Pipeline Overcharging For Fuel Transport, Airlines Tell FERC

Law360, New York (January 14, 2014, 2:56 PM EST) -- Southwest Airlines Co. and United Airlines Inc. claim that Colonial Pipeline Co. is charging excessive rates for transporting jet fuel and kerosene, earning an excess $303 million in 2012 alone, according to a Federal Energy Regulatory Commission notice published Tuesday in the Federal Register.

In a complaint filed with the commission Jan. 3, the airlines claim that the transport rates charged by Colonial Pipeline are unjust and unreasonable because the returns on its base rate regulated by FERC are grossly excessive.

That includes 2012, when the...
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