sheet containing the names, addresses, office and
home telephone numbers of those senior officers or other persons to be
contacted by the commissioner in the event a gas shortage emergency is
declared. The contact sheet also shall contain the telecopy number of such
intrastate natural gas transporter, if applicable. The commissioner may accept
similar contact sheets containing necessary information from any person who
wishes to be notified of such declaration. A contact sheet for the
commissioner's office and staff shall be distributed to all intrastate natural
gas transporters;
g. upon the
finding by the governor that an emergency exists, the commissioner shall set a
public hearing to be held not later than five days after the date the governor
declares the emergency. The purpose of such hearing will be to investigate the
cause of the emergency and evaluate the response thereto. Notice of the public
hearing shall be published in the official journal of the state of Louisiana at
least three days prior to the date of hearing. At that hearing, any person
affected by the emergency shall be permitted to appear, testify, adduce
evidence, and cross examine the persons requesting the emergency declaration
and those to whom intrastate natural gas is to be reallocated. Parties affected
may request the commissioner to require parties to whom gas is being
reallocated to produce information and documents relating to the need,
availability, price and end use of gas;
h. the commissioner may, among other things,
as a result of that hearing, change one or more of the priorities in the
emergency gas shortage allocation plan, grant individual exceptions, alter the
volumes of intrastate natural gas being reallocated, change the number of
transporters from whom gas is to be reallocated, find that the circumstance of
the person seeking a declaration of emergency did not or no longer warrants
continuance of the order, take such action as is necessary to protect parties
affected by reallocation and/or recommend to the governor that he declare that
the emergency no longer exists.
C. The following plan is established and
promulgated by the commissioner of conservation, which is to take effect in the
event the governor of Louisiana declares a state of emergency and the
commissioner issues an order implementing the plan, unless otherwise provided
below, as a result of extreme shortages of existing intrastate natural gas for
human needs, in order to maintain, preserve and protect all vital services in
Louisiana depending upon intrastate natural gas and, to the extent applicable,
for the curtailment of unnecessary and lesser priority uses of intrastate
natural gas. The plan and any orders issued by the commissioner are herein
referred to as the emergency gas shortage allocation plan.
1. The commissioner hereby adopts the
following priority system:
a. first priority
shall be given to the protection of public health, safety, and welfare
including maintenance of gas and electrical service for hospitals, juvenile and
adult correctional institutions, nursing homes, dormitories, educational
facilities, hotels, motels, and residences such as individual homes, apartments
and similarly occupied dwelling units, publicly owned water, sewerage, and
storm water drainage systems producing their own energy, which systems supply
services to the aforesaid, property owners who, through contract lease, or
otherwise, reserve unto themselves a share of the natural gas produced from
their property to serve their needs, and plant protection gas;
b. second priority shall be given to the
maintenance of agricultural operations, and the processing of agricultural
products, including farming, ranching, dairy, water conservation and commercial
fishing activities, and services directly related thereto, operations of food
processing plants, businesses and facilities processing products for human
consumption;
c. third priority
shall be given to exploration, production, processing, and refining efforts to
attain maximum production or extraction of oil, natural gas, other
hydrocarbons, and minerals mined by the Frasch process;
d. fourth priority shall be given to the
maintenance of commercial and industrial activities utilizing less than 1.5
million cubic feet of gas on a peak day;
e. fifth priority shall be given to the
maintenance of all public services, including facilities and services provided
by municipal cooperative, or investor-owned utilities required for customers
who come under priorities two, three or four, or by any state or local
government or authority, and including transportation facilities and services
which serve the public at large. This priority shall not apply to those
publicly-owned water, sewer and storm water drainage systems referred to under
the first priority;
f. sixth
priority shall be given to the preservation of an economically sound and
competitive petroleum, petrochemical and chemical industry. Those industries
requiring the use of intrastate natural gas for feedstock or process needs, and
public utilities generating electricity for sale to consumers listed above
under priorities one, two, three, four and five, which own or have acquired at
the wellhead their own source of intrastate natural gas supply, or which
acquire such gas supply or any portion thereof from a wholly-owned subsidiary
company, or which have acquired such gas supply from any source in its name or
in the name of its wholly-owned subsidiary and have stored it in an intrastate
storage facility, and which are using such supply in the operation of their own
facilities, shall, as long as they continue to use said gas for feedstock or
process needs, or for generating electricity for sale to consumers listed above
under priorities one, two, three, four and five, have and be recognized as
possessing first priority, above all others in sixth priority, for use of said
