Standards for Business Practices of Interstate Natural Gas Pipelines
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Abstract
The Federal Energy Regulatory Commission amends its regulations to incorporate by reference, as mandatory enforceable requirements, revisions to three of the Version 4.0 Standards for Business Practices of Interstate Natural Gas Pipelines adopted by the Wholesale Gas Quadrant (WGQ) of the North American Energy Standards Board (NAESB). These revisions are designed to streamline the process for accessing publicly available gas-electric coordination data during extreme cold weather or emergency events.
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<title>Federal Register, Volume 91 Issue 102 (Thursday, May 28, 2026)</title>
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[Federal Register Volume 91, Number 102 (Thursday, May 28, 2026)]
[Rules and Regulations]
[Pages 31651-31660]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-10600]
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DEPARTMENT OF ENERGY
Federal Energy Regulatory Commission
18 CFR Part 284
[Docket No. RM96-1-044; Order No. 587-AB]
Standards for Business Practices of Interstate Natural Gas
Pipelines
AGENCY: Federal Energy Regulatory Commission.
ACTION: Final rule.
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SUMMARY: The Federal Energy Regulatory Commission amends its
regulations to incorporate by reference, as mandatory enforceable
requirements, revisions to three of the Version 4.0 Standards for
Business Practices of Interstate Natural Gas Pipelines adopted by the
Wholesale Gas Quadrant (WGQ) of the North American Energy Standards
Board (NAESB). These revisions are designed to streamline the process
for accessing publicly available gas-electric coordination data during
extreme cold weather or emergency events.
DATES:
Effective date: This rule is effective July 27, 2026.
Incorporation by reference: The incorporation by reference of
certain publications listed in this rule is approved by the Director of
the Federal Register as of July 27, 2026. The incorporation by
reference of certain other material listed in the rule was approved by
the Director of the Federal Register as of February 7, 2025.
Compliance date: Compliance filings required by this final rule are
due on September 1, 2026. Compliance with the standards incorporated by
reference in this rule is required by January 1, 2027.
FOR FURTHER INFORMATION CONTACT:
Jerry Chiang (Technical Issues), Office of Technical Reporting and
Economics, Federal Energy Regulatory Commission, 888 First Street NE,
Washington, DC 20426, (202) 502-8786, <a href="/cdn-cgi/l/email-protection#83e9e6f1f1faade0ebeae2ede4c3e5e6f1e0ade4ecf5"><span class="__cf_email__" data-cfemail="4d27283f3f34632e25242c232a0d2b283f2e632a223b">[email protected]</span></a>.
Matthew Roy (Technical Issues), Office of Energy Market Regulation,
Federal Energy Regulatory Commission, 888 First Street NE, Washington,
DC 20426, (202) 502-6520, <a href="/cdn-cgi/l/email-protection#a8c5c9dcdcc0cddf86dac7d1e8cecddacb86cfc7de"><span class="__cf_email__" data-cfemail="8fe2eefbfbe7eaf8a1fde0f6cfe9eafdeca1e8e0f9">[email protected]</span></a>.
Yaisa Strickland (Legal Issues), Office of the General Counsel, Federal
Energy Regulatory Commission, 888 First Street NE, Washington, DC
20426, (202) 502-6244, <a href="/cdn-cgi/l/email-protection#ec958d859f8dc29f989e858f87808d8288ac8a899e8fc28b839a"><span class="__cf_email__" data-cfemail="3148505842501f42454358525a5d505f5571575443521f565e47">[email protected]</span></a>.
SUPPLEMENTARY INFORMATION:
Table of Contents
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Paragraph Nos.
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I. Overview........................................... 1.
II. Background........................................ 3.
III. NOPR............................................. 9.
IV. Comments on the NOPR.............................. 10.
V. Discussion......................................... 15.
A. Modifications to the NAESB WGQ Version 4.0 18.
Business Practice Standards......................
[[Page 31652]]
1. WGQ Additional Standards................... 20.
2. WGQ Quadrant Electronic Delivery Mechanism 21.
Standards....................................
3. WGQ Capacity Release Related Standards..... 22.
B. Compliance and Implementation Dates............ 23.
C. Implementation Procedures...................... 26.
VI. Additional Areas for Gas-Electric Coordination.... 31.
VII. Use of Voluntary Consensus Standards............. 35.
VIII. Incorporation by Reference...................... 36.
IX. Information Collection Statement.................. 40.
X. Environmental Analysis............................. 47.
XI. Regulatory Flexibility Act........................ 48.
XII. Document Availability............................ 51.
XIII. Regulatory Planning and Review.................. 54.
XIV. Effective Date and Congressional Notification.... 55.
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I. Overview
1. In this final rule, the Federal Energy Regulatory Commission
(Commission) amends its regulations at 18 CFR 284.12 to incorporate by
reference, as mandatory enforceable requirements, revisions to three of
the WGQ Version 4.0 business practice standards applicable to natural
gas pipelines: Additional Standards, Electronic Delivery Mechanism
Standards, and Capacity Release Related Standards and an updated
version of the WGQ Invoicing Related Standards that includes the Minor
Correction incorporated by reference in Order No. 587-AA.\1\ This final
rule requires interstate natural gas pipelines to file compliance
filings with the Commission by September 1, 2026, with an effective
date of the tariff records of January 1, 2027.\2\
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\1\ Standards for Bus. Pracs. of Interstate Nat. Gas Pipelines,
Order No. 587-AA, 89 FR 97518 (Dec. 9, 2024), 189 FERC ] 61,135
(2024). The WGQ Invoicing Related Standards contains no substantive
changes from those adopted in Order No. 587-AA.
\2\ Consistent with Interstate Natural Gas Association of
America's (INGAA) comment that the Commission provide pipelines with
flexibility to implement the proposed rule earlier in the winter
heating period, if practical, interstate natural gas pipelines
voluntarily may implement these NAESB standards at an earlier date.
See infra PP 24-25.
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2. On December 4, 2024, NAESB reported to the Commission that it
had approved the revisions to three sets of standards. The revised
standards will streamline the process for accessing publicly available
gas-electric coordination data during extreme cold weather or emergency
events and improve communication among natural gas and electricity
market participants to enhance situational awareness during extreme
cold weather events.\3\ Coordination between the gas and electric
sectors is essential to maintaining reliability for both the natural
gas pipeline network system and the bulk electric system, especially
during periods when both systems have coincident peak requirements.
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\3\ As explained below, NAESB has adopted two new standards and
revisions to one existing standard in response to Recommendation 5
of the report that the staffs of the Commission, North American
Electric Reliability Corporation (NERC), and Regional Entities
issued November 7, 2023. FERC et al., FERC, NERC & Reg'l Entity
Staff Rep.: Inquiry into Bulk-Power Sys. Operations During Dec. 2022
Winter Storm Elliott, Docket No. AD23-8-000, at 143 (Nov. 7, 2023)
(Recommendation 5), <a href="https://elibrary.ferc.gov/eLibrary/filedownload?fileid=00F8FAAC-A049-C84B-8784-8BB5FEC00000">https://elibrary.ferc.gov/eLibrary/filedownload?fileid=00F8FAAC-A049-C84B-8784-8BB5FEC00000</a> (as updated
Feb. 28, 2024), <a href="https://elibrary.ferc.gov/eLibrary/filedownload?fileid=BB92A244-97DD-C8A7-96AC-8D897D600000">https://elibrary.ferc.gov/eLibrary/filedownload?fileid=BB92A244-97DD-C8A7-96AC-8D897D600000</a>)
[hereinafter Winter Storm Elliott Report].
