§ 66-E — Monitoring of natural gas procurement

§ 66-e. Monitoring of natural gas procurement. 1. The commission shall\ncontinue to monitor natural gas procurement contracts and practices of\ngas corporations and determine whether any of such practices or\nprovisions of any such contracts are anti-competitive in force or effect\nor otherwise contrary to the public interest. Such monitoring shall\ninclude an examination of the prevailing market prices in the state for\ngas supplies including domestic producer prices for natural gas.\n 2. In any application for a rate increase, a gas corporation shall\nshow all sources of its gas supply and anticipated changes thereof and\ndemonstrate that other dependable and adequate lower priced supplies are\nnot available. Where any of such sources is an affiliated company, the\napplicant shall have the burden to prove all related natural gas\npurchase or transportation prices and conditions are fair and\nreasonable.\n 3. The commission shall, upon complaint or upon its own motion,\ninvestigate the circumstances under which existing gas procurement\ncontracts were made. Where the commission concludes that a gas\ncorporation was imprudent in the making or administration of such\ncontract, the commission shall exercise its authority to limit the rates\ncharged by such gas corporation to amounts no higher than those which\nwould have been justified had such corporation acted in a prudent\nmanner.\n