FERC APPROVAL SCHEDULED FOR MOJAVE EXPANSION

The Federal Energy Regulatory Commission has voted unanimously to grant preliminary approval for an expansion of Mojave Pipeline Co. in California. In a ruling last Feb. 15, FERC determined that it has exclusive jurisdiction over Mojave's planned northern extension from Bakersfield into northern California. Market targets lie in the Central Valley and East Bay areas.

Nov. 21, 1994

2 min read

The Federal Energy Regulatory Commission has voted unanimously to grant preliminary approval for an expansion of Mojave Pipeline Co. in California.

In a ruling last Feb. 15, FERC determined that it has exclusive jurisdiction over Mojave's planned northern extension from Bakersfield into northern California. Market targets lie in the Central Valley and East Bay areas.

Mojave said although FERC's order has not been issued, televised discussion among commissioners that preceded the approval vote indicated that FERC found the Mojave project will benefit consumers by bringing competition to northern California gas markets.

However, Mojave said, the discussion also indicated that information currently available to FERC is not sufficient to allow it to determine whether the Mojave project will harm Pacific Gas & Electric Company (PG&E), currently the sole gas supplier in the region, or whether PG&E is entitled to any form of compensation.

The order will ask for more information on those issues.

FERC's preliminary authorization is subject to possible changes based on findings of an environmental impact study (EIS) in progress.

Mojave, a wholly owned subsidiary of El Paso Natural Gas Co., built and operates the first federally regulated natural gas pipeline into California. That pipeline system, completed early in 1992, mainly serves enhanced oil recovery operations in Kern County.

WHAT'S PLANNED

Filed with FERC Mar. 17, 1993, Mojave's expansion plan calls for adding 476 MMcfd of capacity to its existing 400 MMcfd system.

New facilities include a 30 in. main line along U.S. Highway 99 to Ripon, Calif. From there, a 16 in. extension is to reach Sacramento, and a 20 in. line will stretch westward toward Martinez, Palo Alto, and San Francisco. More than 100,000 hp of compression is to be added.

Mojave said a draft EIS could be complete by Dec. 7 and the final EIS in April 1995: Construction could begin in summer 1995, with project start-up in mid-1996.

Issue date: 11/21/94