Concentric Oil and Gas Pipeline Qualifications

CONCENTRIC ENERGY ADVISORS, INC. PAGE 1

Concentric Energy Advisors, Inc. (“Concentric”)

specializes in management consulting and

financial advisory services with an exclusive focus

on the North American energy industry.

Our staff possesses expertise in all aspects of the

power and natural gas markets at both the

wholesale and retail levels, as well as the oil

pipeline industry.

Our energy industry experts have held positions

with utility companies, regulatory agencies,

integrated energy companies, regional transmission organizations, retail marketing companies, and

utility management consulting firms.

This qualifications package contains examples of our relevant experience pertaining to natural gas

pipelines, oil pipelines, and energy market assessments. In addition, included are short biographical

summaries for our natural gas and oil pipeline experts.

Regulation

Markets and Resource Planning

Financial Advisory

Litigation

Ou

r Se

rvic

e A

rea

s:

Natural Gas and Oil Pipeline Qualifications


Filing review and assessment

Shipper impact analysis

Cost and rate modeling

Regulatory strategy Scenario planning Discovery

Written & oral testimony

Settlement negotiation

Technical conference presentation

Cross-examination assistance

State-level regulatory briefings

Post-decision court challenges

Natural Gas Pipelines

Regulatory Support on Behalf of Shippers

Concentric’s team provides clients with comprehensive natural gas pipeline and storage regulatory

support, from policy proceedings to certificate applications to Section 4 or Section 5 rate case

proceedings. Our experience includes acting as advisors for a number of clients on all FERC

regulatory matters over many years. Our staff has significant experience advising and testifying on

regulatory and economic policy, market dynamics, and virtually all elements of the utility

ratemaking process.

Regarding rate case proceedings specifically, as shown in the graphic below, we can assist clients

and their counsel from before a filing has been made through the entire process, including technical

conferences, settlement negotiations, multiple rounds of testimony and cross-examination, as well

as subsequent court challenges.

Concentric’s team has represented single shippers, as well as managed and led large multi-shipper

groups, in numerous rate cases. We take pride in our ability to help clients understand the whole

process and the potential impacts to their businesses, and to work on their behalf with other

stakeholders to successfully reach negotiated or litigated outcomes.

Ou

r A

rea

s o

f Exp

ert

ise


Highlights of our team’s experience in natural gas pipeline rate proceedings on behalf of shippers

are shown below. Concentric would be pleased to provide more detail as requested.

Representation in FERC Section 4 and Section 5 Rate Case Proceedings

Client Name Pipeline Docket No.

Atmos Energy Columbia Gulf RP16-302

Upper Midwest Distributor Group ANR Pipeline RP16-440

Atmos Energy Gulf South Pipeline RP15-65

Florida Cities Florida Gas Transmission RP15-101

BP Canada Alliance Pipeline RP15-1022

Indicated Shippers Williston Basin Pipeline RP14-118

Indicated Shippers High Island Offshore Pipeline RP14-218

Indicated Shippers Sea Robin Pipeline RP14-247

LDC Shipper Group Southern Star Pipeline RP13-941

AGL, WGL, SCANA Corp Dominion Cove Point RP11-2137

Upper Midwest Distributor Group Northern Natural Gas RP10-148

Arizona Public Service El Paso Natural Gas RP10-1398

AGL, Chattanooga Gas, SCE&G Southern Natural Gas RP09-427

Arizona Public Service El Paso Natural Gas RP08-426

Morgan Stanley Capital Group Kern River Gas Transmission RP04-274

Wisconsin Distributor Group Viking Gas Transmission RP98-290

Northern Distributor Group Northern Natural Gas RP98-203

Northern Distributor Group Northern Natural Gas RP95-185

Wisconsin Distributor Group ANR Pipeline RP94-43


Natural Gas Pipelines

Regulatory Support on Behalf of Pipelines

Concentric also performs work on behalf of pipelines and storage providers regarding various rate

and regulatory matters. Again, our experience spans all policy, regulatory and ratemaking issues. We

have assisted pipeline clients with certificate applications for new pipeline development, with rate

case filings and requests for market-based rates for storage and transportation services.

