(3) CIG will amend its PGA clause to reflect the following: The jurisdictional portion of unrecovered purchased gas costs will be determined based upon the monthly ratio of jurisdictional sales to total sales, rather than on the basis of a moving twelve-month average of jurisdictional to total sales; - The cost of gas included in Accounts 800, 801, 802, 803, and, where applicable, Account 806 will be debited or credited as appropriate to reflect the net injections and withdrawals from underground storage; (4) CIG will file with the IRS a request for a ruling of whether CIG may utilize "full normalization" for rate purposes and continue beyond January 1, 1978, to deduct in its Federal income tax returns an allowance for depreciation utilizing a liberalized depreciation method. If the IRS rules in the affirmative, CIG will adjust its rates and make refunds, with interest, to give effect to "full normalization" of depreciation deductions in the manner set forth in the settlement agreement. CIG shall file within forty-five (45) days of the date upon which this letter-order becomes final and nonappealable revised tariff sheets reflecting the rates contained in the settlement agreement. Additionally, CIG shall make refunds, with interest computed at 9% per annum, based upon the excess of the collection rates over the settlement rates and the actual volumes of gas delivered by CIG during the effectiveness of the rates in the respective dockets. CIG shall also file a refund report with the Commission and serve a copy of such report on its affected jurisdictional customers and interested State Commission setting forth the data and computations supporting the distribution of all refunds required under the settlement agreement. This order is without prejudice to any findings or orders which have been made or which may hereafter be made by the Commission, and is without prejudice to any claims or contentions which may be made by the Commission, the staff, or any other party or person affected by this order in any proceeding now pending or hereafter instituted by or against Colorado Interstate Gas Company or any other person or party. The Secretary is hereby directed to cause this letter-order to be published in the FERC Reports. By Direction of the Commission. 'Rates do not include the PGA adjustment which became effective October 1, 1975. 'Rates do not include the PGA adjustment which became effective October 1, 1976. 'Rates do not include the PGA adjustment which became effective October 1, 1977. 'Reflects full normalization of comprehensive interperiod income tax allocation. [162,128 The Connecticut Light and Power Company, The Hartford Electric Light Company and Western Massachusetts Electric Company, Project No. 2485 Order Approving Site Layout Drawings for Recreational Facilities Regulatory Commission. Authority to act on this matter is delegated to the Director, Office of Electric Power Regulation, under Section 3.5(g) (as amended August 14, 1978, FERC Statutes and Regulations ¶ 30,016). 2 Article 41. the Licensees shall expend $1,350,000 in the initial development of recreation resources associated with the project and make available to the Commonwealth of Massachusetts, the land needed for the Pauchaug Brook area. With remaining monies, the Licensees shall develop such additional recreation resources as the Commission may approve or require. In planning for the recreation development, the Licensees shall consult and cooperate with the Department of Environmental Management of the Commonwealth of Massachusetts, the Bureau of Outdoor Recreation, and the Fish and Wildlife Service of the U.S. Department of the Interior. The Licensees shall submit to the Commission for its approval, site layout drawings of all recreation development, together with cost estimates, including land costs. [¶62,130] Mobil Eugene Island Pipeline Company, Sub-order No. PD79-208 Depreciation Rates for the Property of Mobil Eugene Island Pipeline Company, Owned or Used for Common Carrier Purposes (Issued March 19, 1979) Before Oil Pipeline Board Members: Andrew W. Battese, Chairman; Leon J. Slavin, Kent H. Crowther and Robert O. Foerster III Jurisdiction over oil piplines, as it relates to the establishment of depreciation rates for oil pipelines, was transferred from the Interstate Commerce Commission to the Federal Energy Regulatory Commission (FERC), pursuant to Sections 306 and 402 of the Department of Energy Organization Act, 42 U.S.C. 7155 and 7172, and Executive Order No. 12009, 42 Fed. Reg. 46267 (September 15, 1977). The FERC, by order issued February 10, 1978, FERC Statutes and Regulations ¶30,007, established an Oil Pipeline Board and delegated to the Board its functions with respect to the issuance of depreciation rates pursuant to Section 20(4) of the Interstate Commerce Act. The Oil Pipeline Board takes this action pursuant to the above-mentioned authorities. INTRODUCTION On August 19, 1977, Mobil Eugene Island Pipeline Company, hereinafter called the carrier, filed a depreciation study. The carrier, a participant in the Eugene Island System, is owned 100 percent by Mobil Oil Corporation. Other