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MARKWEST MICHIGAN PIPELINE CO., LLC v. F.E.R.C.

No. 10-1075.

646 F.3d 30 (2011)

MARKWEST MICHIGAN PIPELINE COMPANY, LLC, Petitioner v. FEDERAL ENERGY REGULATORY COMMISSION and United States of America, Respondents GulfMark Energy, Inc., Intervenor.

United States Court of Appeals, District of Columbia Circuit.

Decided July 1, 2011.

Attorney(s) appearing for the Case

Charles F. Caldwell argued the cause for petitioner. With him on the briefs was Elizabeth B. Kohlhausen.

Carol J. Banta, Attorney, Federal Energy Regulatory Commission, argued the cause for respondents. With her on the brief were Robert B. Nicholson and Robert J. Wiggers, Attorneys, U.S. Department of Justice, Thomas R. Sheets, General Counsel, Federal Energy Regulatory Commission, and Robert H. Solomon, Solicitor. John J. Powers, III, Attorney, U.S. Department of Justice, entered an appearance.

Opinion for the Court filed by Circuit Judge GRIFFITH.

GRIFFITH, Circuit Judge:

To settle a dispute over rates, oil pipeline owner MarkWest agreed with two of its three shippers to restrict rate increases for a three-year period. But neither the agreement nor the relevant regulations clearly lay out how to determine the rates MarkWest may charge now that the three-year period is past. MarkWest proposed its view, which the Federal Energy Regulatory Commission (FERC) rejected and replaced with its own. Finding both the...

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