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II. Background
3. Since 1996, the Commission has incorporated by reference in its
regulations NAESB's business practice standards and communication
methodologies of interstate natural gas pipelines to create a more
integrated and efficient pipeline network system. These regulations
have been promulgated in the Order No. 587 series of orders,\4\ wherein
the Commission has incorporated by reference the standards for
interstate natural gas pipeline business practices and electronic
communications developed by NAESB's WGQ. Upon incorporation by
reference, these revisions to three sets of standards will add two new
standards and revise one standard in the currently incorporated version
of NAESB's business practice standards.
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\4\ This series of orders began with the Commission's issuance
of Order No. 587, Standards for Bus. Pracs. of Interstate Nat. Gas
Pipelines, 61 FR 39053 (July 26, 1996), FERC Stats. & Regs. ] 31,038
(1996) (cross-referenced at 76 FERC ] 61,042).
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4. On July 25, 2022, the Commission and NERC sent a letter to NAESB
requesting that NAESB convene a forum ``to identify actions that will
improve the reliability of the natural gas infrastructure system as
necessary to support the bulk electric system and to address recurring
challenges stemming from natural gas-electric infrastructure
interdependency.'' \5\
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\5\ Letter from then-Chairman Richard Glick of the Federal
Energy Regulatory Commission and Jim Robb, President and CEO of NERC
to Michael Desselle, Chairman of NAESB, and Jonathan Booe, Executive
Vice President and Chief Operating Officer (July 25, 2022) (on file
at NAESB), <a href="https://naesb.org/pdf4/FERC_NERC_Letter_072922_to_NAESB.pdf">https://naesb.org/pdf4/FERC_NERC_Letter_072922_to_NAESB.pdf</a>. See also FERC, NERC, and
Regional Entity Staff Report, The February 2021 Cold Weather Outage
in Texas and the South Central United States (Nov. 2021)
(Recommendation 7), <a href="https://www.ferc.gov/media/february-2021-cold-weather-outages-texas-and-south-central-united-states-ferc-nerc-and">https://www.ferc.gov/media/february-2021-cold-weather-outages-texas-and-south-central-united-states-ferc-nerc-and</a>.
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5. In response to that letter, NAESB convened a Gas-Electric
Harmonization Forum to consider issues related to the challenges
stemming from natural gas-electric interdependence. Over 700
individuals representing more than 370 organizations from all segments
of the natural gas and electric markets participated in the Gas-
Electric Harmonization Forum. NAESB released its Gas-Electric
Harmonization Forum Report on July 28, 2023, which identified 20
recommendations for consideration to improve the reliability of natural
gas infrastructure as necessary to support the bulk electric system and
to address the recurring challenges stemming from natural gas-electric
interdependency.\6\
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\6\ See NAESB, Gas Electric Harmonization Forum Report (July
2023), <a href="https://www.naesb.org/pdf4/geh_final_report_072823.pdf">https://www.naesb.org/pdf4/geh_final_report_072823.pdf</a>.
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6. On November 7, 2023, as updated on February 28, 2024, the
Commission, NERC, and various regional entities published a report on
the performance of the bulk power system during the cold weather event
that occurred between December 21 and December 26, 2022 (Winter Storm
Elliott).\7\ To help improve natural gas-electric coordination and grid
reliability, the Winter Storm Elliott Report recommended that NAESB
``convene natural gas infrastructure entities, electric grid operators,
and local distribution companies to identify
[[Page 31653]]
improvements in communication during extreme cold weather events to
enhance situational awareness.'' \8\
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\7\ Winter Storm Elliott Report, supra note 2.
\8\ Id. at 143.
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7. In response to the Winter Storm Elliott Report, the NAESB Board
of Directors directed, as part of its 2024 Annual Plan, the joint WGQ,
Wholesale Electric Quadrant (WEQ), and Retail Market Quadrant (RMQ)
Business Practices Subcommittees to review and modify the NAESB Gas/
Electric Coordination Business Practice Standards, and any
corresponding standards, to improve communications among gas and
electric market participants and enhance situational awareness during
extreme weather events without endangering sensitive commercial
information. The Joint WGQ, WEQ, and RMQ Business Practices
Subcommittees recommended proposing new and revised WGQ Business
Practice Standards, which the NAESB WGQ Executive Committee approved on
October 24, 2024 and the NAESB WGQ membership ratified on November 25,
2024.\9\
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\9\ NAESB WGQ Business Practice Standards Version 4.0 Report,
Docket No. RM96-1-000, at 2-3 (Dec. 3, 2024) (Informational Report).
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8. On December 4, 2024, NAESB filed its Informational Report
informing the Commission that it had revised three sets of standards
applicable to interstate natural gas pipelines. Notably, the
Informational Report identifies revisions to three sets of standards
which include two new standards and one revised standard. One new
standard facilitates the posting of applicable scheduled quantity
information for power plants that are directly connected to the
pipeline as part of the new ``Gas Electric Coordination'' posting
category. The one revised standard includes a new ``Gas Electric
Coordination'' posting category. The second new standard supports the
inclusion of the geographic information of impacted area(s),
location(s), and/or pipeline facility(ies) by a transportation service
provider when issuing a critical notice. Pipelines are currently
required to make this information available through computer-to-
computer electronic data interchange in addition to other batch file
downloadable formats they may provide.\10\
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\10\ 18 CFR 284.12 (a)(1)(v), (b)(3)(i)(A). See Standards for
Bus. Pracs. of Interstate Nat. Gas Pipelines, Order No. 587-G, 63 FR
20072 (Apr. 23, 1998), FERC Stats. & Regs. ] 31,062, at text
accompanying note 58 (1998) (cross-referenced at 83 FERC ] 61,029).
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III. NOPR
9. On October 16, 2025, the Commission issued a notice of proposed
rulemaking (NOPR) requesting comment on the proposed adoption of the
revisions to three sets of standards.\11\
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\11\ Standards for Bus. Pracs. of Interstate Nat. Gas Pipelines,
193 FERC ] 61,041 (2025).
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IV. Comments on the NOPR
10. On January 20, 2026, the Commission received eight comments on
the NOPR representing a variety of industry stakeholders, including one
comment from a public citizen. Seven commenters, including American Gas
Association (AGA), American Public Gas Association (APGA), Utility
Coalition,\12\ ISO/RTO Council,\13\ NERC, INGAA, and Conservative
Political Action Coalition Foundation Center for Regulatory Freedom
(CRF) support the proposed revisions to the three sets of standards
included in the NOPR. One commenter, James Hunter Poole, objects to
``the proposed FERC rule as written'' because it includes documentation
requirements that Mr. Poole characterizes as excessive. Several
supporting commenters also provide comments on additional gas-electric
coordination improvements and recommendations for various Commission
actions beyond revisions to the three sets of standards.\14\ We
summarize the comments below.