gas. Industrial companies not owning intrastate natural gas reserves for their
own use for feedstock or process needs shall be subject to curtailment first,
and those companies owning intrastate natural gas reserves for their own use,
or which acquire such gas supply or any portion thereof from a wholly-owned
subsidiary company, or which have acquired such gas supply from any source in
its name or in the name of its wholly-owned subsidiary and have stored it in an
intrastate storage facility for such purposes shall be subject to curtailment
second and may not be curtailed except as to meet priorities one through five
on the intrastate natural gas transporter serving such industrial companies or
any other intrastate natural gas transporter; provided, further, that any
person to whom those industries requiring the use of intrastate natural gas for
feedstock or process needs which own their own source of intrastate natural gas
may have heretofore contracted to sell a portion of their own gas for feedstock
or process needs shall have a priority for the use of said gas for feedstock or
process needs equal to the priority accorded to their vendor by this
Paragraph;
g. seventh priority
shall be given to the maintenance of industrial requirements not specified in
Priority 6, except for boiler fuel;
h. subject to the plants and facilities
covered by the first and second priorities, eighth priority shall be given to
industrial plants, including electrical generating plants to the extent not
provided for in Priority 5, having a present requirement for use of intrastate
natural gas for boiler fuel not possessing present alternate fuel capabilities.
Such plant may, however, be required by the commissioner to convert to
alternate fuels within a reasonable time, considering all pertinent
circumstances, or suffer curtailment by order of the commissioner of its use of
intrastate natural gas. The commissioner may require the industry affected to
submit to him evidence as to why the industrial plant cannot convert to
alternate fuels within the delay specified; and, if the user alleges otherwise,
and if required by the commissioner, why the industrial plant cannot be
operated on a profitable basis with the use of alternate fuels.
i. The commissioner may authorize the use of
intrastate natural gas for use as boiler fuel if the industry demonstrates that
it cannot convert to alternate fuel capability by reason of the fact that it is
economically not feasible, that the industrial plant would otherwise have to
close, because it could not operate with a margin of profit considered
reasonable in the particular industry, or that the cost of converting to
alternate fuels is totally disproportionate to the existing investment in plant
facilities. If the commissioner determines that for those reasons the
industrial plant cannot reasonably be converted to the use of alternate fuel
capabilities and remain in business, the commissioner may, if he determines
that intrastate natural gas is available for such use, grant to that industry a
higher priority of use than is herein provided;
j. ninth priority shall be given to
industrial plants including electrical generating plants to the extent not
provided for in priorities five and eight, having a present requirement for
boiler fuel use, in those instances where alternate fuel capabilities now
exist, or may be installed with relatively minimal cost and delay. Industries
possessing existing alternate fuel capabilities or, if the commissioner
determines that alternate fuel capability can be installed with relatively
minimal cost or delay, may be curtailed in their gas supply by the
commissioner, and directed by the commissioner to change from use of intrastate
natural gas to use of alternate fuels within a limited time to be fixed by the
commissioner considering all pertinent circumstances. The commissioner may, if
he determines that intrastate natural gas is available for such use, and if the
commissioner determines that it is economically infeasible to operate a plant
with alternate fuels, grant to the plant a higher priority of use.
2. Each intrastate natural gas
transporter and local distribution company shall annually file with the
commissioner an allocation plan (consistent with the state's emergency gas
shortage allocation plan) to be implemented in the event the commissioner so
orders, which plan shall provide for the conservation and allocation of gas in
accordance with the priorities and exemptions established herein. Such plan
further shall assign curtailment priorities and volumes to each end use or
local distribution customer of that intrastate natural gas transporter or local
distribution company. Copies of the allocation plan shall be furnished to each
intrastate natural gas transporter or made available to each local distribution
company's customers, who may challenge the assigned priority status before the
commissioner. Unless the commissioner determines otherwise after notice and
hearing, each end user of natural gas will be considered to have the priority
assigned by its intrastate natural gas transporter or local distribution
company:
a. the allocation plan must identify
by customer type the end use of all gas delivered by the intrastate natural gas
transporter including a classification by curtailment priority and volume
deliverable to all then current end use and local distribution customers of the
transporter. Customers which use natural gas for more than one purpose or end
use must be classified under separate curtailment priorities by volume. Such
information must be updated and supplemented annually;
b. such allocation plan also shall contain
procedures to be implemented by such person or entity to encourage the
conservation of intrastate natural gas by its customers or employees in the
event an emergency is declared.
