20230815Final_Order_No_35890.pdf

ORDER NO. 35890 1
Office of the Secretary
Service Date
August 15, 2023
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION

IN THE MATTER OF
INTERMOUNTAIN GAS COMPANY’S
TARRIF ADVICE NO. 23-02
)
)
)
)
)
CASE NO. INT-G-23-01

ORDER NO. 35890

On May 5, 2023, Intermountain Gas Company (“Company”) filed Tariff Advice No. 23-
02 (“Tariff Advice”), proposing a revision to General Service Provisions, Section C, Sheet 3 of
the Company’s gas tariff. The proposed revision would eliminate abandonment of company-
owned gas facilities as an event triggering a charge to the customer abandoning the facilities.
On May 30, 2023, the Commission issued a Notice of Application and Notice of Modified
Procedure, converting the Tariff Advice into Case No. INT-G-23-01 and setting a June 15, 2023,
public comment deadline and a June 29, 2023, Company reply deadline. Order No. 35793.
In this Order, the Commission grants the Company authority to amend its gas tariff as
described below.
THE APPLICATION
As currently approved, Section 3.2 of Section C of the Company’s General Service
Provisions for the Installation and Extension of Natural Gas Mains and Service for Residential and
Commercial Customers indicates that “Relocation or Abandonment of Gas Facilities will be at the
expense of the applicant when required by the applicant.” The Company proposed removing the
words “or Abandonment” from Section 3.2, thereby eliminating the required charge for
abandonment, because safe and prompt removal or safe-guarding abandoned facilities is done to
protect the public and not for the convenience of the abandoning customer.
STAFF RECOMMENDATION
Staff reviewed the Company’s proposed revision of Section 3.2 and agreed recovering
costs for abandonment through base rates was proper because of (1) the difficultly identifying who
is responsible for the decision to abandon; (2) the lack of incentive to an applicant to pay for an
unwanted line; (3) the cost of pursuing collections; and (4) the reduction of safety hazards and
liability exposure by removing an unused line. However, Staff believed that additional revisions
to the Company’s tariff clarifying the distinction between “relocation” and “abandonment” were
necessary. Specifically, Staff recommended creating a new subsection to Section C to specifically
ORDER NO. 35890 2
address abandonment as it differs fundamentally from handling service lines for continued use.
Staff also recommended adding definitions for both “relocation” and “abandonment” to Section 8
(“Definition of Terms”) of Section C to clarify the distinction between the two forms of line
removal. Accordingly, Staff recommended the Commission approve the Company’s request to
eliminate abandonment as an event triggering a charge to the customer abandoning gas facilities
owned by the Company with the additional recommendations outlined above.
Additionally, Staff recommended the Company submit a compliance filing modifying the
tariff language within 30 days of a Commission order.
COMPANY REPLY COMMENTS
The Company agreed that Staff’s proposed revisions would aid future interpretation and
implementation of the tariff. Accordingly, the Company proposed the following revisions to
Section C:
1) Striking the word “abandonment” from Section 3.2;
2) Adding a new “Section 8 – Abandonments”; and
3) Renumbering the current “Section 8 – Definition of Terms” to Section 9 and adding
to it definitions for “Abandonment” and “Relocation.”
The Company submitted with its reply comments a revised version of General Service Provisions,
Section C containing the proposed revisions in redline format with its reply. The Company further
agreed to file the document labeled Attachment A accompanying its Reply Comments as a
compliance filing within 30 days of a final Commission order.
COMMISSION DECISION
The Company is a gas corporation under Idaho Code § 61-117, and a public utility under
Idaho Code § 61-129. The Commission has jurisdiction over the issues in this case under Title 61
of the Idaho Code, including Idaho Code §§ 61-301, 501, 502, and 503.
The Commission has reviewed the filings of record and submitted comments in this case
and approves the Company’s request to modify General Service Provisions, Section C, Sheet 3 of
the Company’s gas tariff subject to the Company’s timely compliance filing incorporating Staff’s
recommendations. The Commission agrees that Staff’s recommendations will aid future
implementation of the tariff.
The Commission finds that eliminating abandonment as an event triggering a charge to the
customer abandoning company-owned gas facilities is reasonable. Prompt removal and
ORDER NO. 35890 3
safeguarding of unwanted gas facilities will serve the public interests by reducing safety hazards.
Similarly, customers can benefit from the reduced liability exposure the Company obtains by
addressing abandoned gas facilities because customers abandoning Company-owned gas facilities
have limited incentive to pay additional cost related to those facilities after abandonment.
Additionally, the Commission finds that Staff’s recommendation to supplement the
Company’s gas tariff with additional language clarifying the difference between “relocation” and
“abandonment” is reasonable. Once abandonment is removed from Section 3.2, only relocation
will continue as an event triggering a charge imposed upon a specific customer. Clarifying what
constitutes abandonment or relocation will aid in further implementation of charges for relocation.
Therefore, we find it reasonable to approve the Company’s request to revise its tariff in a manner
consistent with Staff recommendations.
O R D E R
IT IS HEREBY ORDERED that the Company’s request to revise its tariff to eliminate
abandonment as an event triggering a charge to the customer abandoning Company-owned gas
facilities and to add the additional language clarifying the distinction between abandonment and
relocation is granted.
IT IS FURTHER ORDERED that the Company shall submit a revised tariff incorporating
Staff’s recommendation within 30 days of this Order.
THIS IS A FINAL ORDER. Any person interested in this Order may petition for
reconsideration within twenty-one (21) days of the service date of this Order regarding any matter
decided in this Order. Within seven (7) days after any person has petitioned for reconsideration,
any other person may cross-petition for reconsideration. See Idaho Code §§ 61-626 and 62-619.

ORDER NO. 35890 4
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this 15th day of
August 2023.

__________________________________________
ERIC ANDERSON, PRESIDENT

__________________________________________
JOHN R. HAMMOND JR., COMMISSIONER

__________________________________________
EDWARD LODGE, COMMISSIONER

ATTEST:

_________________________________
Jan Noriyuki
Commission Secretary

I:\Legal\GAS\INT-G-23-01_TA 23-02\orders\INTG2301_final_at.docx