State Ex Rel. MoGas Pipeline LLC v. Missouri Public Service Commission
2012 Mo. LEXIS 91
| Mo. | 2012Background
- MoGas operates an interstate natural gas pipeline with Missouri customers; merger in 2008 created a single system under FERC jurisdiction.
- Before the merger, MoGas predecessors within Missouri were PSC-regulated; one predecessor operated interstate and fell under FERC.
- MoGas petitioned FERC for compression facilities and tariff changes; PSC intervened in those FERC proceedings.
- MoGas filed with the PSC in 2008 seeking termination of PSC intervention in FERC matters; PSC denied in 2009.
- Cir. Court held PSC’s July 2009 order unlawful and remanded; Missouri Supreme Court granted review to determine PSC authority.
- Court analyzes whether the PSC may intervene in FERC proceedings given federal preemption and Missouri statutes.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether PSC may intervene in FERC proceedings. | MoGas argues PSC lacks authority. | PSC contends statutory authority via sections 386.210.1/386.210.7 and related provisions. | PSC has no authority to intervene. |
| Does 386.210.1 authorize intervention or only confer communication? | Intervention falls within implied authority. | Intervention is not within confer/communication. | Confer does not include intervention. |
| Does federal law preempt state PSC intervention in FERC matters? | FERC/Natural Gas Act preemption limits state regulation. | FERC allows state participation if authorized by state statute. | Federal preemption prohibits PSC intervention without Missouri authorization. |
Key Cases Cited
- Schneidewind v. ANR Pipeline Co., 485 U.S. 293 (1988) (federal exclusive jurisdiction over interstate gas transport under NGA)
- State ex rel. Praxair, Inc. v. Missouri Pub. Serv. Comm'n, 344 S.W.3d 178 (Mo. banc 2011) (two-pronged review of PSC orders: lawfulness and reasonableness)
- Util. Consumers' Council of Missouri, Inc. v. Pub. Serv. Comm'n, 585 S.W.2d 41 (Mo. banc 1979) (PSC powers limited to statutes and public welfare)
- State ex rel. Atmos Energy Corp. v. Pub. Serv. Comm'n, 103 S.W.3d 753 (Mo. banc 2003) (statutory interpretation and PSC authority)
- Reichert v. Bd. of Educ. of City of St. Louis, 217 S.W.3d 301 (Mo. banc 2007) (limits on judicial interpretation of statutes)
- State ex rel. Monsanto Co. v. Pub. Serv. Comm'n, 716 S.W.2d 791 (Mo. banc 1986) (creature of statute; powers limited to statutes)