WISCONSIN GAS CO. v. F.E.R.C.

Nos. 84-1358 to 84-1360, 84-1364, 84-1407, 84-1408, 84-1413 to 84-1418, 84-1433, 84-1434, 84-1441, 84-1446, 84-1463, 84-1470, 84-1474, 84-1487, 84-1489, 84-1490, 84-1556, 84-1580, 84-1623 and 85-1015.

770 F.2d 1144 (1985)

WISCONSIN GAS COMPANY, Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Michigan Consolidated Gas Company, et al., Intervenors. ANR PIPELINE COMPANY, Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Michigan Consolidated Gas Company, et al., Intervenors. GREAT LAKES GAS TRANSMISSION COMPANY, Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Michigan Consolidated Gas Company, et al., Intervenors. TRANSWESTERN PIPELINE COMPANY, Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Michigan Consolidated Gas Company, et al., Intervenors. MIDWESTERN GAS TRANSMISSION COMPANY, Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Michigan Consolidated Gas Company, et al., Intervenors. TENNESSEE GAS PIPELINE COMPANY, a DIVISION OF TENNECO INC., Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Michigan Consolidated Gas Company, et al., Intervenors. CITY GAS COMPANY, Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Michigan Consolidated Gas Company, et al., Intervenors. MADISON GAS & ELECTRIC COMPANY, Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Michigan Consolidated Gas Company, et al., Intervenors. WISCONSIN POWER & LIGHT COMPANY, Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Michigan Consolidated Gas Company, et al., Intervenors. WISCONSIN NATURAL GAS COMPANY, Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Michigan Consolidated Gas Company, et al., Intervenors. WISCONSIN POWER & LIGHT COMPANY, Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Michigan Consolidated Gas Company, et al., Intervenors. WISCONSIN PUBLIC SERVICE CORPORATION, Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Michigan Consolidated Gas Company, et al., Intervenors. PANHANDLE EASTERN PIPE LINE COMPANY, Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Michigan Gas Utilities Company, et al., Intervenors. TRUNKLINE GAS COMPANY, Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Michigan Gas Utilities Company, et al., Intervenors. MIGC, INC., Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Michigan Consolidated Gas Company, et al., Intervenors. TEXAS EASTERN TRANSMISSION CORPORATION, Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Michigan Consolidated Gas Company, et al., Intervenors. ARKANSAS LOUISIANA GAS COMPANY, a DIVISION OF ARKLA, INC., Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Pan-Alberta Gas Ltd., et al., Intervenors. TRANSCONTINENTAL GAS PIPE LINE CORPORATION, Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Pan-Alberta Gas Ltd., et al., Intervenors. ALGONQUIN GAS TRANSMISSION COMPANY, Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Pan-Alberta Gas Ltd., et al., Intervenors. TEXAS GAS TRANSMISSION CORPORATION, Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Consumers Power Company, et al., Intervenors. PACIFIC INTERSTATE OFFSHORE COMPANY, Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Consumers Power Company, et al., Intervenors. CASCADE NATURAL GAS CORPORATION, Northwest Natural Gas Company, Washington Natural Gas Company, Petitioners, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Consumers Power Company, et al., Intervenors. ARKANSAS LOUISIANA GAS COMPANY, a DIVISION OF ARKLA, INC., Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Pacific Gas and Electric Company, et al., Intervenors. TRANSWESTERN PIPELINE COMPANY, Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Pan-Alberta Gas Ltd., et al., Intervenors. MIGC, INC., Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent. ARKANSAS LOUISIANA GAS COMPANY, a DIVISION OF ARKLA, INC., Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent.

United States Court of Appeals, District of Columbia Circuit.

Decided August 20, 1985.


Attorney(s) appearing for the Case

Raymond N. Shibley, Washington, D.C., with whom Patrick J. Whittle, Washington, D.C., was on brief, for Panhandle Eastern Pipe Line Co. and Trunkline Gas Co., petitioners in Nos. 84-1433 & 84-1434, and intervenors in Nos. 84-1358 to 84-1360, 84-1364, 84-1407, 84-1408, 84-1413 to 84-1418.

Platt W. Davis, III, Washington, D.C., for Ark. La. Gas Co., petitioner in Nos. 84-1463, 84-1556, and 85-1015.

Bruce F. Kiely, Washington, D.C., with whom Catherine C. Wakelyn, was on brief, for Wis. Gas Co., et al., petitioners in Nos. 84-1358, 84-1413 to 84-1418.