3. In the event the governor of Louisiana
declares a state of emergency pursuant to
R.S.
30:571, as amended, then and for the duration
of such emergency or as otherwise ordered by the commissioner each intrastate
natural gas transporter with a shortage of natural gas on its system shall
curtail deliveries to its customers and shall allocate its natural gas,
pursuant to order of the commissioner, so that all natural gas deliveries to
its Priority 9 customers are curtailed before any curtailment of its Priority 8
customers. If all of the intrastate pipeline's Priority 9 customers are being
curtailed to the maximum extent required by law and further curtailment is
necessary, then deliveries of natural gas to all of its Priority 8 customers
shall be curtailed before any curtailment of its Priority 7 customers. If
deliveries of natural gas to all of the intrastate pipeline's Priority 8
customers are being curtailed to the maximum extent required by law and further
curtailment is necessary, then deliveries of natural gas to all of its Priority
7 customers shall be curtailed before any curtailment of its Priority 6
customers. If deliveries of natural gas to all of the intrastate pipeline's
Priority 7 customers are being curtailed to the maximum extent required by law
and further curtailment is necessary, then deliveries of natural gas to all of
its Priority 6 customers shall be curtailed before any of its Priority 5
customers, provided however, that all Priority 6 customers that do not own
their own gas supply or do not acquire such supply from a wholly-owned
subsidiary company for feedstock or process shall be curtailed 100 percent
before gas owned by Priority 6 customers for feedstock and process use may be
curtailed at all. All such curtailments shall be by the order of the
commissioner issued pursuant to Paragraph B.2.
4. If after the curtailments required in
Paragraph C.3 have been effectuated, any intrastate natural gas transportation
system still has a shortage of natural gas in its system that would require the
curtailment of its Priority 5 and higher customers, then, and in that event,
the commissioner shall order such additional curtailments and redeliveries of
natural gas as he deems advisable and necessary to the extent authorized by
law.
D. The commissioner
may, as he deems necessary, change the emergency gas shortage allocation plan
and/or the priorities contained therein, but in the absence of a serious
immediate emergency as is hereinafter provided, may only do so after public
hearings.
1. All applicable procedures
required by
Section
953 of the Administrative
Procedure Act,
R.S.
49:951-962, for the adoption of
administrative rules, shall be complied with for the establishment and
promulgation of any such changes to said plan and/or priorities.
2. The plan shall be implemented as so
changed and promulgated in the event the state of emergency is or has been
declared by the governor as specified in Subsection B.
3. All intrastate natural gas transporters
directly affected by any such change in the plan, priority assignments,
curtailments procedures, orders, rules or regulations of the commissioner and
purchasers from and/or such transporters' system shall be notified in writing
by the commissioner of such change, specifying the curtailment procedures,
orders, rules or regulations they must now comply with and/or are now subject
to.
E. If after a state
of emergency has been declared by the governor as specified in Subsection B,
the commissioner finds to exist a serious immediate emergency, which requires a
change in the plan and/or the priorities therein, he may change the plan and/or
the priorities without first having a hearing by issuing an emergency order
providing for such changes.
1. All applicable
procedures set forth in the Administrative Procedure Act,
R.S.
49:951-968, shall be complied with.
2. All intrastate natural gas transporters
directly affected by any such emergency order providing for any change in the
plan, priority assignments, curtailment procedures, orders, rules or
regulations of the commissioner relating to the plan, and customers on such
transporters' system shall be notified in writing by the commissioner of such
change, specifying the curtailment procedures, orders, rules or regulations
they must now comply with.
3. The
emergency order shall only remain in force for 30 days from its effective date,
unless and except the commissioner has been physically unable to hold and
complete public hearings by reason of the pressure of multiple public hearings
on such matters:
a. in such case, the
emergency order shall only remain in effect until such time as the commissioner
can physically conduct and complete a hearing for the change of the plan and/or
priorities but in no case longer than 120 days from its effective date, after
which time the order will automatically expire;
b. any such time period commences on the
effective date of such order;
c. in
any event, the emergency order shall expire whenever the change is established
and promulgated after notice and public hearings as provided in Subsection
D.
