Pipeline Operations Program

 

The Pipeline Operations Program regulates the construction, acquisition, abandonment and interconnection of natural gas pipelines, as well as the transportation and use of natural gas supplies.

 

Louisiana: Pipeline to the Nation

 

The State of Louisiana has been regulating the operations of intrastate natural gas transporters since 1974. At that time, there were only 15 intrastate transporter companies, whereas we have had as many as 100, and today there are almost 75.

Louisiana's integrated system of pipelines is an important factor in its economy. The State has close to 50,000 miles of pipelines. This integrated system of pipelines criss-cross very major highways, railroads, and navigable waterways in Louisiana. The greatest pipeline mileage is in the 19 parishes located on or near the Gulf of America, which is nearest to the major oil and gas production areas.

The Louisiana natural gas market and pipeline matrix have experienced tremendous growth in the last 40 years. Our major universities and other commercial users now purchase natural gas on the open market. Many of our cities and towns belong to the Louisiana Municipal Gas Purchasing Authority, which buys gas for its members on a monthly basis.

The Louisiana intrastate natural gas pipeline system has provided natural gas reserves to most all parts of the nation through interconnections with interstate pipelines. With the introduction of the "Henry Hub", our pipelines can provide natural gas to almost anyone in the United States.

About The Program

Under the Natural Resources and Energy Act of 1973, Act 16 of the 1973 Extraordinary Session of the Louisiana Legislature gave responsibility to the Commissioner of Conservation for regulating Louisiana's intrastate natural gas pipeline network. Title 30 outlines the specific statutes for Louisiana's regulatory process; whereas, the Federal Natural Gas Act governs the practices of the interstate natural gas companies.

The Natural Gas Policy Act (NGPA) was one of five pieces of legislation that the U.S. Congress passed in 1978 that comprised the National Energy Act. The NGPA, among other things, brought the unregulated intrastate natural gas market under Federal control by setting price ceilings on most intrastate and interstate gas until 1985 and permitted them to transport natural gas on each other's behalf.

Pursuant to the NGPA, the Commissioner of Conservation exercised power and authority by issuing a "Policy Statement" to Louisiana's regulated intrastate companies regarding NGPA Section 311 transportation and sales. The statement waives the need for a public hearing when all jurisdictional interconnections involved are existing and previously heard under Section 311 transportation arrangements and allows the applicant to file his request under a ten-day "Notice and Protest" procedure. If no protest is received from interested parties within the allowed time frame, then the transportation agreement is approved. This allowed the intrastate companies to enter into agreements and move the gas in a more expeditious manner.

In 1986, the Pipeline Operations section promulgated rules and regulations for the construction, acquisition, operation and maintenance of intrastate carbon dioxide pipelines where carbon dioxide is transported by pipeline in a gaseous state. These regulations carried similar type requirements as those for natural gas pipelines, but included safety language consistent with the safety regulations.

With the increased interest in "Compressed Natural Gas" (CNG), rules and regulations were promulgated in 1992 to address requirements for CNG vehicle fueling stations. These regulations applied to the design and installation of CNG vehicle fuel systems and CNG systems used for compression, storage, sale, transportation, delivery, or distribution of CNG for use in automobiles.

To access Pipeline Operations regulations, review Subpart 1 for Natural Gas and Coal; Subpart 4 for Carbon Dioxide; and Subpart 5 for Compressed Natural Gas.

LAC 43: XI, Natural Resources, Pipelines Division

  • Pipeline Operations regulations: Review Subpart 1 for Natural Gas and Coal; Subpart 4 for Carbon Dioxide; and Subpart 5 for Compressed Natural Gas
C&E Secretary Dustin Davidson
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