NAC704.501. Priorities in curtailment of service.

During periods of reduced availability of natural gas, each utility shall supply natural gas to its customers (whether they are being served directly or indirectly) in the following order of priorities:

     1. First priority (P-1) must be given, without relative priority among the classes, for use in:

     (a) Commercial establishments using less than 50 Mcf of natural gas on a peak day.

     (b) Hospitals, nursing homes, and convalescent homes, but not for the offices of practitioners of the healing arts.

     (c) Police and correctional facilities.

     (d) Residences.

     (e) Sanitary facilities which use natural gas for disposing of refuse or otherwise protecting the health of the community.

     (f) Schools.

     2. Second priority (P-2) must be given for the following uses, with relative priority in the order listed:

     (a) Essential agricultural uses, certified by the United States Secretary of Agriculture pursuant to 15 U.S.C. § 3391 as the section existed on November 6, 1980 (P-2a).

     (b) Essential industrial process or uses as feedstock, certified by the United States Secretary of Energy pursuant to 15 U.S.C. § 3392 as the section existed on November 6, 1980 (P-2b).

     (c) Other uses (P-2c), without any relative priority among the subclasses:

          (1) Commercial uses involving 50 Mcf or more of natural gas on a peak day.

          (2) Uses, pursuant to firm requirements, of natural gas for protection of industrial plants and for industrial feedstocks and processes. The volumes of gas which may be supplied under this priority for protection of a customer’s plant are the minimum volumes required to prevent physical harm to the facilities in the plant, to prevent danger to the personnel, and to protect any material in the process of manufacture if the customer cannot carry out those purposes by the use of some alternative fuel other than propane or another gaseous fuel. This priority must not be given just to enable a customer to maintain production in his or her plant.

          (3) A utility’s injection of natural gas into storage to meet its reasonable requirements for later distribution to its customers (customer storage injection volumes).

     3. Third priority (P-3) must be given for any industrial use which is not included in any other priority.

     4. Fourth priority (P-4) must be given for any industrial use of natural gas as a boiler fuel upon a firm requirement if the volume of gas to be used is less than 3,000 Mcf per day but more than 1,500 Mcf per day and the customer has the capability of using an alternative fuel to fulfill the requirement.

     5. Fifth priority (P-5) must be given for any industrial use of natural gas as a boiler fuel upon a firm requirement if the volume of gas to be used is 3,000 Mcf or more per day and the customer has the capability of using an alternative fuel to fulfill the requirement.

     6. Sixth priority (P-6) must be given for any use, upon an interruptible requirement, of more than 300 Mcf per day but less than 1,500 Mcf per day of natural gas if the customer has the capability of using an alternative fuel to fulfill the requirement.

     7. Seventh priority (P-7) must be given for a use, upon an interruptible requirement, of 1,500 Mcf or more per day but less than 3,000 Mcf per day of natural gas if the customer has the capability of using an alternative fuel to fulfill the requirement.

     8. Eighth priority (P-8) must be given for a use, upon an interruptible requirement, of 3,000 Mcf or more per day but less than 10,000 Mcf per day of natural gas if the customer has the capability of using an alternative fuel to fulfill the requirement.

     9. Ninth priority (P-9) must be given for a use, upon an interruptible requirement, of 10,000 Mcf or more per day of natural gas if the customer has the capability of using an alternative fuel to fulfill the requirement.

     (Added to NAC by Pub. Service Comm’n, eff. 12-16-82)