News

Updated: PG&E has received three protests to our Advice 3240-G filing requesting changes that would allow customers to modify their nominations after the close of the Intraday 2 cycle. PG&E responded to the protests on October 31, 2011. The California Public Utilities Commission has suspended the approval of the filing for up to 120 days while its staff reviews the proposed changes.

--- Original Message 10/4/2011, 6:44 p.m. ---

PG&E filed Advice 3240-G with the California Public Utilities Commission on October 4, 2011, proposing a service that will help California Gas Transmission's shippers during these times of simultaneous High and Low Inventory Flow Orders (OFOs). The Advice Filing provides for changes to the language of gas Rule 21 (Transportation of Natural Gas) and PG&E is requesting approval of this Advice Filing by November 3, 2011.

The requested changes to gas Rule 21 provide for a new Manual Modification Process to adjust prior scheduled quantities after the Intraday 2 nomination deadline, when a simultaneous High and Low Inventory OFO is in effect. The objective is that, under unforeseeable, uncontrollable circumstances occurring after the ID2 deadline (e.g. unexpected end-use customer load changes or an unexpected reduction in supply), a shipper with storage capability can request to move gas away from an individual end-use customer's facility and into the shipper's storage account, or request to take gas out of storage and move it to the end-use customer's facility.

The shipper can hold storage service with PG&E or with an Independent Storage Provider connected to PG&E's system, or can request PG&E parking or lending service at the time they make a request for the Manual Modification Process.

PG&E approval of the request for Manual Modification Process will be based on operational feasibility as determined by PG&E. The physical movement of the gas will have to be capable of occurring between the time of the request and the end of the current gas day (7:00 a.m. the following calendar day).

With this service, CGT is hoping to help shippers alleviate the inability to stay within High/Low OFO tolerance when an end-use customer's expected usage changes dramatically or a shipper's supply changes dramatically after the four nomination cycles are completed for the gas day. When CGT has a clearer idea of the approval date of the Advice Filing, we will provide more detailed information about the offered service.

In the meantime, please feel free to contact your CGT Sales Representative with questions.