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\12\ National Grid USA; Consolidated Edison Company of New York,
Inc. and Orange and Rockland Utilities, Inc.; Old Dominion Electric
Cooperative; and Washington Gas Light Company (collectively, the
Utility Coalition).
\13\ The following independent system operators (ISO) and
regional transmission organizations (RTO) of the ISO/RTO Council are
participating in these comments: California Independent System
Operator Corporation; Electric Reliability Council of Texas, Inc.;
ISO New England Inc.; Midcontinent Independent System Operator,
Inc.; New York Independent System Operator, Inc; PJM
Interconnection, L.L.C.; and Southwest Power Pool, Inc.
\14\ Additional Areas for Gas-Electric Coordination will be
addressed in section VI of this final rule. See infra PP 31-34.
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11. AGA states that the modifications will promote greater gas-
electric coordination and situational awareness during severe weather
events and are steps toward the goal of a more transparent process
through enhanced real-time information sharing to ensure all
stakeholders have a more accurate view of current system
conditions.\15\ APGA states that the modifications ``will ensure all
market participants have equal access to this critical information,''
particularly for the communities served by municipal gas systems.\16\
The Utility Coalition emphasizes that the revised standards represent a
meaningful advancement toward enhancing real-time operational
transparency across the interdependent natural gas and electric
system.\17\ ISO/RTO Council supports the incorporation by reference of
each of these changes into the Commission's regulations as providing
more timely and actionable information about the gas system to enable
more effective gas-electric coordination and reduce the risk of
potential impacts on system reliability.\18\ NERC emphasizes that the
modifications align with the Winter Storm Elliott Report and its own
work plan priorities.\19\ INGAA also supports the proposal and urges
the Commission to, if possible, consider an effective date for the
revisions to the three sets of standards that falls earlier in the
winter heating period.\20\ CRF commends the Commission for relying on
revisions to the three sets of consensus-based standards and agrees
that the revisions ``impose modest, one-time compliance costs that are
justified by [the] reliability benefits.'' \21\
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\15\ AGA Comments at 6.
\16\ AGPA Comments at 5.
\17\ Utility Coalition Comments at 5-6.
\18\ ISO/RTO Council Comments at 2-3.
\19\ NERC Comments at 5-6. NERC outlines its comprehensive work
plan addressing four key risk areas: (a) natural gas supply and
transportation risks (freeze-offs, pipeline constraints, facility
outages); (b) market harmonization (scheduling mismatches, unit
commitment timing issues); (c) resource adequacy (generation
performance during peak demand periods); and (d) generator
winterization and extreme weather preparedness.
\20\ INGAA Comments at 3.
\21\ CRF Comments at 2.
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12. Multiple commenters emphasize that establishing a new
information posting category, Gas Electric Coordination, on the
pipelines' Informational Postings website will significantly improve
situational awareness, particularly during extreme weather events.\22\
AGA notes that creation of this posting category would help streamline
the process for stakeholders to access data during extreme weather
conditions so that available data is centralized and easily
accessible.\23\
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\22\ Id. at 4-5; AGA Comments at 6.
\23\ AGA Comments at 6.
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13. NERC states that the revisions to the three sets of standards
would address Winter Storm Elliott Report recommendations to enhance
situational awareness by increasing accessibility and visibility of
information about fuel availability and impacted areas and pipeline
facilities that could affect power plants and impact electric
systems.\24\ NERC states that both the new Gas-Electric Coordination
posting category on pipelines' Informational Postings websites and the
geographic information of impacted areas, locations, and pipeline
facilities in critical notices are enhancements that
[[Page 31654]]
provide a common platform for operational exchanges and unified
situational awareness.\25\
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\24\ NERC Comments at 10-11.
\25\ Id. at 12.
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14. James Hunter Poole generally protests the paperwork and
compliance burden estimates set forth in the NOPR while not providing
substantive comments on the revisions to the three sets of standards.
V. Discussion
15. In the NOPR, the Commission proposed to incorporate by
reference in its regulations revisions to the three sets of standards
in the currently incorporated version of the standards. No commenters
substantively opposed the proposed revisions to the three sets of
standards.\26\
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\26\ One individual, James Hunter Poole, filed comments opposing
the NOPR proposal, arguing that the paperwork and compliance burdens
were understated and raising general concerns about regulatory
burdens. However, this commenter did not address or find fault with
any specific proposed NAESB standards modification.
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16. In this final rule, we adopt the proposal to incorporate by
reference in the Commission's regulations the revisions to three sets
of standards in the currently incorporated version of the standards.
Each set of business practice standards is hereafter referred to as a
``manual.''
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\27\ As explained above, we are incorporating by reference an
updated WGQ Invoicing Related Standard that includes the Minor
Correction in Order No. 587-AA. This manual contains no
modifications to the standards, unlike the other three manuals
listed in the table.
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Manual Business practice standards
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0...................................... Additional Standards.
3...................................... Invoicing Related
Standards.\27\
4...................................... Quadrant Electronic Delivery
Mechanism Related Standards.
5...................................... Capacity Release Related
Standards.
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17. We require compliance filings to be made by September 1, 2026,
with an effective date of January 1, 2027. We discuss below some
specific aspects of NAESB's Informational Report.
A. Modifications to the NAESB WGQ Version 4.0 Business Practice
Standards
18. NAESB used its consensus procedures to develop and approve
revisions to three sets of standards. As the Commission found in Order
No. 587, the adoption of consensus standards is appropriate because the
consensus process helps ensure the reasonableness of the standards by
requiring that the standards draw support from a broad spectrum of
industry participants representing all segments of the industry.\28\
Moreover, since the industry itself must conduct business under these
standards, the Commission's regulations should reflect those standards
that have the widest possible support. In section 12(d) of the National
Technology Transfer and Advancement Act of 1995,\29\ Congress
affirmatively requires federal agencies to use technical standards
developed by voluntary consensus standards organizations, like NAESB,
as a means to carry out policy objectives or activities.
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\28\ Order No. 587, 76 FERC ] 61,042 at 12-13.
\29\ Public Law 104-113, 12(d), 110 Stat. 775 (1996).
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19. We incorporate by reference into the Commission's regulations
revisions to three sets of standards in the currently incorporated
version of the standards, as discussed below.
1. WGQ Additional Standards
20. One new standard, WGQ Standard No. 0.3.30, in the Additional
Standards manual, provides that a natural gas transportation service
provider must post scheduled quantity information for power plants
directly connected to the pipeline, as part of the newly established
Gas Electric Coordination posting category. WGQ Standard No. 0.3.30
identifies examples of the data that could be posted in a new
information posting category, ``Gas Electric Coordination'' (discussed
below), including Cycle Indicator (Cycle),\30\ Effective Gas Day,\31\
Effective Time,\32\ generator's location information,\33\ measurement
basis,\34\ posting date and time,\35\ and scheduled quantity associated
with power plants that are directly connected to an interstate
pipeline.\36\
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\30\ According to existing NAESB standard provisions, Cycle
would include each of the five standard daily nominations cycles
(Timely, Evening, Intraday 1, Intraday 2, and Intraday 3) or
additional transportation service provider defined cycles during
which shippers may submit nomination requests for natural gas
transportation throughout the gas day.
