Docket No. RM26-6-000
FERC today voted unanimously to seek comment on a proposed index level used to determine annual changes to oil pipeline rate ceilings for the five-year period commencing July 1, 2026.
The Commission proposes to use the Producer Price Index for Finished Goods (PPI-FG) minus 1.42% as the index level for the five-year period commencing July 1, 2026. Under indexing, oil pipelines may raise transportation rates up to their applicable rate ceilings.
“I am incredibly proud of my fellow Commissioners for working collaboratively to issue today’s order. It is critical for the industry that FERC provide certainty on our review process,” Chairman Laura Swett said.
The Commission reviews the index level every five years to ensure that it adequately reflects changes to industry costs and to ensure that oil pipeline indexed rates remain just and reasonable.
Interested parties have 30 days after the NOPR is published in the Federal Register to comment on the proposal. Reply comments are due 51 days after publication in the Federal Register.