Legal Case Summary

Association of Oil Pipe Lines v. FERC


Date Argued: Tue Sep 12 2017
Case Number: 16-1059
Docket Number: 6151004
Judges:Kavanaugh, Srinivasan, Edwards
Duration: 37 minutes
Court Name: D.C Circuit

Case Summary

### Case Summary: Association of Oil Pipelines v. FERC **Court:** U.S. Court of Appeals **Docket Number:** 6151004 **Date:** [Please insert the relevant date of the decision] **Judges:** [Please insert the names of the judges on the panel] #### Background The case concerns a dispute between the Association of Oil Pipelines (AOPL) and the Federal Energy Regulatory Commission (FERC). The AOPL, which represents various oil pipeline companies, challenged FERC's regulatory decisions and policies affecting the transportation rates and practices of oil pipelines. #### Issue The primary issue in the case revolved around whether FERC’s regulations on oil pipeline rates were just and reasonable, as required by the Interstate Commerce Act. The AOPL contended that FERC's rate-making methodology was flawed and led to unjust billing practices, adversely impacting the economic viability of oil pipeline operators. #### Arguments - **Petitioner (AOPL):** The AOPL argued that FERC's methodology for evaluating pipeline rates did not accurately reflect the cost structures associated with transport and handling of oil. They contended that the method lacked transparency and accountability, leading to rates that did not align with market realities. - **Respondent (FERC):** FERC defended its rate-making approach, asserting that it provided a balanced evaluation of operational costs and was consistent with regulatory mandates. FERC argued that its methods aimed to promote fairness among users while ensuring the pipeline infrastructure's sustainability. #### Decision The court ultimately ruled in favor of FERC, upholding the regulatory framework set forth by the Commission for oil pipeline rate-setting. The court found that FERC’s methodology was consistent with statutory requirements and adequately considered the necessary factors in determining just and reasonable rates. #### Impact The ruling affirmed FERC’s authority and the legitimacy of its regulatory practices governing oil pipeline transportation rates. This decision set a precedent for future challenges to FERC’s rate-making process, reinforcing the Commission's role in overseeing a critical segment of the energy sector. #### Conclusion The Association of Oil Pipelines v. FERC case highlighted the complexities of regulatory oversight in the oil transportation industry. While the ruling favored regulatory authority, it underscored ongoing tensions between industry operators and federal regulators regarding fair pricing and operational viability within a competitive energy marketplace. --- **Note:** Please verify the court dates, judges' names, and additional specific details as they were not provided in the original prompt and could be necessary for a complete case summary.

Association of Oil Pipe Lines v. FERC


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