\31\ The Effective Gas Day (Eff Gas Day) is the Gas Day for
which the information is applicable, beginning at 9 a.m. Central
Clock Time and ending 9 a.m. Central Clock Time the next day.
\32\ The Effective Time (Eff Time) is the time for which the
posted information is applicable, which may be subsequent to the
posting.
\33\ The applicable generators' locations (Loc) may be the
transportation service providers' assigned identifier where
transactions may take place, Location Name (Loc Name), Location
County (Loc Cnty), Location State Abbreviation (Loc St Abbrev).
\34\ The standard includes the Measurement Basis (Meas Basis),
such as Million British Thermal Units.
\35\ The Posting Date (Post Date) and Posting Time (Post Time)
are the date and time at which transportation service providers post
the relevant information.
\36\ The standard includes posting of the RTO/ISO in whose
service territory the affected generator is directly connected to
the interstate pipeline and Total Scheduled Quantity (TSQ)--the net
quantity scheduled to be delivered to each applicable generator at
the effective date and time of the posting.
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2. WGQ Quadrant Electronic Delivery Mechanism Standards
21. Revised existing standard WGQ Standard No. 4.3.23 under the
Quadrant Electronic Delivery Mechanism Standards manual establishes the
new information posting category, ``Gas Electric Coordination,'' on a
transportation service provider's Informational Postings website where
a transportation service provider must post publicly available data,
including scheduled quantity information for RTOs/ISOs and other
parties to access such data.
3. WGQ Capacity Release Related Standards
22. New standard, WGQ Standard No. 5.3.74 under the Capacity
Release Related Standards manual provides that geographic information
must be included when a natural gas transportation service provider
issues a critical notice, such as geographic information of impacted
areas, locations, and pipeline facilities.\37\
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\37\ Critical notices are notices posted on a transportation
service provider's website that, according to existing WGQ Standard
No. 5.2.1, ``pertain to information on transportation service
provider conditions that affect scheduling or adversely affect
scheduled gas flow.''
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B. Compliance and Implementation Dates
23. Pipelines are required to make compliance filings incorporating
the
[[Page 31655]]
NAESB standards into their tariffs by September 1, 2026. We are
adopting this compliance filing schedule to give interstate natural gas
pipelines subject to these standards time to prepare compliance filings
implementing these changes.
24. INGAA highlights the importance of implementing these
modifications earlier in the winter heating period to enhance
situational awareness when both the gas and electric systems have
coincident peak requirements.\38\ In addition, INGAA suggests that the
Commission provide pipelines with flexibility to implement the proposed
rule earlier, if practical, at a time that minimizes disruptions.
Lastly, INGAA suggests that the Commission require implementation of
this rule on the first gas day of the month.
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\38\ INGAA Comments at 3.
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25. We are requiring implementation by January 1, 2027. Consistent
with INGAA's suggestion that the Commission provide pipelines with
flexibility to implement the proposed rule earlier in the winter
heating period, we confirm that interstate natural gas pipelines can
voluntarily implement these NAESB standards at an earlier date.\39\
While the implementation date is relatively early in the winter heating
season, we expect that implementation should not be particularly time
consuming or disruptive to the industry as the standards involve only
the posting of information relating to the natural gas and electric
industries during extreme cold weather or emergency events.
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\39\ We note that several pipelines have already implemented
these standards on a voluntary basis. See, e.g., Natural Gas
Pipeline Company of America (<a href="https://pipeline2.kindermorgan.com/default.aspx?code=NGPL">https://pipeline2.kindermorgan.com/default.aspx?code=NGPL</a>), Tennessee Gas Pipeline Company, L.L.C.
(<a href="https://pipeline2.kindermorgan.com/">https://pipeline2.kindermorgan.com/</a>), Algonquin Gas Transmission,
LLC (<a href="https://infopost.enbridge.com/infopost/AGHome.asp?Pipe=AG">https://infopost.enbridge.com/infopost/AGHome.asp?Pipe=AG</a>).
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C. Implementation Procedures
26. We will continue the compliance filing requirements as revised
and prescribed in Order No. 587-V to increase the transparency of the
interstate natural gas pipelines' incorporation by reference of the
NAESB WGQ Standards so that shippers and the Commission will know which
tariff provision(s) implements each standard as well as the status of
each standard.\40\
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\40\ Standards for Bus. Pracs. of Interstate Nat. Gas Pipelines,
Order No. 587-V, 77 FR 43711 (July 26, 2012), 140 FERC ] 61,036, at
PP 36-39 (2012).
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27. Consistent with the Commission's practice since Order No. 587-
V, each interstate natural gas pipeline must designate a single tariff
section under which every NAESB WGQ Standard incorporated by reference
by the Commission is listed.\41\ In that tariff section, the pipeline
must list for each standard:
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\41\ Trans-Union Interstate Pipeline L.P., 141 FERC ] 61,167, at
P 36 (2012) (Order No. 587-V Compliance Order); Version 3.2 NOPR,
174 FERC ] 61,103 at P 21.
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(a) whether the standard is incorporated by reference;
(b) for those standards not incorporated by reference, the tariff
provision that complies with the standard; or
(c) for those standards with which the pipeline does not comply, an
explanatory statement, including an indication of whether the pipeline
has been granted a waiver, extension of time, or other variance with
respect to compliance with the standard.\42\
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\42\ Shippers can use the Commission's electronic tariff system
to locate the tariff record containing the NAESB standards, which
will indicate the docket in which any waiver or extension of time
was granted.
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28. Likewise, consistent with past practice, we will post on our
eLibrary website (under Docket No. RM96-1-044) a sample tariff format,
to provide filers with an illustrative example to aid them in preparing
their compliance filings. Also, consistent with our policy since Order
No. 587-V,\43\ entities may request waivers under the requirements set
forth in Order No. 587-V and the Commission will evaluate those
requests at that time.\44\
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\43\ Order No. 587-V, 140 FERC ] 61,036.
\44\ Order No. 587-V Compliance Order, 141 FERC ] 61,167 at PP
4, 38 (a pipeline does not need to seek a waiver for standards that
address business practices that the pipeline does not offer).
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29. If the pipeline is requesting a continuation of an existing
waiver or extension of time, it must include a table in its transmittal
letter that identifies the standard for which the Commission granted a
waiver or extension of time, and the docket number or order citation to
the proceeding in which the Commission granted the waiver or extension
of time. The pipeline also must present an explanation for why such
waiver or extension of time should remain in force regarding a revision
to the three sets of standards in the currently incorporated version of
the standards.
30. This approach to implementation continues the Commission's
practice of having pipelines include in their tariffs a common location
that identifies the way in which the pipeline is incorporating all the
NAESB WGQ Standards and the standards with which it is required to
comply.
VI. Additional Areas for Gas-Electric Coordination
31. Commenters also provided suggestions for further action to
promote gas-electric coordination beyond revisions to the three sets of
standards.\45\ ISO/RTO Council encourages the Commission to support
proposed rules or practices that can enhance reliability of electric
and gas transmission and distribution systems.\46\ Further, ISO/RTO
Council suggests that the Commission could expand dialogues with ISOs/
RTOs and national gas industry associations to include other entities
involved in the natural gas supply chain to better assess how to
improve situational awareness and understand constraints that may
affect reliability of the electricity and gas transmission systems.\47\
---------------------------------------------------------------------------
\45\ See Standards for Bus. Pracs. of Interstate Nat. Gas
Pipelines, 193 FERC ] 61,041 (2025) (Chang, Comm'r, concurring at P
3).
