FERC issues pipeline rule

News Release - FERC to Require Pipeline Companies to Report Infrastructure Damage Resulting from Hurricanes, Other Disasters under RM06-18. (PDF format here)

The Federal Energy Regulatory Commission today revised its rules to better monitor and assess the physical state of the interstate natural gas pipeline grid and gas storage infrastructure when service is disrupted due to damage caused by a hurricane, other natural disasters or acts of terrorism.

The final rule, issued today, will require jurisdictional natural gas companies to report to the Commission damage to their facilities and report service disruptions that occur when a natural disaster or other cause results in a reduction in pipeline throughput or storage deliverability.

Chairman Joseph T. Kelliher said, “The rule fills a regulatory gap identified by the Commission last year after Hurricanes Katrina and Rita. The Commission lacked vital information on the physical condition of facilities that affected the operation of the pipeline grid. This rule will enhance our ability to mitigate critical gas service issues more quickly.”

Current Commission regulations only require regulated entities to report serious service disruptions, but not damage to the affected gas infrastructure. During last year’s hurricane disasters, companies kept the Commission informed about service disruptions, but FERC staff had to scramble to gather information through phone calls and other means to help the Commission assess the damage.

There's no enforcement mechanism, is there? Aside from the one that operates with or without this rule -- media reportage. It's self-initiated by whomever owns or operates the pipeline.