APGA Press Releases and Statements

APGA and Others Support Legislation Amending Natural Gas Act Section 5 

11-21-2019 03:43 PM

Washington, D.C. (November 21, 2019) – Today, APGA and several other trade associations, including the Natural Gas Supply Association, American Public Power Association and National Rural Electric Cooperative Association, sent a letter to Senators Burr (R-N.C.) and Blumenthal (D-Conn.) in support of legislation they recently introduced titled the Making Pipelines Accountable to Consumers and Taxpayers (MPACT) Act (S. 2771). A copy of the letter is available here.

APGA has long maintained that the current regulatory process, which is intended to ensure just and reasonable rates for consumers under the Natural Gas Act (NGA), is broken due to the absence of refund relief. Under NGA section 5, pipelines are able to largely frustrate the ability of the Federal Energy Regulatory Commission (FERC) to get just and reasonable rates into place in a timely fashion. 

APGA’s President & CEO, Bert Kalisch, stated “We strongly urge Congress to pass legislation that would correct the inequity resulting from FERC’s lack of refund authority under NGA section 5.  A broad coalition of energy users, natural gas producers, agricultural groups and consumer groups have supported the passage of legislation allowing FERC to set a refund-effective date commensurate with either the date FERC initiates a section 5 proceeding or the date a consumer complaint is filed under section 5; and, allowing FERC to treat regulated pipelines just as it currently treats electric utilities under the Federal Power Act.” 

 

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APGA is the national association of municipally and publicly-owned local distribution systems. There are about 1,000 public gas systems serving more than 6 million customers. These public gas utilities are not-for-profit retail distribution entities that are owned by, and accountable to, the citizens they serve. They include municipal gas distribution systems, public utility districts, county districts, and other public agencies that have natural gas distribution facilities.

 

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