James T. McManus, Washington, D.C., with whom Dale A. Wright, Harold L. Talisman, Washington, D.C., Michael R. Waller, Houston, Tex., and Terence J. Collins, Washington, D.C., were on brief, for Midwestern Gas Transmission Co. and Tenn. Gas Pipeline Co., petitioners in Nos. 84-1407 and 84-1408. Gregory Grady, Washington, D.C., also entered an appearance for Midwestern Gas Transmission Co. in No. 84-1407.

James D. McKinney, Jr., Washington, D.C., with whom William R. Mapes, Jr., Washington, D.C., and Narinder J.S. Kathuria, were on brief, for Great Lakes Gas Transmission Co., petitioner in No. 84-1360.

James W. McCartney, Houston, Tex., and Judy M. Johnson, Houston, Tex., were on briefs, for Transwestern Pipeline Co., petitioner in Nos. 84-1364 and 84-1580, and Tex. Eastern Transmission Corp., petitioner in No. 84-1446. David T. Andril, Washington, D.C., Carol A. White, Richard C. Alsup, and Cheryl M. Foley, Houston, Tex., were also on brief, for petitioner Transwestern Pipeline Co., and Bolivar C. Andrews, Houston, Tex., was on brief, for petitioner Tex. Eastern Transmission Corp.

Thomas D. Clarke and Glen J. Sullivan, Los Angeles, Cal., were on brief, for Pacific Interstate Offshore Co., petitioner in No. 84-1489.

Michael B. Silva, Robert W. Best, Christopher T. Boland, John F. Harrington, and William A. Williams, Houston, Tex., were on brief for Tex. Gas Transmission Corp., petitioner in No. 84-1487. Robert W. Perdue, Washington, D.C., also entered an appearance for Tex. Gas Transmission Corp.

Thomas F. Ryan, Jr., Robert G. Hardy, and Michael J. Fremuth, Washington, D.C., were on brief, for Transcontinental Gas Pipe Line Corp., petitioner in No. 84-1470, and intervenor in Nos. 84-1358 to 84-1360, 84-1364, 84-1407, 84-1408, 84-1413 to 84-1418.

David L. Huard, Norman A. Pedersen, Roger B. Coven, and Rachelle B. Chong, Washington, D.C., were on brief, for MIGC, Inc., petitioner in Nos. 84-1441 and 84-1623.

John T. Ketcham and Joseph O. Fryxell, Washington, D.C., were on briefs, for Algonquin Gas Transmission Co., petitioner in No. 84-1474, and Cascade Nat. Gas Corp., et al., petitioners in No. 84-1490. Robert A. Nelson, Jr., Portland, Or., was also on joint brief, for petitioners in No. 84-1490. Ted P. Gerarden, Washington, D.C., also entered an appearance for Algonquin Gas Transmission Co. in No. 84-1474.

William W. Brackett, Daniel F. Collins, Terry O. Vogel, and Richard W. Miller, Jr., Washington, D.C., were on brief, for ANR Pipeline Co., petitioner in No. 84-1359.

Ernest C. Baynard, III, Deputy Gen. Counsel, F.E.R.C., Washington, D.C., with whom Jerome M. Feit, Sol., F.E.R.C., and A. Karen Hill, Counsel, F.E.R.C., Washington, D.C., were on brief, for respondent. Barbara J. Weller, Counsel, F.E.R.C., Washington, D.C., also entered an appearance for respondent.

Richard A. Solomon, Washington, D.C., for joint intervenors in Nos. 84-1358, et al. David E. Blabey, David D'Alessandro, and Richard Solomon, Washington, D.C., also entered appearances for intervenor Public Service Com'n of the State of N.Y.

Michael B. Day, San Francisco, Cal., with whom J. Calvin Simpson, San Francisco, Cal., was on brief, for intervenor Public Utilities Com'n of the State of Cal. in Nos. 84-1358 to 84-1360, 84-1364, 84-1407, 84-1408, 84-1413 to 84-1418.

Jeffrey M. Petrash, Detroit, Mich., with whom James H. Holt, Paul W. Mallory, and Mary Baluss, Washington, D.C., were on joint brief, for intervenors Inter-City Gas Corp., Mich. Consol. Gas Co., and Nat. Gas Pipeline Co., Jeffrey M. Petrash, James H. Holt, Paul W. Mallory, William Warfield Ross, and Daniel L. Koffsky, Washington, D.C., were also on brief, for intervenors American Iron & Steel Institute, et al. Toni K. Allen, William Warfield Ross, and Daniel L. Koffsky, Washington, D.C., entered appearances for intervenor Consumers Power Co. Paul E. Goldstein, Chicago, Ill., also entered an appearance for intervenor Nat. Gas Pipeline Co. George B. Mickum, III, Washington, D.C., also entered an appearance for intervenor Inter-City Gas Corp.

