The Federal Energy Regulatory Commission (FERC) today announced it will initiate an alternative dispute resolution (ADR) process with pipeline companies, shippers and their representatives to explore actions FERC and industry can take to alleviate propane pipeline constraints in the Midwest.
This action is the result of conversations with and letters from Iowa Gov. Kim Reynolds and several members of the House of Representatives and the U.S. Senate expressing their concerns regarding reports of propane distribution and supply difficulties in the Midwest.
Additionally, FERC today issued an order accepting a proposal by Enterprise TE Products Pipeline Company LLC in Docket No. IS20-66-000, providing emergency transportation service of propane to the Midwest region for a 30-day period.
“The Commission takes this issue seriously,” FERC Chairman Neil Chatterjee said. “We have been actively engaging with stakeholders, and with Capitol Hill and the states, and receiving regular updates from pipeline companies. By bringing the pipelines and shippers to the table, we are building on these efforts and establishing a dialogue focused on exploring concrete solutions.”
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