Initial Post-Technical Conference Comments of Supporting Shippers Group in Docket No. IS13-17-000.
03/07/2013UNITED STATES OF AMERICA BEFORE THE FEDERAL ENERGY REGULATORY COMMISSION ) Enbridge Energy, Limited Partnership ) Docket No. IS13-17-000 ) INITIAL POST-TECHNICAL CONFERENCE COMMENTS OF SUPPORTING SHIPPERS GROUP March 8, 2013 TABLE OF CONTENTS I. EXECUTIVE SUMMARY................................................................................................... 1 II. DESCRIPTION OF SUPPORTING SHIPPERS AND THEIR INTEREST IN THIS PROCEEDING...................................................................................................................... 5 A. BP Canada Energy Group ULC and BP Products North America, Inc. ........................... 5 B. Canadian Oil Sands Partnership #1 ................................................................................... 6 C. Cenovus Energy Marketing Services Ltd.......................................................................... 6 D. ConocoPhillips Company.................................................................................................. 7 E. Marathon Petroleum Trading Canada LLC....................................................................... 7 F. Total E&P Canada Ltd. ..................................................................................................... 8 G. Valero Marketing and Supply Company and Ultramar Ltd. ............................................. 8 III. PROCEDURAL HISTORY ................................................................................................. 9 IV. ENBRIDGE HISTORY AND THE POST-MARSHALL FIX ....................................... 12 A. Marshall and Romeoville Incidents................................................................................. 12 B. The Nomination Verification Process Utilized by Enbridge in the Immediate Aftermath of the Marshall Incident .................................................................................................. 12 C. Enbridge Verification Nomination Process Challenged at the NEB............................... 14 D. The Development of Enbridges Current Verification Nomination Procedure .............. 15 E. Apportionment History Pre- and Post-Marshall.............................................................. 16 V. ENBRIDGES PROPOSAL IS APPROPRIATE TO ADDRESS A CHANGING ENVIRONMENT, INCLUDING NEW SUPPLY AND DEMAND ............................... 17 A. New Western Canadian and North Dakota Crude Oil Production.................................. 18 B. Growing U.S. Demand for Canadian Crude.................................................................... 19 C. New Refinery Capacity ................................................................................................... 20 D. Enbridges Market Access Initiatives and New Interconnecting Pipelines .................... 22 E. Mainline Expansions ....................................................................................................... 25 F. Shippers Will Suffer Harm If There Is A Delay In Implementation of the Enbridge Proposal ......