Gas pipeline adjusts operations to meet Order 636

Responding to US Federal Energy Regulatory Commission's Order 636, Texas Gas Transmission Corp., Owensboro, Ky., has instituted an allocation procedure for unbundled supply, pipeline transportation, and storage while maintaining system security and providing required services to each customer. FERC Order 636 requires federally regulated natural-gas pipelines to separate, or unbundle,' such traditional sales services as supply, transportation, and storage. Formerly, these services could be offered as a package, an arrangement the commission felt discouraged competition. Because Texas Gas has always relied heavily on bundled operation to provide efficient service to end users, the order has profoundly affected projected design and operational strategies. The greatest challenge has been to maintain or exceed current levels of safety, reliability, and efficiency. The paper describes the Texas Gas system, allocation, developing profiles, supply-area operation, and an example of the method used by Texas Gas.