Stream 3 Actions Progress Report
- Pipeline Abandonment - Financial Issues (Hearing RH-2-2008)

3.1 RH-2-2008 Reasons for Decision

Discussion of principles, high level Framework, Action Plan, Preliminary Base Case by NEB.

Completed Tasks:

Reasons for Decision RH-2-2008 [Filing A21835]

3.2 NEB Technical Conference

Potential refinements to Preliminary Base Case. Participants to include: Group 1 and Group 2 companies that wish to attend, and any other interested person.

Completed Tasks:

NEB Technical Conference scheduled for 17 November 2009 [Folder 566018]

Conference Report sent to participants on 17 November 2009 for reply comments.

3.3 Release of Refined Base Case

NEB to issue the Refined Base Case for Group 1 and Group 2 company use.

As explained in the two releases, Board staff is consulting with parties to develop a draft of unit cost values for discussion at a Fall 2010 meeting. To express interest in participating in the initial discussions, please contact Karine Simard (karine.Simard@neb-one.gc.ca).

Completed Tasks:

Released Refined Base Case [Filing A24600]

Board 29 March 2010 letter [Filing A24839]

3.4 Group 1: File Preliminary Estimates

Option (a) - Group 1 companies each prepare and file an estimated of abandonment costs and the amount required to be set aside using the Base Case assumptions.

or

Option (b) - Group 1 companies each prepare and file, for approval, an estimate of abandonment costs and the amount required to be set aside using pipeline-specific assumptions or a combination of pipeline-specific and Base Case assumptions.

Upcoming Tasks:

To be determined

3.5 Group 1: NEB Decisions on Estimates

NEB consideration of Group 1 companies' preliminary estimates that use pipeline-specific assumptions or a combination of pipeline-specific and Base Case assumptions.

Upcoming Tasks:

To be determined

3.6 Group 1: File Proposed Mechanisms

Group 1 companies each develop and file, for approval, a proposal for collection of funds and a proposed process and mechanism to set aside the funds [can be combined with Action 3.4 and filed by 31 May 2011].

Upcoming Tasks:

To be determined

3.7 Group 2: File Preliminary Estimates

Group 2 companies each prepare and file an estimate of abandonment costs and the amount required to be set aside using either the Base Case or pipeline-specific assumptions.

Upcoming Tasks:

To be determined

3.8 Group 2: File Collection Mechanisms

Group 2 companies that charge tolls each develop and file a proposal for collection of funds [can be combined with Action 3.7 and filed by 30 November 2011].

Upcoming Tasks:

To be determined

3.9 Group 2: File Set Aside Mechanisms

Group 2 companies each file with the Board a proposed process and mechanism to set aside funds [can be combined with Action 3.7 or 3.8, and filed at the earliest applicable date].

Upcoming Tasks:

To be determined

3.10 Group 1: Decisions on Mechanisms

NEB consideration of Group 1 companies proposals for collection and set aside mechanisms.

Upcoming Tasks:

To be determined