CA Pub Util Code Section 455.3


Notwithstanding any other provision of law, including, but not limited to Section 454, no later than January 1, 1998, the commission shall adopt rules and regulations that substantially revise the manner in which oil pipeline corporations may change and use rates.


The revised rules and regulations shall adhere to the following criteria:


Pipeline corporations shall be required to give the commission and all shippers no less than 30 days’ notice of rate changes.


After the 30-day notice of rate change, pipeline corporations shall be permitted to change rates and use those rates prior to commission approval.


The commission shall have the authority to suspend a rate change and use of the changed rate for a period of time not to exceed 30 days from expiration of the 30-day notice period specified in paragraph (1).


Pipeline corporations shall refund, with interest, any portion of the rate change that is subsequently disallowed by the commission to all shippers within 30 days of the commission’s decision becoming final. Interest shall accrue from the date the new rate is first charged.


Any increase in the shipping rate charged by an oil pipeline corporation prior to commission approval shall not exceed 10 percent per 12-month period. The commission shall determine the appropriateness of allowing retroactive charge and collection of subsequently approved rate increases above 10 percent.


It is the intent of the Legislature that oil pipeline corporations be permitted to use new rates after the period of the suspension of a rate change, if any, by the commission pursuant to paragraph (3) of subdivision (b) prior to commission approval, provided any disallowed portion of the new rate is fully refunded with interest.
Last Updated

Aug. 19, 2023

§ 455.3’s source at ca​.gov