Loading...
HomeMy WebLinkAbout20240129Order_No_36075.pdf ORDER NO. 36075 1 Office of the Secretary Service Date January 29, 2024 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF QUESTAR GAS COMPANY AND ENBRIDGE QUAIL HOLDINGS’ JOINT APPLICATION FOR APPROVAL OF THE PROPOSED SALE OF FALL WEST HOLDCO, LLC TO ENBRIDGE QUAIL HOLDINGS, LLC ) ) ) ) ) ) ) CASE NO. QST-G-23-01 ORDER NO. 36075 Questar Gas Company dba Dominion Energy Utah, (“Questar”) is a public utility distributing natural gas in Utah, Idaho, and Wyoming. Questar’s Idaho customers reside exclusively within Franklin County, Idaho. Since 1990, the Utah Public Service Commission (“UPSC”) has regulated rates and service terms of the Idaho customers currently served by Questar. However, the Idaho Public Utilities Commission (“IPUC”) regulates pipeline safety for Questar’s Idaho customers. On October 20, 2023, Questar and Enbridge Quail Holdings, LLC (“EQ Holdings”) filed a copy of a Joint Notice and Application (“Joint Application”) currently pending before the UPSC that seeks approval of EQ Holdings’ acquisition of Questar’s parent company, Fall West Holdco LLC (the “Transaction”). The Joint Application outlines the multi-step corporate reorganization process by which Questar will become a wholly-owned subsidiary of EQ Holdings if the acquisition is approved. In response to the filing of the Joint Application, the IPUC opened this case to review the Transaction as it relates to Questar’s Idaho customers. Commission Staff (“Staff”) is currently evaluating the most appropriate method for processing this case. On December 7, 2023, Staff remotely attended a technical conference in UPSC Docket No. 23-057-16, the proceeding reviewing the Transaction (the “UPSC Proceeding”). COMMISSION FINDINGS AND DECISION The IPUC has jurisdiction over the issues in this case under Title 61 of the Idaho Code. Specifically, the IPUC regulates “public utilities,” including “gas corporations” that serve the public or some portion thereof for compensation. See Idaho Code §§ 61-125, -129, and -501. Questar is a gas company regulated by the UPSC with principal offices in Salt Lake City, Utah. Questar provides gas service to customers in Franklin County, Idaho, under Certificate of Public Convenience and Necessity No 315. Pursuant to a contract for regulatory services ORDER NO. 36075 2 authorized under Idaho Code § 61-505(2) (“Contract”), the UPSC regulates the rates and service terms for Questar’s customers in Idaho. The Contract requires that the rates, charges, and service regulations that the UPSC commission adopts for Questar’s Utah customers apply to similarly situated Idaho customers of Questar. These rates and services provided to Idaho customers of Questar cannot be less favorable to those provided to Utah customers, and these Idaho customers may also participate in UPSC hearings concerning Questar. The IPUC is aware of proceedings before the UPSC seeking approval of Questar’s acquisition by Enbridge. This case was opened to review the Transaction as it relates to Questar’s Idaho customers. We find that intervening in the UPSC proceeding relating to the Questar/Enbridge acquisition is likely to avert duplicative discovery requests and potentially expedite resolution of this case. Accordingly, we find it reasonable to direct the IPUC’s counsel to file a petition to intervene on behalf of Staff in UPSC Docket No. 23-057-16. If the petition is granted, Staff shall participate in the case, monitor its progress, and keep the IPUC advised in this case of developments affecting Questar’s Idaho customers, the Contract, or other matters subject to the IPUC’s regulatory authority. ORDER IT IS HEREBY ORDERED that the Commission’s counsel is directed to file a petition to intervene on behalf of the Staff of the Idaho Public Utilities Commission in Utah Public Service Commission Docket No. 23-057-16. IT IS FURTHER ORDERED that, if the petition to intervene is granted, Staff shall participate in Utah Public Service Commission Docket No. 23-057-16, monitor its progress, and keep the IPUC advised as described above. ORDER NO. 36075 3 DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this 29th day of January 2024. __________________________________________ ERIC ANDERSON, PRESIDENT __________________________________________ JOHN R. HAMMOND JR., COMMISSIONER _________________________________________ EDWARD LODGE, COMMISSIONER ATTEST: ________________________________ Monica Barrios-Sanchez Commission Secretary I:\Legal\GAS\QST-G-23-01\orders\QSTG2301_Int_at.docx