F. If after
a state of emergency has been declared by the governor as specified in
Subsection B, the commissioner finds to exist a serious immediate emergency, he
has the express authority to alter the emergency gas shortage allocation plan
as to individual situations in order to alleviate exceptional hardship cases.
1. For purposes of Subsection F.2.b,
interested parties shall mean any transporter of intrastate
natural gas that would be directly affected by the granting of an exception to
the emergency gas shortage allocation plan, as well as all customers on such
transporters' system and any person which owns its own gas supply that would be
directly affected.
2. Any
individual seeking to take advantage of this provision shall:
a. request the commissioner in writing for
such an exception, which written application shall include:
i. a statement of the facts and circumstances
that create an exceptional hardship case;
ii. a list of the names and addresses of all
interested parties;
iii. a
statement that all interested parties have been notified in writing as required
by this Section;
b.
notify in writing all interested parties of the application to the commissioner
for an individual exception based on exceptional hardship;
c. present to the commissioner such evidence
as he deems necessary to provide his case of exceptional hardship.
3. The emergency order shall only
remain in force for 30 days from its effective date, unless and except the
commissioner has been physically unable to hold and complete public hearings by
reason of the pressure of multiple public hearings on such matters:
a. in such case, the emergency order shall
only remain in effect until such time as the commissioner can physically
conduct and complete a hearing for the change of the plan and/or priorities,
but in no case longer than 120 days from its effective date, after which time
the order will automatically expire;
b. any such time period, commences on the
effective date of such order;
c. in
any event, the emergency order shall expire whenever the change is established
and promulgated after notice and public hearings as provided in Subsection
D.
4. Any action taken by
the commissioner pursuant to a hearing called in response to any person seeking
an individual exception under this Part shall be considered an "adjudication"
for purposes of the Administrative Procedure Act,
R.S.
49:951-968.
5. Whatever action the commissioner takes
pursuant to the requested exception, all interested parties shall be notified
in writing by the commissioner of such action, specifying what curtailment
procedures, orders, rules or regulations they must now comply with and/or are
now subject to.
G. Any
person affected by any assignment of priorities, curtailment procedures, rules,
regulations or orders of the commissioner relating to the emergency gas
shortage allocation plan, or changes therein may request the commissioner to
call a hearing to contest such assignment of priority, curtailment procedure,
rule, regulation or order.
1. For purposes of
this Paragraph, interested parties shall mean any transporter
of intrastate natural gas that would be directly affected by any change in the
assignment of priorities, curtailment procedures, orders, rules or regulations
of the commissioner relating to the plan, as well as all customers on such
transporters' system.
2. Any person
contesting the assignment of priorities, curtailment procedures, orders, rules
or regulations of the commissioner relating to the plan, or changes therein,
shall:
a. request the commissioner in writing
for a hearing in order to contest said priority assignment, curtailment
procedure, order, rule or regulation of the commissioner, which written
application shall include:
i. a concise
statement of the matters being contested and the reasons therefor;
ii. a list of the names and addresses of all
interested parties;
iii. a
statement that all interested parties have been notified in writing as required
by this Section;
b.
notify in writing all interested parties of the requested hearing;
c. present to the commissioner such evidence
as he deems necessary to prove his case.
3. The commissioner shall, as soon as
practical after receiving such request, call a public hearing:
a. interested parties shall be notified in
writing by the person seeking the exception;
b. in addition to the above notice, notice of
the public hearing shall be published in the official journal of Louisiana at
least 10 days prior to the date of the hearing.
4. Any action taken by the commissioner
pursuant to a hearing called in response to any person seeking an individual
exception under this Part shall be considered an "adjudication" for purposes of
the Administrative Procedure Act,
R.S.
49:951-968.
5. Within 30 days after the conclusion of
such hearing, the commissioner shall take whatever action he deems necessary by
way of order, rule or regulation:
a. any
change in assignment of priorities, curtailment procedure order, rule or
regulation of the commissioner pertaining to the plan as a result of such
contested hearings may be promulgated without the necessity of further public
hearings and the contested hearings shall serve as public hearings required in
Subsection D;
b. in the event the
commissioner fails or refuses to take action within 30 days after completion of
such hearings, he may be compelled to do so by mandamus at the suit of any
interested party;
c. all interested
parties shall be notified in writing by the commissioner of any such change,
specifying what curtailment procedures, orders, rules or regulations, they now
must comply with and/or are now subject to.