participants in the Eugene Island System include: Exxon Pipe Line Company, Gulf Refining Company, Marathon Pipline Company, Pogo Offshore Pipeline Company, Sun Pipeline Company, and the Texas Pipe Line Company. The carrier owns an 18.96 percent undivided interest in the Eugene Island System, a 108 mile long pipe 20 inches in diameter. It extends from Block 128 in the South Marsh Island Area, South Addition, to the Texas Pipe Line Company's Calliou Island located at Block 11, South Timbalier Area, offshore Louisiana. The Eugene Island System line transports crude oil. Basis for Rates The carrier suggested a 15 year service life with no salvage factor. However, we have no evidence that it considered secondary recoveries, expansion of area that may be served, or future potential of new discoveries. The cited rates are based on a 20 year service life with no salvage allowance. Effect of Rates Since these are initial rates, there is no effect on net income or operating expense. The Board finds: After careful consideration of data submitted and data contained in the carrier's file and pursuant to Section 20(4) of the Interstate Commerce Act, depreciation rates for the carrier are found to be as shown on Appendix I. Northern States Power Company, Project No. 2056 Order Approving Use of Project Lands and Waters (Issued March 19, 1979) On March 9, 1978, the Northern States Power Company (NSP), Licensee of the Saint Anthony Falls Project No. 2056, filed an application for Commission approval for the use of project lands and waters.' The Licensee proposes to construct a new non-project 115-kV double-circuit transmission line that would cross the Mississippi River at river mile 853.6 downstream from the Hennepin Island development and upstream of the Lower Dam development, which are components of the Licensee's Saint Anthony Falls Project in the City of Minneapolis, Hennepin County, Minnesota. The proposed transmission line would connect the Licensee's Main Street substation with its Elliot Park substation to supply power to the Industry Square Area of Minneapolis, and would cross project waters approximately 150 feet downstream of an existing non-project 115-kV transmission line. The existing single-circuit transmission line would be removed upon completing of the new crossing. The transmission line would be 849 feet long. No towers would be located on project lands. A tower on the north side of the river would be located on non-project land owned by NSP and would rise to 167 feet above the normal water surface elevation (750 feet m.s.l.). A tower on the south side would be located on Minneapolis Gas Company property, presently used as a storage area, and would rise 210.5 feet above the normal water surface elevation. The minimum vertical clearance between the transmission line and the normal water surface elevation would be 90 feet. The nearby Burlington Northern Stone Arch Bridge presently limits navigational clearance to 25 feet in the vicinity of the proposed transmission line crossing. The crossing would consist of two heavy shield wires and six aluminum conductor cables (steel reinforced) suspended from towers of arched tubular aluminum, designed to be aesthetically pleasing as well as sufficiently strong to bear any increased weight on the lines encountered due to ice buildup during adverse weather conditions. Installation of the foundations and tower erection would require the use of heavy construction equipment which would be transported to the sites using existing roads, thus eliminating the need for additional disturbance of the area. Some brush would have to be cleared prior to construction of the tower on the north side of the river. Licensee has stated that the area surrounding this structure would be seeded to prevent erosion. No vegetation exists at the site of the proposed structure south of the river. The transmission line would pass through portions of the Saint Anthony Falls Historic District, which is listed in The National Register of Historic Places. The transmission line would also cross over the Burlington Northern Stone Arch Bridge, which has attracted local interest as a historic resource. The Licensee has consulted with the State Archaeologist and the State Historic Preservation Officer (SHPO). The State Archaeologist raised no objections and the SHPO stated that the crossing would have no adverse impact on the historic district, which is the site of the first hydroelectric plant in the United States, and that the new towers would be more aesthetically pleasing than those currently in place. In a letter dated February 5, 1979, it was stated that the Executive Director of the Advisory Council on Historic Preservation had no objection to Commission staff's determination that the transmission line would have no adverse effect on the Saint Anthony Falls Historic District. Staff's analyses indicate that the proposed construction would have no adverse effect on wildlife habitat, air quality, or water quality. A temporary increase in noise levels would exist during construction activities; however, this would be minor in nature. The long-term environmental |