\46\ ISO/RTO Council Comments at 3.
\47\ Id. at 3-4.
---------------------------------------------------------------------------
32. CRF suggests early engagement on gas-electric coordination to
allow the Commission, NAESB, and industry participants to consider
whether existing coordination frameworks sufficiently capture real-
world system behavior during emergencies.\48\ Both AGA and the Utility
Coalition request that the Commission establish a proceeding dedicated
to pipeline reliability issues.\49\ The Utility Coalition requests that
the Commission issue a notice of inquiry (NOI) to seek input from
industry stakeholders and examine additional measures the Commission
could take to preserve and further incentivize reliable deliveries of
natural gas via the interstate pipeline network. The Utility Coalition
further states that an NOI could aid in the collection of necessary
information to provide clear guidance to NAESB in the development or
modification of business practice standards.\50\ Specifically, the
Utility Coalition notes that NAESB in its 2026 WGQ Annual Plan offered
to consider developing and/or modifying business practice standards
that reflect best practices that will provide stronger operating
reliability from production/supply/transport, for example, during
extreme weather conditions, and more clear communication and business
[[Page 31656]]
processes around force majeure declarations during critical operating
periods.\51\ The Utility Coalition also encourages the Commission to
consider greater standardization of pipeline scheduling and
confirmation practices.\52\ The Utility Coalition also avers that the
Commission could require pipelines to consider whether facilities
targeted for replacement or abandonment may still offer reliability
benefits to customers as redundant facilities.\53\
---------------------------------------------------------------------------
\48\ CRF Comments at 10.
\49\ AGA Comments at 22. Utility Coalition Comments at 8 & n.8
(supporting the National Petroleum Council Report recommendation
that the Commission and the states, through the existing Federal and
State Current Issues Collaborative, established in Docket No. AD24-
7-000, publish a framework that identifies and defines the roles and
responsibilities for reliability, resource adequacy, and fuel
assurance).
\50\ Utility Coalition Comments at 9.
\51\ Id.
\52\ Id. at 7.
\53\ Id.
---------------------------------------------------------------------------
33. Additional areas identified by commenters for gas-electric
coordination beyond the NAESB WGQ standards include: revisiting the
policy for force majeure (particularly during critical operating
periods) including updating the NAESB Base Contract for Sale and
Purchase of Natural Gas to enhance transparency regarding the
conditions under which parties may invoke force majeure and providing
guidance to improve force majeure definitions/provisions and
reservation charge crediting.\54\ Commenters also suggest
standardization of pipeline reliability metrics and reporting
requirements; \55\ support for natural gas storage infrastructure; \56\
encouraging state commissions to issue incentives to develop demand
response programs and Advanced Metering Infrastructure; \57\ and
weatherization requirements.\58\
---------------------------------------------------------------------------
\54\ AGA Comments at 17; Utility Coalition Comments at 7, 9.
\55\ AGA Comments at 21-22; Utility Coalition Comments at 7.
\56\ AGA Comments at 18 & n.20 (referencing the recommendation
of National Association of Regulatory Utility Commissioners'
Taskforce on Gas-Electric Alignment for Reliability).
\57\ Id. at 19.
\58\ Id. at 20.
---------------------------------------------------------------------------
34. We find that these comments are outside the scope of this
proceeding because they do not address the merits of the revised NAESB
WGQ standards that are the subject of the NOPR. Nonetheless, the
Commission will continue to consider standards for gas-electric
coordination approved by NAESB through its consensus-based process as
NAESB and other stakeholders continue their dialogue on gas-electric
coordination.
VII. Use of Voluntary Consensus Standards
35. Office of Management and Budget Circular A-119 (section 11)
(Feb. 10, 1998) provides that, when a federal agency issues or revises
a regulation containing a standard, the agency should publish a
statement in the final rule stating whether the adopted standard is a
voluntary consensus standard or a government-unique standard. In this
rulemaking, the Commission is incorporating by reference a new WGQ
Additional Business Practice Standard No. 0.3.30, a revised WGQ
Quadrant Electronic Delivery Mechanism Related Business Practice
Standard No. 4.3.23, and a new WGQ Capacity Release Related Business
Practice Standard No. 5.3.74, which are voluntary consensus standards
developed by the NAESB WGQ.
VIII. Incorporation by Reference
36. The Office of the Federal Register requires agencies
incorporating material by reference in final rules to discuss, in the
preamble of the final rule, the ways that the materials it incorporates
by reference are reasonably available to interested parties and how
interested parties can obtain the materials.\59\ The regulations also
require agencies to summarize, in the preamble of the final rule, the
material it incorporates by reference. The revisions to the three sets
of standards we are incorporating by reference are designed to
streamline the process for accessing publicly available gas-electric
coordination data during extreme cold weather or emergency events and
improve communication among natural gas and electricity market
participants to enhance situational awareness during extreme cold
weather events. The applicable standards are included in WGQ Additional
Business Practice Standards, WGQ Quadrant Electronic Delivery Mechanism
Related Business Practice Standards, and WGQ Capacity Release Related
Business Practice Standards. We are also incorporating an updated
version of WGQ Invoicing Related Standards that includes the Minor
Correction incorporated by reference in Order No. 587-AA. We summarize
these sets of standards below.
---------------------------------------------------------------------------
\59\ 1 CFR 51.5. See Incorporation by Reference, 79 FR 66267
(Nov. 7, 2014).
---------------------------------------------------------------------------
37. WGQ Additional Standards, Version 4.0, September 29, 2023,
(including Addition of WGQ Standard No. 0.3.30, November 25, 2024)
addresses standards that are in addition to the five distinct areas of
business activities--Nominations, Flowing Gas, Invoicing, Electronic
Delivery Mechanism, and Capacity Release. The six categories within the
WGQ Additional Standards are: (1) General; (2) Creditworthiness; (3)
Gas/Electric Operational Communications; (4) Operating Capacity and
Unsubscribed Capacity; (5) Location Data Download; and (6) Storage
Information. WGQ Standard No. 0.3.30 provides that a natural gas
transportation service provider must post scheduled quantity
information for power plants directly connected to the pipeline, as
part of the newly established Gas Electric Coordination posting
category.
38. WGQ Quadrant Electronic Delivery Mechanism Related Standards,
Version 4.0, September 29, 2023, (including Revision to Standard No.
4.3.23, November 25, 2024) defines the framework for the electronic
dissemination and communication of information between parties in the
North American wholesale gas marketplace for Electronic Data
Interchange/EDM transfers, batch flat file/EDM transfers, informational
postings websites, Electronic Bulletin Boards/EDM, and interactive flat
file/EDM. WGQ Standard No. 4.3.23 establishes the new information
posting category, ``Gas Electric Coordination,'' on a transportation
service provider's Informational Postings website where a
transportation service provider must post publicly available data,
including scheduled quantity information for RTOs/ISOs and other
parties to access such data.
