Two oil pipeline tariff amendments aimed at boosting propane supplies to the Midwest were approved by the Federal Energy Regulatory Commission (FERC). ONEOK North System and Enterprise EU Products Pipeline Company said they received requests from shippers for the changes after the start of the alternative dispute resolution (ADR) process initiated by FERC in November, the regulator said. The action was to “alleviate propane pipeline constraints in Midwest states,” FERC said.
Relative to ONEOK, FERC cleared a revised pipeline transportation capacity allocation policy allowing shippers to transfer allocated capacity to other shippers through the end of this month, and to receive credit to their allocation history for barrels moved by replacement shippers.
In the Enterprise TE case, the company is extending emergency transportation service of propane to the Midwest region. The Enterprise TE action will continue until canceled or modified by Enterprise TE, FERC said. “FERC continues to monitor the Midwest propane situation, and the ADR process is continuing,” the regulator noted.
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