# Tennessee Regulatory Authority — Pipeline Safety Interpretation

- **operation:** document
- **citation:** PI-01-002
- **title:** Tennessee Regulatory Authority — Pipeline Safety Interpretation
- **source type:** guidance
- **agency:** Pipeline and Hazardous Materials Safety Administration
- **status:** guidance
- **official:** true
- **published on:** 2001-08-17
- **effective on:** Not available
- **summary:** PI-01-002 response to Tennessee Regulatory Authority concerning 192.3.
- **machine formats:** - **json:** https://regulus.evalyn.ai/document/phmsa-interpretation-pi-01-002.json
- **markdown:** https://regulus.evalyn.ai/document/phmsa-interpretation-pi-01-002.md
- **app url:** https://regulus.evalyn.ai/document/phmsa-interpretation-pi-01-002
- **source url:** https://www.phmsa.dot.gov/sites/phmsa.dot.gov/files/legacy/interpretations/Interpretation%20Files/Pipeline/2001/01-08-17_%20Blanton_192%203_Transmission.pdf
**body:**

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U.S.Department of Transportation
400 Seventh Street, S,W, Washington, D.C. 20590
Research and Special Programs Administration
Mr. Glynn Blanton
Chief, Gas Pipeline Safety Division
Tennessee Regulatory Authority
460 James Robertson Parkway
Nashville, TN 37243
Dear Mr. Blanton:
This refers to your enclosed letter of January 22, 2001, in which you ask whether the
Stone Mountain Pipeline Company (Stone Mountain) project, as described below, is
jurisdictional to our agency.
According to the information provided, Stone Mountain currently has 63 miles of
pipelines extending from Kentucky to Virginia which the Federal Energy Regulatory
Commission (FERC) regards as a gathering system and does not regulate. However,
Stone Mountain has started a project which will add a ten-inch pipeline from the south
end of the ten-inch Martins Fork to Rose Hill pipeline to a proposed Rogersville
Compressor Station .. This pipeline will be used to deliver gas gathered from many fields,
through as many as 62 wells, into the East Tennessee system at an interconnection
downstream of the Rogersville Compressor Station, East Tennessee will build a lateral to
the proposed site of the interconnection pursuant to its blanket authority from FERC.
According to Stone Mountain, some of the lines feeding into the ten-inch pipeline will be
several miles long and will act as "backbone" pipelines that will collect gas from
numerous feeding lines along their length.
Onshore gathering lines are not subject to 49 CFR Part 192 if they lie outside of the limits
of an incorporated or unincorporated city, town, or village or any designated residential
or commercial area. Assuming that the Stone Mountain project will lie entirely outside of
these areas, the issue is whether the ten-inch pipeline that is being constructed between
Rose Hill, Virginia, and the proposed Rogersville Compressor Station, is classified as a
gathering line or a transmission line.
49 CFR. § 192.3 explains that a gathering line ends at a transmission line, and a
transmission line is a pipeline that transports gas from a gathering line to a distribution

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center, storage facility or large volume customer that is not downstream from a
distribution center.
Accordingly, the Office of Pipeline Safety (OPS) historically has selected the appropriate
end point on a case-by-case basis, primarily using four points. These four points include
(I) the outlet of a processing plant; (2) ifthere is no upstream processing plant, the outlet
of a main compressor; (3) if there is no processing plant or compressor station, then the
point where two or more well lines converge; and ( 4) if no other point is appropriate, the
point where there is a change in ownership of the pipeline. In addition, once designated
as a transmission line, no portion of the line may be redesignated as a gathering line even
if further commingling of gas occurs downstream.
Stone Mountain believes that FERC will continue to classify their entire system as a
gathering system. However, OPS is not bound by FERC's classification of gathering lines
under the Natural Gas Act (15 U.S.C. § 717 et seq.), 49 U.S.c. § 60101 (b)(I)(B)(ii),
This. means that although FERC may continue to classify the Stone Mountain system as
a gathering system, OPS is not required to do so.
Although the Stone Mountain project clearly does not contain a processing plant, it will
have three compressor stations, located at Martins Fork and Rose Hill, Virginia, and
Rogersville, Tennessee. As used in our four-point test, a main compressor is one that has
the main function of moving gas in transportation even if it also enhances the production
process. Because the Rose Hill Compressor Station is not currently being used to gather
gas from the existing upstream facilities, it appears that it will be used to move gas
through the proposed ten-inch line from Rose Hill to Rogersville. Therefore, this is the
last logical end point far the gathering line and, therefore, the point at which the
transmission line begins. Because this line becomes a transmission line no further
downstream than Rose Hill, Virginia, it cannot be redesignated a gathering line in
Tennessee, even if it receives additional gas from other gathering lines.
The Stone Mountain ten-inch pipeline from Martins Fork to Rose Hill and continuing to
the Rogersville Compressor Station is expected to receive and commingle gas from as
many as 62 wells located in multiple fields. Moreover, this line currently serves four
market delivery points, including a federal prison, and Stone Mountain anticipates an
additional delivery point to the Hawkins County Utility District, The ten-inch pipeline
appears to be transporting gas from the incoming gathering lines to its delivery points
and, finally, to the East Tennessee interconnect. Therefore, OPS characterizes the ten-
inch line from the proposed Rose Hill Compressor Station to the proposed Rogersville
Compressor Station as a transmission line.
Interstate transmission lines are subject to the jurisdiction of OPS. Intrastate transmission
lines are subject to the jurisdiction of the state under its Section 60105 certification.
According to 49 U.S.C. § 60101 (a), an interstate pipeline must be subject to the
jurisdiction ofFERC under the Natural Gas Act and intrastate pipelines are not subject to
the jurisdiction of FERC. Therefore, the determination of whether this is a interstate or
intrastate pipeline is based on whether FERC has jurisdiction over the pipeline. Because

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this segment is not certificated by FERC, it is an intrastate transmission line and,
therefore, it is subject to jurisdiction by the Tennessee Regulatory Authority under its
Section 60105 certification.
If we can be of further assistance in this matter, please contact me at (202) 366-4565.
Sincerely yours,
Richard D. Huriaux, P.E. Manager, Regulations Office of Pipeline Safety
Enclosure
BILLING CODE 491O-60-P
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