No market-based rates for Koch gateway

✍ Scribed by Grenier, Edward J.

• Publisher: John Wiley and Sons
• Year: 2007
• Weight: 344 KB
• Volume: 15
• Category: Article
• ISSN: 0743-5665
• DOI: 10.1002/gas.3410150409

✦ Synopsis

Market-Based Rates Koch Gateway

he most celebrated and watched pipeline T proposal to use market-based rates on a wide scale has now reached a final commission decision (subject, or course, to requests for rehearing). At its final meeting in September 1998, the commission reversed an administrative law judge (ALJ) Initial Decision about this matter. It had held that Koch Gateway was entitled to employ market-based rates for its firm and interruptible transportation service at all of its receipt and delivery points for which it applied.' The commission's holding was quite simple. It held that Koch had failed to meet its burden of proving that it could not exert market power in the relevant markets on its system and thus was not entitled to employ market-based rates.