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United States. Federal Energy Regulatory Commission

Texas Eastern Transmission, LP Submits Penalty Disbursement Report to FERC

Strategic Insights

— 1 min read

Texas Eastern Transmission, LP, a Texas-based natural gas transmission company, has submitted a penalty disbursement report to the Federal Energy Regulatory Commission (FERC) as required by Section 4.3(A)(7) of the General Terms and Conditions of its FERC Gas Tariff. The report details the collection of Action Alert or operational flow order (OFO) penalty revenue from various production months and proposes the distribution of these penalties to non-offending customers.

Key Takeaways:

  • Texas Eastern Transmission, LP collected a total of $1,044,885.38 in Action Alert or OFO penalty revenue from production months between November 2024 and March 2025.
  • The penalty revenue was collected from multiple production zones, including TETLP / ELA, TETLP / M2, TETLP / ETX, and TETLP / WLA.
  • The company proposes to distribute the penalty revenue to non-offending customers based on their ratio of Reservation and Usage Charges paid during the applicable month.
  • The proposed credits for each non-offending customer will be calculated based on the ratio of the total Reservation and Usage Charges paid by the non-offending customer to the Reservation and Usage Charges paid by all non-offending customers.
  • Texas Eastern Transmission, LP respectfully requests that FERC accept the filing and approve the attached penalty disbursement report.
  • The company is serving copies of the instant filing to customers and interested state commissions.

Statistics:

  • Total Action Alert or OFO penalty revenue collected: $1,044,885.38
  • Number of production months: 9 (between November 2024 and March 2025)
  • Production zones: TETLP / ELA, TETLP / M2, TETLP / ETX, and TETLP / WLA
  • Proposed credit calculation parameter: ratio of Reservation and Usage Charges paid by each non-offending customer to the total Reservation and Usage Charges paid by all non-offending customers.

Sources:

  • Texas Eastern Transmission, LP. (2025, June 20). Penalty Disbursement Report.
  • Federal Energy Regulatory Commission. (2025). Code of Federal Regulations, Title 18, Chapter I, Subchapter Q.

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