4. Discussion

Exhibits attached to the application describe the pipeline closure in more detail. Notice of the proposed removal from public utility service has been served on other pipeline companies and refineries. Notice of the application appeared in the Commission's Daily Calendar of May 25, 2005.

Section 851 requires Commission authorization for the disposition of public utility facilities. The purpose of this and related sections is to enable the Commission, before any removal of public utility property is consummated, to review the situation and to take such action as the public interest may require.2

The proposed line abandonment here recognizes that Pipeline #369, Line Segment #370, and related facilities are no longer necessary for the company's pipeline service. No changes in existing services are proposed. There are no protests to this application, and the contemplated action appears to be noncontroversial.

The California Environmental Quality Act (CEQA) requires that we consider the environmental consequences of projects that are subject to our discretionary approval.3

The application requests that the Commission find that CEQA does not apply to the activity in question because it can be seen with certainty that there is no possibility that removal of the pipeline from public utility service and its abandonment in place will have a significant effect on the environment.

In support of that request, the application indicates that the pipeline is located in rural and agricultural areas. Activity to remove the line from service and abandon it in place requires that the line be purged with nitrogen and cut and capped in certain locations. Further, the activity can take place only upon CSFM approval of a plan complying with its requirements to take a pipeline out of service and abandon the line. That plan must comply with standards for the process involved, as well as future maintenance and inspections. The pipeline will be left in place.

Commission environmental staff has confirmed with the CSFM's Office that its compliance requirements to remove a line from service and abandon a pipeline ensure avoidance of any potential significant effect on the environment as a result of the activity. The activity is thus exempt from CEQA review by the CSFM.4

Based on this information, we find that with approval and implementation of CSFM procedures and corresponding federal regulations for removal and abandonment of Pipeline #369 and Line Segment #370, it can be seen with certainty that the activity will not have a significant effect on the environment.

2 San Jose Water Co. (1916) 10 CRC 56. 3 Cal. Pub. Resources Code §§ 21000, et seq., § 21080. 4 June 8, 2005 environmental staff telephone confirmation with Emit Cooper of the CSFM's Lakewood Office.

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