Washington Gas Light Company Submits Motion to Intervene and Protest East Tennessee Natural Gas's Revised Tariff Records

Washington Gas Light Company has filed a motion to intervene and protest East Tennessee Natural Gas, LLC's revised tariff records with the Federal Energy Regulatory Commission. The Company argues that it will be directly affected by the proposed rate increase and changes to rates, and therefore, should be granted intervenor status. Washington Gas also protests the filing, citing concerns that the proposed rate increase is unjust and unreasonable, and requests that the Commission suspend the rates for the maximum period permitted by law.

Key Takeaways:

• Washington Gas Light Company is seeking to intervene in the proceeding to address its interests as a firm transportation customer on the East Tennessee system.
• The Company protests East Tennessee's revised tariff records due to concerns that the proposed rate increase is unjust and unreasonable.
• Washington Gas argues that the rate increase is not supported by sufficient evidence and that an evidentiary process, including an evidentiary hearing, is required to determine whether East Tennessee's claimed costs are justified.
• The Company requests that the Commission suspend the proposed rate increase for the maximum period permitted by law and conduct a full investigation of the filing.
• East Tennessee's revised tariff records propose a significant increase in annual jurisdictional revenues, an increase in the cost of service of over $100 million, and changes to depreciation rates, negative salvage percentages, and capital structure.
• The filing also proposes monthly recourse rates that increase by more than 100% and eliminates the interruptible revenue crediting mechanism, the System Alignment Program costs, and the ADIT accumulated in December 2018.

Statistics:

• The proposed rate increase is over $100 million above the cost of service last found fair and reasonable by the Commission.
• The total rate base proposed by East Tennessee is $1,194,631,494, with more than one-third of the rate base including capital expenditures made since the RP20-980 Settlement.
• The Rate Filing includes an increase in monthly recourse rates by more than 100%.

Sources:

• East Tennessee Natural Gas, LLC, Commission Letter Order dated September 10, 2021
• United States Code Title 15, Section 717 of the Natural Gas Act
• Federal Energy Regulatory Commission, Rules of Practice and Procedure, 18 C.F.R. SSSS154.210, 211 and 214
• Washington Gas Light Company Motion to Intervene and Protest, 6/15/2025