REG’s comprehensive regulatory knowledge combined with its analytical abilities enable REG to provide strategic advice to our clients.  Examples of strategic services REG provides include:

Rate Design Analysis

Pipelines that base rates on its cost-of-service and operate in competitive markets face unique challenges. To bridge the gap between setting cost-based rates and attracting new customers, REG developed an innovative method of calculating pipeline tariff rates. REG’s rate design model incorporates both regulatory and competitive constraints in order to maximize client revenues.

Asset Conversion

REG has experience in running various sensitivities to evaluate the consequences of asset conversion. Examples in which REG assessed the implications of such conversions include:

• Converting a pipeline from private to common-carrier status

• Consequences of line reversal

• Consequences of hauling different product(s)

Contracting Strategy

Clients encountering a dispute between the carrier and its shippers can be resolved through establishing contracts.  REG is experienced in constructing settlement and contract provisions with shippers that are advantageous to the client. Examples include:

• Advising the client on provisions to include in a settlement to resolve a protest or complaint.

• Establishing volume contracts with shippers to reduce utilization volatility.