[Federal Register: June 24, 2004 (Volume 69, Number 121)]
[Notices]               
[Page 35343-35344]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr24jn04-57]                         

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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[Docket Nos. PL03-3-005; AD03-7-005; ER03-1271-000; CP01-418-000; CP03-
7-001; CP03-301-000; RP03-245-000; RP99-176-089; RP99-176-094; RP02-
363-002; RP03-398-000; RP03-533-000; RP03-70-002; P03-70-003; CP01-421-
000; CP01-421-001; RP03-540-000; and ER04-439-001 (Not consolidated)]

 
Price Discovery in Natural Gas and Electric Markets; Natural Gas 
Price Formation; Aquila, Inc.; B-R Pipeline Company; Colorado 
Interstate Gas Company; Colorado Interstate Gas Company, et al.; Kinder 
Morgan Interstate Gas Transmission LLC; Natural Gas Pipeline Company of 
America; North Baja Pipeline LLC; Northern Natural Gas Company; PG&E 
Gas Transmission, Northwest Corporation; Portland General Electric 
Company; Transcontinental Gas Pipe Line Corporation; and PacifiCorp; 
Notice of Agenda for the June 25, 2004 Conference on Market Liquidity, 
Energy Price Discovery, and Natural Gas and Electricity Price Indices

June 17, 2004.
    As announced in the Notice of Conference issued May 14, 2004, the 
Federal Energy Regulatory Commission (Commission) will hold a Staff 
technical conference on Friday, June 25, 2004, from 9 a.m. to 5 p.m. 
e.s.t. (please note time change from the May 14 Notice), at the 
Commission's headquarters, 888 First Street, NE., Washington, DC, in 
the Commission's meeting room (Room 2C). The conference will be 
conducted by the Commission's Staff, and members of the Commission may 
be present for all or part of the conference. The Commodity Futures 
Trading Commission (CFTC) will participate. All interested parties are 
invited to attend. The Commission's summer dress code is business 
casual. There is no requirement to register and no cost for attending 
the conference.
    The purpose of the conference is to discuss the adequacy of natural 
gas and electricity price formation, the level of reporting of energy 
transactions to price index developers, actions taken by price index 
developers to improve the information available to the market, the 
overall level of liquidity in wholesale natural gas and electricity 
markets, and the use of price indices in jurisdictional tariffs. More 
detail on the issues to be considered is contained in the May 14 
Notice. Staff is interested in discussion of these issues, including 
specific recommendations made by Staff in the Report on Natural Gas and 
Electricity Price Indices, issued May 5, 2004, in Docket Nos. PL03-3-
004 and AD03-7-004. We plan to hear from a variety of speakers 
representing all segments of the natural gas and electricity 
industries.
    The conference agenda is appended to this Notice. The agenda 
includes four panels, each with a different emphasis on the issues to 
be considered. Panelists are encouraged to file prepared written 
statements addressing the issues on or before June 25. Such statements 
should be filed with the Secretary of the Commission. Speakers will be 
encouraged to use their allotted time to summarize their positions and 
views on the issues noted for their panel. Time will be reserved for 
questions by Staff and, at the end of the conference, for members of 
the audience.
    As mentioned in the May 14 Notice, the conference will be 
transcribed. Those interested in acquiring the transcript should 
contact Ace Reporters at 202-347-3700 or 800-336-6646. Transcripts will 
be placed in the public record seven days after the Commission receives 
them. Also, Capitol Connection will broadcast this conference. Capitol 
Connection offers the opportunity for remote listening and viewing of 
the conference. It is available for a fee, live over the Internet, by 
phone or via satellite. Persons interested in receiving the broadcast, 
or who need information on making arrangements, should contact David 
Reininger or Julia Morelli at Capitol Connection (703-993-3100) as soon 
as possible or visit the Capitol Connection Web site at http://www.capitolconnection.org
 and click on ``FERC.''

    For additional information, please contact Ted Gerarden of the 
Office of Market Oversight & Investigations at 202-502-6187 or by e-
mail at Ted.Gerarden@ferc.gov.

Linda Mitry,
Acting Secretary.
    Attachment: Conference Agenda.

Conference Agenda

June 25, 2004

Welcome And Opening Remarks--9-9:30 a.m.
William Hederman, Director Office of Market Oversight & 
Investigations
Stephen Harvey, Deputy Director, Market Oversight and Assessment
Michael Gorham, Director, Division of Market Oversight, Commodity 
Futures Trading Commission
Panel 1--Reaction to staff report and recommendations for indices 
used in pipeline or utility tariffs--9:30-10:30 a.m. Panelists:
     Timothy Oaks, Manager Federal Regulatory Affairs & 
Contract Administration, UGI Utilities Inc. (American Gas 
Association)
     Eugene V. Rozgony, Vice President and Chief Risk 
Officer, AGL Resources
     Donald Santa, President, Interstate Natural Gas 
Association of America
     Dena Wiggins, Sutherland Asbill & Brennan (Process Gas 
Consumers)
     James Allison, Regional Risk Manager, ConocoPhilips
    Issues:

