Algonquin Gas Transmission, LLC
Fifth Revised Volume No. 1
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Effective Date: 01/01/2009, Docket: RP09-72-000, Status: Effective
Second Revised Sheet No. 541 Second Revised Sheet No. 541
Superseding: First Revised Sheet No. 541
GENERAL TERMS AND CONDITIONS
14. CAPACITY RELEASE (continued)
14.5 Effect of Notices and Bids.
(a) The posting of Releasing Customer's Notice shall constitute an invitation to
entertain bids on the Releasing Customer's firm transportation contract rights
and obligations pursuant to its terms and the terms herein, but shall not
constitute an offer by Algonquin. A bid shall constitute an offer by the
bidding party to accept from Algonquin such rights and obligations, and shall
remain open until Algonquin accepts the bid or a competing bid, unless
retracted by the bidder prior to the close of the Bid Period by any means that
meets the requirements of the tariff and the Releasing Customer's terms and
conditions. Bids will be legally binding on the Replacement Customer or
Prearranged Customer until written or electronic notice of withdrawal is
received by Algonquin; provided, however, bids cannot be withdrawn after the
bid period ends. Bids may be revised during the Bid Period, and shall be
deemed received as of the time of the last revision; provided, however, that no
bidder shall maintain more than one bid for the same capacity. No bid may be
resubmitted or revised in order to submit a lower bid.
(b) Releasing Customer's Notice shall constitute authorization for Algonquin to
accept bids by posting notice of such acceptance on the LINK® System, and where
applicable, by electronic data interchange. Releasing Customer may withdraw
Releasing Customer's Notice at any time prior to the close of the Bid Period
associated with Releasing Customer's Notice, where unanticipated circumstances
justify the withdrawal and no bids meeting the minimum conditions have been
made. The Releasing Customer's notice will be legally binding on the Releasing
Customer until the written or electronic notice of withdrawal is received by
Algonquin. The reason for withdrawal must be submitted to Algonquin for
(c) Algonquin shall evaluate bids in accordance with the bid evaluation method
identified, pursuant to Section 14.4(a)(10) of these General Terms and
Conditions, in the Releasing Customer's Notice.
(1) If there is only one valid bid, Algonquin shall award the capacity to the
bidder that submitted such bid, subject to any Prearranged Customer's
exercise of its matching rights.
(2) If there is more than one valid bid, then, subject to any Prearranged
Customer's exercise of its matching rights, Algonquin shall award the
capacity to the bidder whose bid yields the highest value based on the
bid evaluation method specified in the Releasing Customer's Notice,
taking into account the price, volume and term of the bid, as applicable.
If more than one bid yields the same value under this subsection (2),
Algonquin shall award the capacity according to the method specified in
the Releasing Customer's Notice ("Tie Break Method") as a means for
awarding the released capacity among multiple equal bids.