Title 15 . Revenue

Chapter 21 . (Repealed)

Section 450. Operating expenses (gas pipelines)

15 AAC 21.450. Operating expenses (gas pipelines)

(a) For a gas pipeline not subject to (c) of this section that is or is part of a Class A or B natural gas company, its operating expenses during a year include that year's amounts for the pipeline that are properly included in those accounts under FERC's Uniform System of Accounts for Class A and B natural gas companies which, when deducted from operating revenues under 15 AAC 21.410, yield net carrier operating income.

(b) For a gas pipeline not subject to (c) of this section that is or is part of a Class C or D natural gas company, its operating expenses during a year include that year's amounts properly allocated to the pipeline and included in the following accounts under FERC's Uniform System of Accounts for Class C and D natural gas companies:

750 Operation supervision and labor

751 Compressor station fuel and power

752 Operation supplies and equipment

753 Transmission and compression of gas by others

754 Rents

755 Maintenance of mains

756 Maintenance of compressor station equipment

757 Maintenance of other plant

(c) For a gas pipeline that is regulated on a consolidated basis with a retail sales and distribution system in this state, a year's operating expenses for the pipeline equal the total of the amounts, reported to the regulatory agency having jurisdiction, which are properly allocated to that pipeline and included in accounts 401 (Operation Expense), 402 (Maintenance Expense), 403 (Depreciation Expense), 404.2 (Amortization of Underground Storage Land and Land Rights), 404.3 (Amortization of Other Limited Term Gas Plant), 405 (Amortization of Other Gas Plant), 406 (Amortization of Gas Plant Acquisition Adjustments), 407.2 (Amortization of Conversion Expenses), 408.1 (Taxes other than Income Taxes, Utility Operating Income) and 427 (Interest on Longterm Debt) for that year (the accounts referred to are the same as those of the same number in FERC's Uniform System of Accounts for Class A and B natural gas companies).

(d) For a gas pipeline subject to (a) or (b) of this section, its operating expenses for a year include, in addition to (but only to the extent not already reflected in) the amounts included in specified FERC accounts applicable to that pipeline

(1) accruals to third parties during that year for uncapitalized interest on capital borrowed to construct or enlarge the facilities of the pipeline; and

(2) accruals during that year for taxes of all kinds, excepting federal income taxes and the taxes administered under this chapter, relating to the carrier property, operations, privileges and licenses of that pipeline.

History: Eff. 2/22/79, Register 69; am 5/21/81, Register 78

Authority: AS 43.05.080

AS 43.19.010 ,

Art. IV, § 18

AS 43.21.030

AS 43.21.090