The Federal Energy Regulatory Commission announced on March 7 that Bangor Gas Co., a subsidiary of San Diego-based Sempra Energy, has agreed to pay a $1 million fine on self-reported violations.
Bangor reportedly transferred natural gas that it did not possess title to across 1.5 miles of pipeline in Maine. The violations occurred between July 2000 and September 2006.
Utilities are required to carry title on transported gas in order to promote pipeline open-access and prevent discrimination in natural gas transmission.
Sempra, in due diligence pertaining to the sale of Bangor, found the violations and reported them to the regulatory commission.
In addition to the fine, Bangor must submit semiannual reports to assure compliance with the commission’s transportation requirements.
Bangor did not profit from its violations and no third parties were caused financial harm.
Sempra Energy is traded on the New York Stock Exchange as SRE and closed on March 7 at $59.58, up 19 cents from the previous day’s close.
, Andy Killion