NEB releases decision on TransCanada tariff amendments

CALGARY, Oct. 10, 2013 /CNW/ - The National Energy Board (NEB or the Board) today announced its decision on TransCanada PipeLines Limited's (TransCanada's) application for approval of tariff amendments, with reasons to follow.

On 17 June 2013, TransCanada filed an application seeking Board approval to amend its Canadian Mainline Gas Transportation Tariff as follows:

  • to modify provisions applicable to Diversions and Alternate Receipt Points (ARPs);
  • to eliminate the overrun feature of Storage Transportation Service (STS);
  • to eliminate provisions that establish requirements for the timing and duration of open seasons for Short-Term Firm Transportation (STFT) service and Short-Term Short Notice (ST-SN) service; and
  • to modify renewal provisions for Firm Mainline Services.

The Board has denied some elements of the application and amended others. Please refer to the Letter Decision for the complete details of the decision. Reasons for the Decision will be published at a later date.

Diversions and ARPs
The Board has decided to deny the proposed amendments to the Tariff in respect of alternate receipt points and diversions.

STS Overrun
The Board has decided to deny the proposed amendments to eliminate the overrun feature of STS service.

STFT and ST-SN Open Season Requirements
The Board has decided to maintain the current timing of the open seasons for STFT and ST-SN. However, the Board has decided to amend the Tariff provisions so that the minimum duration TransCanada is required to hold these open seasons is reduced to 48 hours.

Renewal Provisions
The Board has decided to amend renewal provisions for Firm Mainline Services to require contract holders to provide TransCanada with two years' notice of their intention to renew (instead of the six month renewal notice provision in existence prior to this decision), and to require a renewal term to be one or more full years.

Renewal Notice Transition Mechanism
The Amended Renewal Provisions are in effect immediately with one exception. The Board has established a Renewal Notice transition mechanism to provide Firm Mainline Service contract holders with at least 90 days' notice to decide whether to renew their Existing Contracts and maintain the option of retaining their renewal rights. The transition mechanism is in effect immediately until 31 January 2014.

The National Energy Board is an independent federal regulator of several parts of Canada's energy industry with the safety of Canadians and protection of the environment as its top priority. Its purpose is to regulate pipelines, energy development and trade in the Canadian public interest.

This news release and the Letter Decision are available on the NEB's Internet site at www.neb-one.gc.ca under What's New!

For a copy of the Letter Decision: 

National Energy Board Library
Ground Floor
444 Seventh Avenue SW
Calgary, Alberta
T2P 0X8
Telephone: 403-299-3561
Telephone (toll free): 1-800-899-1265
Facsimile: 403-292-5576
Facsimile (toll free): 1-877-288-8803
Email: library@neb-one.gc.ca

SOURCE National Energy Board

For further information:

Tara O'Donovan
Communications Officer
E-mail: Tara.O'Donovan@neb-one.gc.ca
Telephone: 403-299-3633
Telephone (toll free): 1-800-899-1265
Facsimile: 403-292-5503
Facsimile (toll free): 1-877-288-8803
TTY (teletype): 1-800-632-1663