278.508 Exemption of sale of natural gas used as a motor vehicle fuel from
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/ky/278-508A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
regulation -- Regulation of transportation, distribution, or delivery of natural
gas used as a motor vehicle fuel.
(1)Notwithstanding any other provisions of this chapter, the rates, terms, and
conditions of service for the sale of natural gas to a compressed natural gas fuel
station, retailer, or to any end-user for use as a motor vehicle fuel, shall not be
subject to regulation by the Kentucky Public Service Commission. Any utility
provider of such a nonregulated service shall keep separate records and books of
account adequate to allow the commission to allocate costs and revenues and to
perform other acts that will assist the commission in enforcing this section.
(2)The transportation, distribution, or delivery of natural gas to any compressed natural
gas fuel station, retailer, or any end-user for use as a motor vehicle fuel, shall
continue to be subject to regulation by the Kentucky Public Service Commission.
Upon request by the utility, the commission shall set flexible rates which provide a
fair opportunity to compete with other motor fuels. Price adjustment pursuant to
these flexible rates are not rate changes for purposes of this chapter.
(3)The sales or transportation transactions described in this section shall not adversely
affect the regulated utility's cost or costs, or the availability of natural gas to its
utility sales customers.