Dive Brief:
- The gas and power industries have not been able to reach common ground on what time the gas scheduling day should start, meaning the decision will be FERC's as the agency works to better align fuel scheduling, RTO Insider reports.
- FERC proposed changing the start of the gas day to 4 a.m. CCT, from 9 a.m. CCT, but asked the North American Energy Standards Board to try and reach a consensus between the industries before it made a decision.
- But with NAESB unable to find common ground, the decision will wind up back on FERC's plate and final comments on the proposed start time do not show much buy-in from the gas industry.
Dive Insight:
With gas demand rising, regulators are trying to better align fuel nominations with generators' schedules, but the gas industry has pushed back on moving the start of the day to 4 a.m.
Pacific Gas & Electric told the commission that changing the start time would be "unlikely to solve any of the coordination problems identified in the NOPR and would only create serious safety and reliability risks." Instead, PG&E recommended FERC support a review of regional electric market changes, better planning practices, and new gas pipeline construction for areas of the country facing gas-electric challenges.
Spectra Energy Partners LP also weighed in, saying it is capable of moving the start time but hopes the commission will reconsider.
"The critical factor for the commission in considering this proposed change to the start of the gas day is whether all of the other participants in the market – producers, asset managers, electric generators, LDCs, and other gas buyers – will be prepared to perform at the new start time," Spectra said.
A 4 a.m. start means producers must be ready to tender gas for delivery at the appropriate flows starting at that time, Spectra said, and offtakers must be prepared to receive gas at the appropriate flows as well. "In some instances, this could include having personnel available at 4:00 a.m. CCT to handle the physical changes that enable gas flow," the company said.