39. WGQ Capacity Release Related Standards, Version 4.0, September
29, 2023, (including Addition of WGQ Standard No. 5.3.74, November 25,
2024) defines the business processes for communication of information
related to the selling of all or any portion of a transportation
service requester's contract rights. WGQ Standard No. 5.3.74 provides
that geographic information must be included when a natural gas
transportation service provider issues a critical notice, such as
geographic information of impacted areas, locations, and pipeline
facilities.
40. WGQ Invoicing Related Standards, Version 4.0, September 29,
2023, (including Minor Correction MC24002 applied May 17, 2024) defines
the process for the communication of charges for services rendered
(Invoice), communication of details about funds rendered in payment for
services rendered (Payment Remittance), and communication of the
financial status of a customer's account (Statement of Account).
Commission regulations provide that copies of the standards
incorporated by reference may be obtained through purchase or otherwise
from the North American Energy Standards Board, 1415 Louisiana, Suite
3460, Houston, Texas 77002, phone: (713) 356-0060, website: <a href="https://www.naesb.org/">https://www.naesb.org/</a>. The standards can also be reviewed without purchasing
them.
41. The procedures used by NAESB make its standards reasonably
available to those affected by Commission
[[Page 31657]]
regulations, which generally is comprised of entities that have the
means to acquire the information they need to effectively participate
in Commission proceedings. Participants can join NAESB, for an annual
membership cost of $8,000, which entitles them to full participation in
NAESB and enables them to obtain these standards at no additional cost.
Non-members may obtain any of the ten individual standards manuals for
$250 per manual, which in the case of these revisions to three sets of
standards would total $750 for all three standards manuals. Non-members
also may obtain the complete set of standards manuals for $2,000.
42. NAESB provides ample opportunities for non-members, including
agents, subsidiaries, and affiliates of NAESB members, to obtain access
to the copyrighted standards through a no-cost limited copyright
waiver. The limited copyright waivers are issued by the NAESB office
and are granted to non-members on a case-by-case basis for the purpose
of evaluating standards prior to purchase and/or reviewing the
standards to prepare comments to a regulatory agency. Following the
granting of a limited copyright waiver, the non-member is provided with
read-only access to the standards through the end of the comment period
or some other set period of time via Locklizard Safeguard Secure
Viewer.\60\ NAESB will grant one limited copyright waiver per company
for each set of standards or final actions. Any entity seeking a
limited copyright waiver should contact the NAESB office.
---------------------------------------------------------------------------
\60\ For more information on Locklizard, please refer to the
company's website: <a href="https://www.locklizard.com">https://www.locklizard.com</a>.
---------------------------------------------------------------------------
43. The following standards appear in the amendatory text of this
document and were previously approved for 18 CFR 284.12: WGQ
Nominations Related Standards, WGQ Flowing Gas Related Standards, and.
WGQ Cybersecurity Related Standards.
IX. Information Collection Statement
44. The collection of information contained in this final rule is
being submitted to the Office of Management and Budget (OMB) for review
under section 3507(d) of the Paperwork Reduction Act of 1995, 44 U.S.C.
3507(d). Respondents subject to the filing requirements of this final
rule will not be penalized for failing to respond to these collections
of information unless the collections of information display a valid
OMB control number. The information collection requirements in this
final rule are revising two currently approved collections that will be
submitted to OMB for review.
45. During the NOPR, the Commission solicited comments on our need
for this information, whether the information will have practical
utility, the accuracy of the provided burden estimates, ways to enhance
the quality, utility, and clarity of the information to be collected,
and any suggested methods for minimizing respondents' burden, including
the use of automated information techniques.
46. Public Reporting Burden: The Commission's burden estimates for
the requirements in this final rule are for one-time implementation of
the information collection requirements of this final rule (including
tariff filing, documentation of the process and procedures, and
information technology work).
47. The collections of information related to this final rule fall
under FERC-545 (Gas Pipeline Rates: Rate Change (Non-Formal)) \61\ and
FERC-549C (Standards for Business Practices of Interstate Natural Gas
Pipelines).\62\ The following estimates of reporting burden are related
only to this final rule and anticipate the costs to interstate natural
gas pipelines for compliance with this final rule. The burden estimates
are related to implementing these standards and regulations and will
not result in ongoing costs. Within the NOPR, the Commission solicited
comments on the information collection requirements and received one
comment from an individual citizen, James Hunter Poole, protesting
paperwork and compliance burden estimates. Mr. Poole states that the
Commission's current approach relies on excessive, layered, and
duplicative documentation requirements that exceed what is necessary to
achieve safety, reliability, or market integrity. He also states that
the Commission's fixed documentation and reporting costs
disproportionately burden municipal utilities, rural cooperatives, and
small transmission operators forcing small entities to divert scarce
technical staff into compliance; delay grid upgrades and capacity
expansion; and suppress job creation. He argues that excessive
documentation and compliance lead to economic harm, including, delayed
grid expansion and modernization; suppressed private investment;
increased outage risk due to delayed upgrades; deferred maintenance and
slower integration of new capacity; reduced resilience during extreme
weather and emergencies; and higher energy costs passed through to
ratepayers.\63\ Conversely, CRF contends that these reforms impose
modest one-time compliance costs that are justified by their
substantial reliability benefits, including avoiding prolonged outages,
generator failures, and cascading system disruptions.\64\ CRF states
that these reliability benefits deliver significant value to consumers
and the broader economy, far outweighing the limited implementation
burdens identified in the NOPR.\65\
---------------------------------------------------------------------------
\61\ FERC-545 covers rate change filings made by natural gas
pipelines, including tariff changes.
\62\ FERC-549C covers Standards for Business Practices of
Interstate Natural Gas Pipelines.
\63\ Mr. Poole Comment at 2-3.
\64\ CRF Comment at 2-3. CFR states that ``enhancing the timely
availability of relevant, standardized data--particularly during
extreme weather and emergency conditions--is a practical and cost-
effective means of reducing outage risk for consumers and
strengthening overall system resilience.'' Id. at 2.
\65\ Id.
---------------------------------------------------------------------------
48. Although the revised standards impose modest one-time
compliance costs, discussed below, we agree with CRF regarding the
substantial benefits achieved with minor and limited implementation
burdens. Mr. Poole's comments reflect a general concern with
documentation and reporting costs, not a concern with the calculation
of the costs for these revised standards and their respective
requirements. Therefore, we continue to estimate that the burden will
remain consistent with our estimate put forth in the NOPR. A breakdown
of the one-time costs is in the table below.
RM96-1-044 NOPR (Standards for Business Practices of Interstate Natural Gas Pipelines)
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Number of
Number of responses per Total number of Average burden hours per response Total burden hours & total cost \67\ Cost per
respondents \66\ respondent responses respondent ($)
(1) (2) (1) * (2) = (3) (4)................................. (3) * (4) = (5)........................... (5)/(1) = (6)
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
FERC-545 (one-time)...................... 193 1 193 10 hrs.; $980....................... 1,930 hrs.; $189,140...................... $980
[[Page 31658]]
FERC-549C (one-time)..................... 193 1 193 100 hrs.; $9,800.................... 19,300 hrs.; $1,891,400................... 9,800
------------------------------------------------------------------------------------------------------------------------------------------------------
Total................................ ................ .............. 386 .................................... 21,230 hrs.; $2,080,540................... 10,780
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
The total one-time burden (for both the FERC-545 and FERC-549C)
would take place in Year 1 as follows:
---------------------------------------------------------------------------
\66\ The number of respondents is the number of entities in
which a change in burden from the current standards to the proposed
exists, not the total number of entities from the current or
proposed standards that are applicable.