--Should the Commission adopt Staff's recommendation that any index 
used in a tariff provide volume and number of transactions for each 
reported price? Should other data be required?
--Are Staff's recommended volumes (25,000 MMBtu/day or 4000 MWh/day) 
or transactions (five for daily, eight for weekly, ten for monthly 
indices) sufficient to indicate adequate liquidity?
--Should the Commission require all pipelines and utilities to amend 
their tariffs by a date certain if indices currently used in tariffs 
do not meet adopted criteria?
--What conclusions can be drawn from the responses to the 
Commission's surveys on price reporting?
Break--10:30-10:40 a.m.
Panel 2--Price reporting, confidence in indices, and options for 
future Commission action--10:40 a.m.-12:15 p.m.
    Panelists:
     Scott Nauman, Manager, Americas Gas Marketing, 
ExxonMobil Gas & Power Marketing Company (Natural Gas Supply 
Association)
     Representative from the Electric Power Supply 
Association (invited)
     Timothy Oaks, Manager Federal Regulatory Affairs & 
Contract Administration, UGI Utilities Inc. (American Gas 
Association)
     Gerald Ballinger, Chief Executive Officer of the Public 
Energy Authority of Kentucky (American Public Gas Association)
     Jeff Walker, Senior Vice President and Chief Risk 
Officer, ACES Power Marketing (National Rural Electric Cooperative 
Association)

[[Page 35344]]

     Al Musur, Director, Energy and Utility Programs, Abbott 
Laboratories and Chairman of the Industrial Energy Consumers of 
America
     Alexander Strawn, Proctor & Gamble Company and Chairman 
of the Process Gas Consumers
    Issues:

--What incentives will encourage companies to begin or increase 
price reporting?
--Are process improvements by reporting companies (public code of 
conduct, independent source, audit of processes) adequate or are 
there further improvements that can increase the accuracy of price 
indices?
--Has industry confidence in prices reported in indices increased to 
a satisfactory level?
--What steps can be taken to improve transparency of price indices?
--What further information should price indices provide to market 
participants?
--Has sufficient progress been made under the Policy Statement?
--Should the Commission adopt further requirements for price 
reporters and/or index developers? If so, what requirements are 
appropriate?
--Should some form of mandatory reporting be required? If so, what 
is the desirable scope of such reporting (Who should be required to 
report? Should reporting be to existing index developers, to an 
intermediary or depository, or to the Commission? What data should 
be required to be reported)?
--Would mandatory reporting materially improve the quality of price 
data available to market participants?
Lunch break--12:15-1:15 p.m.
Panel 3--Index developers' response to industry views and Staff 
report--1:15-2:45 p.m.
    Panelists:
     C. Miles Weigel, Senior Vice President, Argus Media, 
Inc.
     Brad Johnson, Global Energy Business Manager, Bloomberg
     Tom Waterman, Publisher, Btu/DTN
     Ernest Onukogo, Manager Newswire Indexes, DowJones
     Richard Sansom, Markets Editor, Io Energy LLC
     Bobette Riner, President, Powerdex
     Tom Haywood, Editor, Energy Intelligence Group
     Dexter Steis, Executive Publisher, Intelligence Press
     Chuck Vice, Chief Operating Officer, Intercontinental 
Exchange
     Larry Foster, Editorial Director, U.S. Natural Gas, 
Platts
    Issues:

--What improvements in data collection and price reporting have 
index developers seen since issuance of the Policy Statement?
--How have index developers responded to the call for greater 
transparency of indices?
--What plans do price index developers have to provide more 
information and more transparency to energy market participants?
--Do price index developers meet the standards of the Policy 
Statement? Did the Staff report accurately depict the extent to 
which index developers have adopted Policy Statement standards?
--Do price index developers support the criteria proposed by Staff 
for use of indices in jurisdictional tariffs?
--How can price index developers facilitate tariff compliance by 
pipelines and utilities?
--Will price index developers provide FERC with access to data in 
the event of an investigation of suspected false reporting or price 
manipulation?
Break--2:45-2:55 p.m.
    Panel 4--Market liquidity 2:55-4:15 p.m. Panelists:
     Martin Marz, Compliance Manager, North American Gas and 
Power, BP America, Inc.
     Christopher Edmonds, Senior Vice President, ICAP Energy 
LLC (Energy Brokers Association)
     Representative of financial institution active in 
energy markets (invited)
     Mark Niehaus, Partner Energy Assurance, 
PriceWaterhouseCoopers
     Tom Jepperson, Division Counsel, Questar Market 
Resources, Inc.
     Vince Kaminski , Managing Director, Sempra Energy 
Trading
    Issues:

--Is there adequate trading activity at enough locations to develop 
reliable price signals for market participants?
--What are the characteristics that make for a good trading hub?
--What steps can the Commission take to encourage the development of 
active trading hubs?
--What role can electronic trading, confirmation/settlement, and 
clearing play in improving market liquidity?
--Can improvements in price indices restore confidence in price 
formation given the present levels of trading?
Audience questions and comments--4:15-4:45 p.m.
Concluding remarks--4:45-5 p.m.

 [FR Doc. E4-1399 Filed 6-23-04; 8:45 am]

BILLING CODE 6717-01-P