Examples of our recent experience on behalf of pipeline clients is provided below. Please note that

this list is not comprehensive and further details can be provided upon request.

Client Name Jurisdiction Docket No. Topics

KOT Transmission FERC RP16-1097 Cost Allocation / Rate Design / Cost

of Capital

Tallgrass Energy Partners FERC RP16-137 Mkt. Conds. / Bus. Risk / Cost Alloc. /

Rate Design

Magnum Gas Storage FERC CP16-18 Market Power

TransCanada PipeLines NEB RH-001-

2016

Services / Rate Design

Gulf South Pipeline FERC RP15-65 Bus. Risk / Rate Design / Discounting

/ Roll-In

NOVA Gas Transmission NEB GH-003-

2015

Rolled-In Tolling

PennEast Pipeline FERC CP15-558 Market Need / Quantification of

Benefits

Tennessee Gas Pipeline MA DPU DPU 15-37 Policy / Market Need

Tennessee Gas Pipeline NH PUC IR 15-24 Policy / Market Need

Florida Gas Transmission FERC RP15-101 Rate of Return

Transwestern Pipeline FERC RP15-23 Rate of Return


2014

Tolling Principles / Public Interest

NOVA Gas Transmission NEB GH-001-

2014

Rolled-In Tolling

Viking Gas Transmission FERC RP14-1214 Rate of Return

Sea Robin Pipeline FERC RP14-247 Rate of Return

High Island Offshore

System

FERC RP14-218 Rate of Return


2013

Tariff Proposals


Client Name Jurisdiction Docket No. Topics

TransCanada PipeLines NEB MH-001-

2013

Cost Allocation

Rager Mountain Storage FERC CP13-139 Market Power

Trailblazer FERC RP13-1031 Rate of Return

Viking Gas Transmission FERC RP13-185 Rate of Return


2011

Policy / Mkt. Conds. / Cost Alloc. /

Rate Design

UGI Storage FERC CP11-542 Market Power

Granite State Gas Transm. FERC RP10-896 Entire Rate Case Filing

Portland Nat. Gas Transm. FERC RP10-729 Mkt. Conds. / Bus. Risk / Cost of

Capital

Tallulah Gas Storage FERC CP10-494 Market Power

Central New York Oil &

Gas

FERC CP10-194 Market Power

Arlington Storage FERC CP10-99 Market Power

Petal Gas Storage FERC CP10-50 Market Power


Natural Gas Market Assessments

Concentric’s experts have performed numerous strategic natural gas market assessments

throughout North America for pipelines, producers, natural gas storage providers, LNG developers,

and lenders. These market assessments have evaluated future markets for natural gas assets based

on incremental regional natural gas demand from local distribution companies, industrial customers,

and power generation facilities, and have considered various other related aspects including risk

assessments, comparative cost assessments, valuations, quantifications of savings associated with

new infrastructure, as well as regulatory environment and policy assessments.

Examples of relevant work are provided below.

Client Name Nature of Work

Atlantic Canada

Opportunities Agency

Comprehensive study examining the costs associated with natural

gas pipeline access from central Canada to Atlantic Canada

PennEast Pipeline Market assessment and report describing the potential economic

benefits of the PennEast Pipeline project to various energy

consumers in eastern Pennsylvania and New Jersey

Millennium Pipeline Market assessment and report describing the potential economic

benefits that an expansion of Millennium would bring to

consumers in New York

Downeast LNG Natural gas supply and pipeline transportation rate assessment

associated with natural gas for Downeast LNG’s proposed LNG

export terminal

Confidential Client Assistance in developing an Atlantic Canada energy provider’s

natural gas supply strategy and execution plans

Tennessee Gas Pipeline Assistance in a proceeding before the Massachusetts DPU and