6. Any such party contesting the assignment
of priorities, curtailment procedures, rules, regulations or orders of the
commissioner aggrieved by the ruling of the commissioner is entitled to such
rehearing and judicial review as provided in the Administrative Procedure Act,
R.S.
49:951-968.
7. All requirements and procedures
established above in Paragraphs G.1-6 apply equally to any person seeking an
individual exception on the basis of unintended results.
H. If the results of some aspects of the
emergency gas shortage allocation plan promulgated by the commissioner are
contrary to its stated intent, the person affected may request the commissioner
to grant an individual exception on the basis of unintended results.
I. Any curtailment procedure provided for,
whether contained in the emergency gas shortage allocation plan promulgated by
the commissioner or the allocation plan of each transporter must provide for
curtailment to the extent permitted by law on each transporter's system of all
those placed in the lower priority category before any curtailment of the next
higher priority is commenced, unless and except the commissioner finds
exceptions as provided in Subsection F or H or that such exception is in the
public interest.
J. No daily
allocation, curtailment procedure, rule, regulation or order of the
commissioner relating to the emergency gas shortage allocation plan shall apply
to natural gas in amounts less than 25 million cubic feet per day, inclusive,
owned or purchased by a person at or near the field where produced and
transported by said person through his own pipeline or pipeline facility solely
for his own consumption, except and unless:
1.
after a state of emergency has been declared by the governor as specified in
Subsection C, the commissioner finds to exist a serious immediate emergency
impairing gas otherwise required for the first five priorities of the emergency
gas shortage allocation plan which cannot be substantially otherwise provided
for;
2. notwithstanding such a
serious immediate emergency, no daily allocation, curtailment procedure, rule,
regulation or order of the commissioner relating to or part of the emergency
gas shortage allocation plan may ever result in the reduction of more than 10
percent of such gas above described in Subsection J.
K. Notwithstanding any other provision of
this regulation, no daily allocation, curtailment, procedure, rule, regulation
or order of the commissioner relating to or forming part of the emergency gas
shortage allocation plan may result in a reduction of more than 10 percent of
the maximum daily quantity of intrastate natural gas contracted to be delivered
to a purchaser under any contract existing on the effective date of the Natural
Resources and Energy Act of 1973.
L. Noncompliance with the emergency gas
shortage allocation plan or any curtailment procedure, rule, regulation or
order of the commissioner relating thereto may not be excused on the grounds of
any private contractual obligations.
M. No person who complies with the emergency
gas shortage allocation plan or any curtailment procedure, rule, regulation or
order of the commissioner relating thereto shall be liable to any person for
any damages, including without limitation, consequential or indirect damages,
whether ex contractu or ex delicto, by reason of such compliance, unless the
applicant seeking a declaration of an emergency is determined by the
commissioner to have knowingly and willfully improperly obtained the order and
implemented the emergency gas shortage allocation plan, in which event
protection from liability for damages shall not be available to such
applicant.
N. Notwithstanding any
other provision of this regulation, no intrastate natural gas transporter shall
be required to curtail or to redeliver for the use of any third-party, plant
protection gas and Natural Gas Policy Act of 1978 ("NGPA") Section 311(a)2 gas.
1.
Plant protection gas
signifies those volumes of natural gas necessary to ensure the orderly shutdown
of plant manufacturing facilities without significant risk to plant personnel,
property, or the environment, including protection of materials in process,
and, thereafter, required to maintain basic services such as air, water, light,
and heating necessary to ensure the continued protection of such personnel,
property, or the environment.
2. In
order to qualify for plant protection gas, any end user of natural gas in the
state of Louisiana must apply to the commissioner for a determination of its
plant protection gas, including a plan for safe and orderly shutdown of the
plant.
O. In implementing
the state's emergency gas shortage allocation plan, all gas volumes required to
be curtailed or reallocated from one intrastate natural gas transporter's
pipeline system to another intrastate natural gas transporter to meet
priorities one through five on any intrastate natural gas transporter's system
shall, to the extent practical, be taken statewide from all intrastate natural
gas transporters directly and indirectly connected to and capable of delivering
gas into the intrastate natural gas transporter's system requiring the
reallocated volumes.
Notes
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