Nautilus Pipeline Company, LLC

Original Volume No. 1

Effective Date: 12/01/1997, Docket: CP96-790-003, Status: Effective

Original Sheet No. 208 Original Sheet No. 208 : Effective

GENERAL TERMS AND CONDITIONS

29. WAIVERS

29.1 Penalty Waivers

(a) In recognition of the fact that each penalty

provision in this Tariff is intended to promote

efficient operations by Transporter, so that

service to other Shippers is not impaired in any

way, Transporter may waive any penalty charges

incurred by Shipper if Transporter determines in

its reasonable judgment that Shipper was

conducting its operations in a responsible manner

at the time the penalty charges were incurred and

that Shipper's conduct did not impair service to

another Shipper. Transporter must grant waivers

under this section on a non-discriminatory basis,

but the waiver of any penalty charges shall not

constitute an automatic waiver of any future

penalty charges.

(b) Transporter shall maintain a record of all

waivers granted under this Section 29.1 and shall

make such record available upon request to the

Commission and to any Shipper.

29.2 Waiver Under Tariff

Transporter may also waive on a non-discriminatory

basis any provision of the GT&C, the applicable Rate

Schedules, or the Service Agreement; provided, however,

that no waiver by Transporter of any provision,

condition or requirement therein shall be deemed to be

a waiver of, or in any manner release the other from,

performance of any other provision, condition, or

requirement of the GT&C of Transporter's Tariff, the

applicable Rate Schedules, or the Service

Agreements,nor shall such waiver be deemed to be a

waiver of, or in any manner release the other from

future performance of the same provision, condition or

requirement; nor shall any delay or omission of

Transporter to exercise any right in the GT&C, the

applicable Rate Schedules, or the Service Agreements,

in any manner impair the exercise of any such right or

any like right accruing to it thereafter.