\67\ The estimated hourly cost (salary plus benefits) provided
in this section is based on the salary figures for May 2024 posted
on April 2, 2025 by the Bureau of Labor Statistics for the Utilities
sector (available at <a href="https://www.bls.gov/oes/current/naics2_22.htm">https://www.bls.gov/oes/current/naics2_22.htm</a>)
and scaled to reflect benefits using the relative importance of
employer costs for employee compensation (available at <a href="https://www.bls.gov/news.release/ecec.nr0.htm">https://www.bls.gov/news.release/ecec.nr0.htm</a>). The hourly estimates for
salary plus benefits are:
Computer and Information Systems Manager (Occupation Code: 11-
3021), $110.62.
Computer and Information Analysts (Occupation Code: 15-1210),
$68.34.
Electrical Engineer (Occupation Code: 17-2071), $71.19.
Legal (Occupation Code: 23-0000), $140.76.
The average hourly cost (salary plus benefits), weighting these
skill sets evenly, is $97.728. We round it to $98/hour.
---------------------------------------------------------------------------
FERC-545: 193 entities x 1 response/entity (10 hours/response x
$98/hour) = $189,140.
FERC-549C: 193 entities x 1 response/entity (100 hours x $98/hour)
= $1,891,400.
Title: FERC-545, Gas Pipeline Rates: Rates Change (Non-Formal);
FERC-549C, Standards for Business Practices of Interstate Natural Gas
Pipelines.
Action: Revision to existing information collections.
OMB Control Nos.: 1902-0154 (FERC-545), 1902-0174 (FERC-549C).
Respondents: Business or other for profit (e.g., Natural Gas
Pipelines, applicable to only a few small businesses).
Frequency of Responses: One-time implementation (related to
business procedures and data processing).
Necessity of Information: In response to NAESB's standard
development activities, the final rule revises three sets of standards
to the standards previously incorporated by reference by the
Commission. First, a new standard in the WGQ Additional Standards
manual, WGQ Standard No. 0.3.30, facilitates the posting of applicable
scheduled quantity information for directly connected power plants, as
part of the new Gas Electric Coordination posting category. Types of
data that could be provided include Cycle Indicator, Effective Gas Day,
Location, Location Name, Location County, Location State Abbreviation,
Measurement Bases, Posting Date, Posting Time, RTO/ISO, and Total
Scheduled Quantity. Second, a revised standard in the WGQ Quadrant
Electronic Delivery Mechanism Related Standards manual, WGQ Standard
No. 4.3.23, establishes a new information posting category--Gas
Electric Coordination, for use by a transportation service provider, to
help streamline the process for RTOs/ISOs and other parties accessing
critical data during extreme cold weather or emergency events. Third, a
new standard in the WGQ Capacity Release Related Standards manual, WGQ
Standard No. 5.3.74, supports the inclusion of the geographic
information of impacted areas, locations, or pipeline facilities by a
transportation service provider when issuing a critical notice. Upon
completion of the implementation of the above standards, the Commission
staff will use the data for general industry oversight.
Internal Review: We have reviewed the requirements pertaining to
business practices of interstate natural gas pipelines and have
determined that the revisions are necessary to streamline the process
for accessing publicly available gas-electric coordination data during
extreme cold weather or emergency events and improve communication
among natural gas and electricity market participants to enhance
situational awareness during extreme cold weather events. We agree with
CRF that the revisions may provide reliability benefits, including
avoiding prolonged outages, generator failures, and cascading system
disruptions. Further, the revisions may deliver significant value to
consumers and the broader economy, far outweighing the limited
implementation burdens identified in the NOPR. We have determined
through our internal review that there is specific, objective support
for the burden estimates associated with the information requirements.
49. Interested persons may obtain information on the reporting
requirements by contacting the following: Federal Energy Regulatory
Commission, 888 First Street NE, Washington, DC 20426 [Attention: Kayla
Williams, Office of the Executive Director, email:
<a href="/cdn-cgi/l/email-protection#b6f2d7c2d7f5dad3d7c4d7d8d5d3f6d0d3c4d598d1d9c0"><span class="__cf_email__" data-cfemail="92d6f3e6f3d1fef7f3e0f3fcf1f7d2f4f7e0f1bcf5fde4">[email protected]</span></a>, phone: (202) 502-8663].
50. Comments concerning the information collections in this rule
and the associated burden estimates should be sent to the Commission
and to the Office of Management and Budget, Office of Information and
Regulatory Affairs, 725 17th Street NW, Washington, DC 20503
[Attention: Desk Officer for the Federal Energy Regulatory Commission].
For security reasons, comments to OMB should be sent by email to:
<a href="/cdn-cgi/l/email-protection#046b6d76655b777166696d77776d6b6a446b69662a616b742a636b72"><span class="__cf_email__" data-cfemail="1e71776c7f416d6b7c73776d6d7771705e71737c307b716e30797168">[email protected]</span></a>. Please reference Docket No. RM96-1-044 and
related OMB Control No(s) (FERC-545) or (FERC-549C) in any submission.
A copy of the comments on information collection should also be sent to
the Commission, in Docket No. RM96-1-044 by any of the following
methods:
<bullet> eFiling at Commission's Website: <a href="https://www.ferc.gov/docs-filing/efiling.asp">https://www.ferc.gov/docs-filing/efiling.asp</a>;
<bullet> U.S. Postal Service Mail: Persons unable to file
electronically may mail similar pleadings to the Federal Energy
Regulatory Commission, 888 First Street NE, Washington, DC 20426; or
<bullet> Delivery of filings other than by eFiling or the U.S.
Postal Service should be delivered to the Federal Energy Regulatory
Commission, 12225 Wilkins Avenue, Rockville, MD 20852.
X. Environmental Analysis
51. The Commission is required to prepare an Environmental
Assessment or an Environmental Impact Statement for any action that may
have a significant adverse effect on the human environment.\68\ The
actions that we take here fall within categorical exclusions in the
Commission's regulations for rules that are clarifying, corrective, or
[[Page 31659]]
procedural, for information gathering, analysis, and dissemination, and
for rules regarding sales, exchange, and transportation of natural gas
that require no construction of facilities.\69\ Therefore, an
environmental review is unnecessary and has not been prepared as part
of this final rule.
---------------------------------------------------------------------------
\68\ Reguls. Implementing the Nat'l Envt'l Pol'y Act, Order No.
486, 52 FR 47897 (Dec. 17, 1987), FERC Stats. & Regs. ] 30,783
(1987) (cross-referenced at 41 FERC ] 61,284).
\69\ See 18 CFR 380.4(a)(2)(ii), 380.4(a)(5), & 380.4(a)(27)
(2025).
