FERC Rehears Order to Remove Outdated NGPA Regulations

Summary

The Federal Energy Regulatory Commission (FERC) is issuing an order on rehearing to delete a section of its regulations implementing the Natural Gas Policy Act (NGPA), which pertains to the sales of natural gas production by affiliates of interstate pipelines, intrastate pipelines, and local distribution companies (LDCs). The FERC finds that Congress eliminated the statutory basis for defining pipeline and LDC affiliate marketers as first sellers, and reaffirms its previous finding that the anti-circumvention rule is no longer necessary with the decontrol of wellhead pricing.