New Hampshire PUC related to investigations into the means by

which new natural gas delivery capacity may be added to the

New England market

Port Ambrose LNG High-level forecast of peak demand growth for New York City and

Long Island through 2020

Nova Scotia Power Expert testimony on numerous issues including the prudence and

pricing of natural gas purchases to serve Atlantic Canadian

markets and risk management issues

Spectra Energy Reviewed and evaluated long-term natural gas supply and

demand, existing natural gas pricing dynamics, and future

implications associated with new natural gas infrastructure in New

England

Nova Scotia Department

of Energy

Report evaluating four potential natural gas aggregation models

that have been utilized elsewhere in North America and



conducted an associated workshop for interested parties

regarding the analysis

Spectra Energy Strategic assessment of the New Jersey and New York City natural

gas markets, which was filed at FERC in support of Spectra’s New

Jersey-New York Expansion Project

Confidential Natural Gas

Pipeline

Analyze the long-term demand opportunities and/or threats in the

client’s direct markets and potential expansion markets

Repsol Energy Canada Ltd Market assessment and a subsequent update regarding the future

demand for natural gas in Atlantic Canada and the Northeastern

U.S. associated with the proposed Brunswick Pipeline


Oil Pipeline Qualifications

Concentric has assisted oil pipelines and pipeline shippers with a range of services including

regulatory policy, cost allocation, rate design, rate of return, service structure and tariff provisions,

open season terms and market analyses.

Below are representative examples of our work relating to the North American oil industry.


Energy East Pipeline Ltd.

and TransCanada

PipeLines Limited

Evidence before the National Energy Board of Canada addressing

the economic and public interest aspects of the application of

Energy East for new crude oil pipeline and related facilities, the joint

application of Energy East and TransCanada for the transfer of

existing natural gas assets to oil service, and the application of

TransCanada for the construction of certain gas facilities proposed

to be part of the Mainline

Liquid Shipper Group Support in client’s request to FERC to expand the filing requirements

associated with the FERC Form No. 6 regarding cost and revenue

detail in Docket No. RM15-19

Costco Expert support in a complaint against Colonial Pipeline’s capacity

rationing and auction process

Colonial Shippers Group Regulatory support to a group of petroleum product shippers

intervening in a FERC proceeding in which Colonial has proposed

modifications to its tariff

Confidential Client Advisory for an anchor shipper in negotiating the open season terms

and precedent agreements, as well as the subsequent

transportation contract and tariff terms, on a project to convert an

oil pipeline owned to ethane service

Kinder Morgan (Trans

Mountain Pipeline)

Regulatory and policy support and expert evidence in the National

Energy Board of Canada Application process for the proposed

expanded Trans Mountain Pipeline system

Kinder Morgan (Trans

Mountain Pipeline)

Evidence and additional regulatory support concerning the overall

public interest, economic efficiency and feasibility, and a review of

the economic costs and benefits in connection with the precedent

agreements

Confidential Client Market analysis and development of a model for evaluating

alternative scenarios for revenues, costs, and rates for a company

that was proposing to convert an oil pipeline to natural gas service

Chevron Canada Evidence regarding the appropriate principles for allocating scarce

pipeline capacity and pricing access to capacity a Trans Mountain

Pipeline proceeding before the National Energy Board of Canada


Concentric’s Natural Gas and Oil Pipeline Experts

John J. Reed, Chairman and Chief Executive Officer, is a financial

and economic consultant with more than 35 years of experience

in the energy industry. He has provided advisory services in the

areas of mergers and acquisitions, asset divestitures and

purchases, strategic planning, project finance, corporate

valuation, energy market analysis, rate and regulatory matters

and energy contract negotiations to clients across North and

Central America. Mr. Reed’s comprehensive experience includes

the development and implementation of nuclear, fossil, and

hydroelectric generation divestiture programs with an aggregate

valuation in excess of $20 billion. These include executive-level

roles in the Pilgrim, Oyster Creek, Nine Mile Point, Hope Creek,

Peach Bottom, Salem, and Seabrook nuclear plant sales. Mr. Reed

has provided expert testimony on financial and economic matters on more than 200 occasions before

the FERC, Canadian regulatory agencies, state utility regulatory agencies, various state and federal

courts, and before arbitration panels in the United States and Canada. After graduation from the

Wharton School of the University of Pennsylvania, Mr. Reed joined Southern California Gas Company,

where he worked in the regulatory and financial groups, leaving the firm as Chief Economist in 1981.