---------------------------------------------------------------------------
XI. Regulatory Flexibility Act
52. The Regulatory Flexibility Act of 1980 (RFA) \70\ generally
requires a description and analysis of rules that will have significant
economic impact on a substantial number of small entities. The
Commission is not required to make such an analysis if proposed
regulations would not have such an effect. In the NOPR, the Commission
included an initial regulatory flexibility analysis that assessed the
rule's potential impact on small businesses. The Commission determined
that the proposed requirements would not have a significant economic
impact on a substantial number of small entities. Therefore, within
this final rule we continue to determine this to be true.
---------------------------------------------------------------------------
\70\ 5 U.S.C. 601-612.
---------------------------------------------------------------------------
53. Approximately 193 interstate natural gas pipelines, both large
and small, are respondents subject to the requirements in this final
rule. Most of the natural gas pipelines regulated by the Commission do
not fall within the RFA's definition of a small entity,\71\ which is
currently defined for natural gas pipelines as a company that, in
combination with its affiliates, has total annual receipts of $41.5
million or less.\72\ For the year 2022, only 14 companies not
affiliated with larger companies had annual revenues in combination
with their affiliates of $41.5 million or less and therefore could be
considered a small entity under the RFA. This represents about seven
percent of the total universe of potential respondents that may have a
significant burden imposed on them. We estimate that the one-time
implementation cost of the requirements in this final rule is
$2,080,540 (or $10,780 per entity, regardless of entity size).\73\ We
do not consider the estimated $10,780 impact per entity to be
significant. Moreover, these requirements are designed to benefit all
customers, including small businesses that must comply with them.
Further, as noted above, incorporation by reference of consensus
standards helps ensure the reasonableness of the standards by requiring
that the standards draw support from a broad spectrum of industry
participants representing all segments of the industry. Because of that
representation and the fact that industry conducts business under these
standards, the Commission has found value in incorporating standards
that have the widest possible support.
---------------------------------------------------------------------------
\71\ See 5 U.S.C. 601(3) citing section 3 of the Small Business
Act (SBA), 15 U.S.C. 623. Section 3 of the SBA defines a ``small
business concern'' as a business that is independently owned and
operated, and that is not dominant in its field of operation.
\72\ 13 CFR 121.201 (Subsector 486-Pipeline Transportation;
North American Industry Classification System code 486210; Pipeline
Transportation of Natural Gas) (2025) ``Annual Receipts'' are total
income plus cost of goods sold.
\73\ This number is derived by dividing the total cost figure by
the number of respondents. $2,080,504/193 = $10,780.
---------------------------------------------------------------------------
54. Accordingly, pursuant to section 605(b) of the RFA,\74\ the
Commission certifies that the regulations proposed herein should not
have a significant economic impact on a substantial number of small
entities.
---------------------------------------------------------------------------
\74\ 5 U.S.C. 605(b).
---------------------------------------------------------------------------
XII. Document Availability
55. In addition to publishing the full text of this document in the
Federal Register, the Commission provides all interested persons an
opportunity to view and/or print the contents of this document via the
internet through the Commission's Home Page (<a href="http://www.ferc.gov">http://www.ferc.gov</a>).
56. From the Commission's Home Page on the internet, this
information is available on eLibrary. The full text of this document is
available on eLibrary in PDF and Microsoft Word format for viewing,
printing, and/or downloading. To access this document in eLibrary, type
the docket number excluding the last three digits of this document in
the docket number field.
57. User assistance is available for eLibrary and the Commission's
website during normal business hours from FERC Online Support at 202-
502-6652 (toll free at 1-866-208-3676) or email at
<a href="/cdn-cgi/l/email-protection#e2848790818d8c8e8b8c87919792928d9096a284879081cc858d94"><span class="__cf_email__" data-cfemail="096f6c7b6a66676560676c7a7c7979667b7d496f6c7b6a276e667f">[email protected]</span></a>, or the Public Reference Room at (202) 502-
8371, TTY (202) 502-8659. Email the Public Reference Room at
<a href="/cdn-cgi/l/email-protection#304045525c59531e4255565542555e5355425f5f5d70565542531e575f46"><span class="__cf_email__" data-cfemail="611114030d08024f1304070413040f0204130e0e0c21070413024f060e17">[email protected]</span></a>.
XIII. Regulatory Planning and Review
58. Executive Orders 12866 and 13563 direct agencies to assess the
costs and benefits of available regulatory alternatives and, if
regulation is necessary, to select regulatory approaches that maximize
net benefits (including potential economic, environmental, public
health and safety effects, distributive impacts, and equity). Executive
Order 13563 emphasizes the importance of quantifying both costs and
benefits, of reducing costs, of harmonizing rules, and of promoting
flexibility. The Office of Information and Regulatory Affairs (OIRA)
has determined this regulatory action is not a ``significant regulatory
action,'' under section 3(f) of Executive Order 12866, as amended.
Accordingly, OIRA has not reviewed this regulatory action for
compliance with the analytical requirements of Executive Order 12866.
XIV. Effective Date and Congressional Notification
59. These regulations are effective July 27, 2026. The Commission
has determined, with the concurrence of the Administrator of the Office
of Information and Regulatory Affairs of OMB, that this rule is not a
``major rule'' as defined in section 351 of the Small Business
Regulatory Enforcement Fairness Act of 1996.
List of Subjects in 18 CFR Part 284
Continental shelf, Incorporation by reference, Natural gas,
Reporting and recordkeeping requirements.
By the Commission.
Issued May 22, 2026.
Debbie-Anne A. Reese,
Secretary.
In consideration of the foregoing, the Commission amends 18 CFR
part 284 as follows:
PART 284--CERTAIN SALES AND TRANSPORTATION OF NATURAL GAS UNDER THE
NATURAL GAS POLICY ACT OF 1978 AND RELATED AUTHORITIES
0
1. The authority citation for part 284 continues to read as follows:
Authority: 15 U.S.C. 717-717z, 3301-3432; 42 U.S.C. 7101-7352;
43 U.S.C. 1331-1356.
0
2. In Sec. 284.12:
0
a. Revise paragraphs (a)(1)(i) through (vii); and
0
b. Remove paragraph (a)(1)(viii).
The revisions read as follows:
Sec. 284.12 Standards for pipeline business operations and
communications.
(a) * * *
(1) * * *
(i) WGQ Additional Standards, Version 4.0, September 29, 2023,
(including Addition of WGQ Standard No. 0.3.30, November 25, 2024).
(ii) WGQ Nominations Related Standards, Version 4.0, September 29,
2023.
(iii) WGQ Flowing Gas Related Standards, Version 4.0, September 29,
2023.
(iv) WGQ Invoicing Related Standards, Version 4.0, September 29,
[[Page 31660]]
2023, (including Minor Correction MC24002 applied May 17, 2024).
(v) WGQ Quadrant Electronic Delivery Mechanism Related Standards,
Version 4.0, September 29, 2023, (including Revision to Standard No.
4.3.23, November 25, 2024).
(vi) WGQ Capacity Release Related Standards, Version 4.0, September
29, 2023, (including Addition of WGQ Standard No. 5.3.74, November 25,
2024).; and
(vii) WGQ Cybersecurity Related Standards, Version 4.0, September
29, 2023.
* * * * *
[FR Doc. 2026-10600 Filed 5-27-26; 8:45 am]
BILLING CODE 6717-01-P
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