Thomas M. Patrick, Chicago, Ill., with whom James Hinchliff and Karen Cargill, Chicago, Ill., were on brief, for intervenor Peoples Gas Light & Coke Co. Richard E. Terry, Chicago, Ill., also entered an appearance for Peoples Gas Light & Coke Co.

George W. McHenry, Jr., and John R. Staffer, Washington, D.C., were on brief, for intervenors Pan-Alberta Gas, Ltd. and Foothills Pipe Lines (Yukon) Ltd. John H. Burnes, Jr., Washington, D.C., also entered an appearance for Pan-Alberta Gas, Ltd.

William M. Lange and Jeffrey M. Goldsmith, Colorado Springs, Colo., were on brief, for intervenor Colo. Interstate Gas Co. Nancy A. White, Colorado Springs, Colo., also entered an appearance for Colo. Interstate Gas Co.

E.R. Island and Michael D. Gayda, Los Angeles, Cal., were on brief, for intervenors Pacific Lighting Gas Supply Co. and Southern Cal. Gas Co.

Steven M. Schur, Madison, Wis., was on brief, for intervenor Public Service Com'n of Wis.

Joseph C. Bell, Washington, D.C., and Jeffrey Spring, were on brief, for Citizens Energy Corp., amicus curiae, urging affirmance in No. 84-1358.

David I. Bloom, Washington, D.C., Lynn G. Kamarck, Washington, D.C., and Wendell H. Adair, Jr., Chicago, Ill., entered appearances for intervenor Northern Ill. Gas Co.

Philip J. Mause, Washington, D.C., entered an appearance for intervenor Public Service Com'n of Wisconsin.

Stephen J. Small and Richard L. Gottlieb, Charleston, W.Va., entered appearances for intervenor Columbia Gas Transmission Corp.

Donald J. MacIver, Jr., Richard Owen Baish, Scott D. Fobes, C. Frank Reifsnyder, and Richard C. Green, El Paso, Tex., entered appearances for intervenor El Paso Nat. Gas Co.

Edward J. Grenier, Jr., and Glen S. Howard, Washington, D.C., entered appearances for intervenor Process Gas Consumers Group, et al.

Richard M. Merriman, Washington, D.C., John R. Schaefgen, Jr., and Stephen L. Huntoon, entered appearances for intervenor Mich. Gas Utilities Co.

Peter W. Hanschen, Steven F. Greenwald, and J. Michael Reidenbach, San Francisco, Cal., entered appearances for intervenor Pacific Gas and Elec. Co., et al.

Michael W. Hall and Gary E. Guy, Washington, D.C., entered appearances for intervenor Brooklyn Union Gas Co.

Thomas F. Ryan, Jr., Robert G. Hardy, and Michael J. Fremuth, Washington, D.C., entered appearances for intervenor Transcontinental Gas Pipe Line Corp.

Louis J. Caruso, R. Philip Brown, Don L. Keskey, Ronald D. Eastman, and Lynda S. Mounts, Washington, D.C., entered appearances for intervenors State of Mich., et al.

John B. Rudolph, Washington, D.C., entered an appearance for intervenor Northwest Energy Co.

Paul H. Keck and Douglas L. Beresford, Washington, D.C., entered appearances for intervenor Transcanada Pipelines, Ltd.

C. Edward Peterson, Topeka, Kan., entered an appearance for intervenor Kan. State Corp. Com'n.

James R. Lacey, Newark, N.J., entered an appearance for intervenor Public Service Elec. and Gas Co.

Lewis Carroll, Birmingham, Ala., entered an appearance for intervenor Wash. Gas Light Co.

James L. Blasiak, Camillus, N.Y., entered an appearance for intervenor Consol. Gas Transmission Corp.

Glenn W. Letham entered an appearance for intervenor Chattanooga Gas Co.

Before TAMM, MIKVA, and STARR, Circuit Judges.


Opinion for the court filed by Circuit Judge TAMM.

TAMM, Circuit Judge.

Petitioners sell natural gas under contracts, tariffs, and certificates approved by the Federal Energy Regulatory Commission (the Commission). These contracts and tariffs often contain minimum commodity bills (or minimum bills) and minimum take provisions. A minimum commodity bill requires a pipeline customer to pay for a minimum volume of gas, whether or not the customer purchases that...

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