He served as executive and consultant with Stone & Webster Management Consulting and R.J. Rudden

Associates prior to forming REED Consulting Group (RCG) in 1988. RCG was acquired by Navigant

Consulting in 1997, where Mr. Reed served as an executive until leaving Navigant to join Concentric

as Chairman and Chief Executive Officer.

J. Stephen Gaske, Senior Vice President, has more than 30 years of

experience as an economic consultant, researcher, and

professor in the fields of public utility economics, finance, and

regulation. His areas of expertise include: finance, cost of capital,

and risk analysis; rate design, cost allocation, cost of service, and

pricing of services; energy markets and the economics of public

utilities and energy infrastructure; competition and antitrust

principles; and regulatory and energy economics, rules, and

policies. Dr. Gaske has provided consulting services in more

than 300 regulatory, antitrust, tax and civil proceedings. In

addition, he has presented expert testimony in more than 100

state, provincial and federal regulatory commission hearings in

Canada, the U.S. and Mexico. He has served as an advisor to

numerous regulated companies and has authored many studies on behalf of utilities, associations

and government agencies. His work has included projects involving: natural gas pipeline and

distribution companies; electric utilities; oil pipelines; railroads; postal service; telephone and

satellite telecommunications companies; and water and sewer companies. He has been a lecturer at


electric rate courses sponsored by the Edison Electric Institute and natural gas rate courses

sponsored by the American Gas Association. He is a former Associate Professor of Finance and also

has taught college courses in Public Utility Economics, Transportation, and Accounting. Prior to

joining Concentric, Dr. Gaske was the President of H. Zinder & Associates. He earned a Ph.D. from

Indiana University School of Business, an M.B.A. from George Washington University, and a B.A. from

the University of Virginia.

Toby Bishop, Vice President, has over 20 years of management and

economic consulting experience in the energy industry. Mr.

Bishop has a broad range of experience, including regulatory

representation and litigation support, merger and acquisition due

diligence, asset valuation and market assessment. Mr. Bishop has

extensive federal and state regulatory experience on natural gas

issues, including rate case proceedings, prudence reviews, asset

transfers, regulatory strategy and policy formulation. Mr. Bishop

has testified before the Federal Energy Regulatory Commission and

the National Energy Board. Mr. Bishop was the lead expert

witness for Arizona Public Service in El Paso Natural Gas’s two

most recent rate proceedings, as well as the principal consultant

for the UMDG in FERC’s most recent Section 5 inquiry into Northern

Natural Gas’ rates. In addition, Mr. Bishop was the principal analyst for the Northern Distributor

Group for a number of years, which included two Section 4 rate proceedings and numerous other

regulatory and policy filings. Mr. Bishop has also assisted numerous clients in evaluating energy markets

throughout the United States as part of new development and expansion opportunities for storage, LNG

and electric generation facilities. Mr. Bishop has also submitted testimony in over 20 proceedings

concerning market-power related issues in the United States and Canada. Prior to the formation of

Concentric Energy Advisors, Mr. Bishop consulted for several years with Reed Consulting Group and

Navigant Consulting, Inc. Mr. Bishop has a B.A. in economics and geography from Colgate University.

David A. Heintz, Vice President, has over 30 years of experience

working with regulated rates and tariffs at both the federal and state

levels. He also provides clients with analyses of natural gas projects,

markets and issues. Mr. Heintz’s areas of expertise include cost of

service, allocation and rate design, tariff terms and conditions, rate

case preparation and regulatory issues. Prior to joining Concentric

Energy Advisors, Mr. Heintz was a Managing Consultant with

Navigant Consulting, Inc. and has worked for the Federal Energy

Regulatory Commission, interstate pipelines and a local distribution

company. Mr. Heintz holds an M.B.A. from the University of

Pittsburgh and a B.S. in Economics from the Pennsylvania State

University.


