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Q: FERC Tariff ( Answered,   0 Comments )
Subject: FERC Tariff
Category: Miscellaneous
Asked by: mawk77-ga
List Price: $10.00
Posted: 20 Apr 2006 21:08 PDT
Expires: 20 May 2006 21:08 PDT
Question ID: 721187
What is the purpose of a FERC Tariff?

I am looking for any answer that tells me why an oil and gas company
needs a FERC tariff.
Subject: Re: FERC Tariff
Answered By: cynthia-ga on 20 Apr 2006 21:54 PDT
Hi mawk77,

This power point presentation answers your question:

The History of Oil Pipeline Regulation

There's links at the official FERC web site to explore further:

Federal Energy Regulatory Commission

By hovering over "INDUSTRIES" on the dark blue tabs you are given
several options. The links describe projects and responsibilities in
each of the regulated industries:

OIL: (this
would include gasoline)

Regulating Oil Pipelines

The Commission's responsibilities include: 

? Regulation of rates and practices of oil pipeline companies engaged
in interstate transportation;

? Establishment of equal service conditions to provide shippers with
equal access to pipeline transportation; and

? Establishment of reasonable rates for transporting petroleum and
petroleum products by pipeline.

Safety & Inspections
Once oil projects become operational, safety is regulated, monitored
and enforced by the Department of Transportation.

Click on General Information for even more.

[natural] GAS:
I don't think you mean natural gas so I won't post it here.

I trust this answers your question fully. If not, let me know what's
not clear via the clarification feature.


Search strategy:
FERC oil

Request for Answer Clarification by mawk77-ga on 20 Apr 2006 22:10 PDT
I know FERC's responsibilites and purpose.  My question relates to the
purpose of a FERC tariff and what the tariff does to help regulate the
transmission of oil and gas.  In other words, why does a company need
or obtain a FERC tariff?

Thanks for the help and let me know if you need further clarification.

Clarification of Answer by cynthia-ga on 21 Apr 2006 00:22 PDT
I guess maybe I do need clarification. 

From reading the web site, I thought the purpose of a FERC tariff and
what the tariff does to help regulate the transmission of oil and gas
is to create a level playing field for interstate commerce, to oversee
safety issues, and other concerns. The FERC agency oversees this and
maintains the standards that all must adhere to.

.  In other words, why does a company need or obtain a FERC tariff?

I think the answer is that it's a regulated industry. What is it I'm
not understanding? By "oil and gas company" I assume you meant maybe
ARCO or SHELL or HOME HEATING OIL. In the case of those, the product
is oil or gasoline and is thus subject to tariffs, somewhere along the
line. You haven't really identified what you mean by "Company" so
maybe that's where this misunderstanding is.

Can you clarify?  :-)

Request for Answer Clarification by mawk77-ga on 21 Apr 2006 08:25 PDT
thanks for the help and sorry for the confusion.  by "oil and gas
company", I mean a company that drills a well, produces oil and then
ships it via pipeline to a processer (whether onshore or offshore). 
some of these companies have ferc tariffs in connection with the
transportation of the oil/gas while others do not.  i guess my
question is why would a certain oil and gas company need a ferc tariff
when others do not. putting it another way, what is it that requires
the company to have a ferc tariff?

Does this make sense?

Clarification of Answer by cynthia-ga on 21 Apr 2006 14:30 PDT
Yes, thanks for clearing that up. Hmmm.. Curious that some pay and
some do not. I'll see what I can find and get back to you.

Clarification of Answer by cynthia-ga on 01 May 2006 22:11 PDT
I found this, which doesn't answer the question, but it is enlightening:

[cached page so you can scroll quickly to the interesting area.]
This is a summary of a lawsuit where fees were wrongfully collected.

Oil Regulation

Tariff Information Center
This page contains the chapter-by-chapter listing of the Harmonized
Tariff Schedule and general notes.  The links below correspond to the
various sections in the Table of Contents for the Harmonized Tariff
Schedule.  Clicking on a link will load the corresponding Adobe .pdf


Also interesting:

Cancellation of Temporary Embargo 

Still poking around, but wanted to give these to you..


"No Tariff" "not required" oil
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