Request for Rehearing of FERC's Order Issued 10/20/2005 of the Petro Star Inc. under OR89-2, et al.
11/20/2005UNITED STATES OF AMERICA BEFORE THE FEDERAL ENERGY REGULATORY COMMISSION Trans Alaska Pipeline System, et al. ) Docket Nos. OR89-2-017, et al. (Consolidated) STATE OF ALASKA BEFORE THE REGULATORY COMMISSION OF ALASKA Trans Alaska Pipeline System ) Docket Nos. P-89-2, et al. Quality Bank Proceedings ) (Consolidated) __________________________________________________________________ REQUEST FOR REHEARING OF PETRO STAR INC. __________________________________________________________________ Patricia F. Godley Richard Curtin Van Ness Feldman, P.C. Petro Star Inc. 1050 Thomas Jefferson Street, N.W. 3900 C Street Suite 700 Suite 401 Washington, D.C. 20007 Anchorage, AK 99503-5966 (202) 298-1800 (907) 339-6621 November 21, 2005 TABLE OF CONTENTS INTRODUCTION .........................................................................................................................2 SPECIFICATION OF ERRORS .................................................................................................3 STATEMENT OF ISSUES ...........................................................................................................4 ARGUMENT..................................................................................................................................5 I. The Commission Erred By Failing To Implement The West Coast-Based Valuations For West Coast VGO And West Coast Naphtha Retroactively As Of October 3, 2002 .....................................................................................................................5 A. Substantial Record Evidence Demonstrates That The West Coast- Based Valuations for VGO and Naphtha Adopted In The Order Were Appropriate As Of The Parties October 3, 2002 Joint Stipulation........................................................................................6 B. West Coast-Based Valuations Must Be Applied To Value West Coast VGO And Naphtha Retroactively to October 3, 2002 In Order To Be Consistent With The Other West Coast Cuts .........................................................................................................8 C. The Filed Rate Doctrine Does Not Bar Retroactive Implementation of We st Coast- Based Valuations for VGO and Naphtha .........................................................................10 II. The Commission Erred By Failing To Require West Coast-Based Valuations For VGO And Naphtha To Be Used Within The Coker Feedstock Methodology In Order To Accurately Value Resid Retroactively .............................................................14 A. The Commission Erred By Failing To Require West Coast VGO And Naphtha Valuations To Be Applied Within The Coker Feedstock Methodology For Determination Of The Valuation Of The Resid Cut .......................................................14 B. The West Coast-Based Valuations For Coker VGO and Coker Naphtha Can Be Used For Retroactive Valuation of West Coast Resid Even If West Coast Valuations Are Only Applied Prospectively To Stra