Extract to table

The pipeline's debt obligations — which total $550 million — impose substantial fixed charges that must be serviced irrespective of throughput volumes

This range of individual DCF results defines the "zone of reasonableness" — the band within which the authorized ROE must fall in order to be deemed just and reasonable under the Natural Gas Act

The Commission has consistently held that the appropriate ROE for a particular pipeline must be set within this zone of reasonableness, taking into account the specific risk characteristics of the pipeline relative to the proxy group companies

591 (1944), that the rate of return must be "commensurate with returns on investments in other enterprises having corresponding risks" and must be "sufficient to assure confidence in the financial integrity of the enterprise, so as to maintain its credit and to attract capital

Under the NGA, the filing pipeline must affirmatively support the reasonableness of each element of its proposed rate, including the rate of return, cost of service, and rate design

Here, because Ridgeline is filing an initial tariff rate — and has not previously had a Commission-approved rate in effect — Ridgeline must carry the burden of demonstrating the justness and reasonableness of each rate component, including the proposed 14