Melissa F. Bartos, Assistant Vice President, is a financial and economic

consultant with more than eighteen years of experience in the energy

industry. In the last several years, she has focused on natural gas markets

issues, including conducting comprehensive market assessments for

various clients considering infrastructure investments and developing

detailed demand forecasts for a number of gas distribution companies.

Ms. Bartos has also designed, built, and enhanced numerous financial and

statistical models to support clients in asset-based transactions, energy

contract negotiations, reliability studies, asset and business valuations,

rate and regulatory matters, cost-of-service analysis, and risk

management. Her modeling experience includes building Monte-Carlo

simulation models, designing an allocated cost-of-service model,

statistical modeling using SPSS, and programming using Visual Basic for

Applications (VBA). Ms. Bartos has also provided expert testimony regarding natural gas demand

forecasting and supply planning issues, and incentive ratemaking. Ms. Bartos previously consulted

with Reed Consulting Group and Navigant Consulting, Inc.; she has an M.S. in Mathematics (Statistics)

from the University of Massachusetts at Lowell, a B.A. from the College of the Holy Cross in Worcester,

MA, and is a member of the American Statistical Association.

Kenneth A. Sosnick, Senior Project Manager, has over 10 years of

experience with natural gas, electric and oil industry matters

before the Federal Energy Regulatory Commission. During Mr.

Sosnick’s ten years at FERC, he spent two years (2003-2004) as

an auditor in the Office of Enforcement and eight years (2005-

2013) in the Office of Administrative Litigation as an expert

witness and one of the lead technical staff negotiators in more

than 15 major interstate natural gas pipeline, oil pipeline, and

electric utility proceedings.

While in the Office of Administrative Litigation, Mr. Sosnick

applied his expertise to a variety of complex issues relating to

utility ratemaking. He has concentrated on natural gas pipeline

and oil/product pipeline cost of service rates, levelized rates, incremental vs. rolled-in project costs,

allocation of corporate overhead costs, master-limited partnership income taxes, throughput/system

rate design quantities, cost allocation and rate design, fuel recovery mechanisms, extraordinary events

surcharge trackers, NGA Section 5 rate proceedings, depreciation rate calculations, return on equity

calculations under discounted cash flow methodology as well as electric formula rates and Order No.

1000 cost allocations. Mr. Sosnick has specifically worked on developing the cost of service model

and/or rate design model for Southern Star Central Pipeline, El Paso Natural Gas Company,

Transcontinental Pipeline, Sea Robin Pipeline, Portland Natural Gas Transmission System, Inc., Florida

Gas Transmission, Northern Natural Gas Company, Kinder Morgan Interstate Gas Transmission,

Tennessee Gas Pipeline, Tuscarora Gas Transmission Company, and Wyoming Interstate Company.


After leaving FERC in 2013, Mr. Sosnick joined MRW & Associates LLC as a Senior Project Manager. In

addition, Mr. Sosnick has previously taught at the New Mexico State University Center for Public Utilities

Practical and Regulatory Training for the Natural Gas Interstate Pipeline Industry specifically

addressing FERC requirements for determining “Just and Reasonable” rates.

Matthew DeCourcey, Project Manager, is an experienced consultant with

expertise in North American natural gas markets with particular focus on

market analysis, price forecasting and market simulation, rate analysis,

financial analysis, and risk management. Mr. DeCourcey has extensive

experience developing gas market simulations using GPCM and other tools

and provides consulting services relating to short- and long-term price

forecasts and analyses of volatility, ratemaking issues, congestion analysis,

risk management, projections of supply and demand trends, and analyses

of operational conditions. Mr. DeCourcey graduated with a B.A. in Political

Science from the University of Massachusetts at Boston with honors and

holds an M.B.A. with a concentration in Finance from the University of

Massachusetts at Amherst. Mr. DeCourcey previously consulted at Levitan

& Associates, Inc.

Date post:	13-Apr-2017
Category:	Documents
Upload:	ken-sosnick
View:	28 times
Download:	0 times

Concentric Oil and Gas Pipeline Qualifications

Documents