The Idaho Public Utilities Commission has authorized Intermountain Gas Co., a local distribution company (LDC), to implement a new interruptible-distribution transportation service for large-volume industrial customers, including a charge designed to minimize stranded costs associated with migration of customers from sales tariffs. The LDC says the new service permits better management of its pipeline firm capacity rights and gives industrial customers additional choice in managing deliveries.
The approved plan allows customers to enter contracts for 200,000 therms or more per year in interruptible service, when adequate capacity exists on the LDC's distribution system. An annual minimum charge of $30,000 is required, even though it would require transportation of over twice as many therms as the eligibility threshold for the service. Re Intermountain Gas Co., Case No. INT-G-96-2, Order No. 26450, May 16, 1996 (Idaho P.U.C.). t
Phillip S. Cross is an associate legal editor of PUBLIC UTILITIES FORTNIGHTLY.