Rockies Express Pipeline LLC (Entrega)

Second Revised Volume No. 1

 Contents / Previous / Next / Main Tariff Index

Effective Date: 09/01/2007, Docket: CP06-354-002, Status: Effective

Original Sheet No. 253 Original Sheet No. 253 : Effective

GENERAL TERMS AND CONDITIONS

33. NEGOTIATED RATES (Contd.)

33.5 Capacity Release.

The maximum price cap for the release of Capacity under a

Negotiated Rate Agreement shall be the Recourse Rate. Transporter

and a Releasing Shipper may, in connection with their Agreement to

a Negotiated Rate, agree upon payment obligations and credit

mechanisms in the event of Capacity releases that vary from or are

in addition to those set forth in Section 15 of these General

Terms and Conditions.

33.6 Rate Treatment.

Transporter shall have the right to seek in future general rate

proceedings discount-type adjustments in the design of its rates

related to Negotiated Rate Agreements that were converted from

pre-existing discount adjustments to Negotiated Rate Agreements,

provided that the type of pre-existing service is not altered as a

result of the conversion to a Negotiated Rate. In those

situations, Transporter may seek a discount-type adjustment based

upon the greater of: (a) the Negotiated Rate revenues received;

or (b) the discounted rate revenues which otherwise would have

been received.

33.7 Right of First Refusal.

The right of first refusal provided with respect to certain

Shipper's firm Service Agreement(s), as described in Section 17 of

these General Terms and Conditions, shall not apply to firm

Service Agreement(s) with Negotiated Rates, unless otherwise

agreed to in writing by Transporter or as specified in this

Tariff.

33.8 Negotiated Rate Surcharge and Fuel Retention Components.

If Transporter negotiates surcharge or Fuel retention percentage

rate components at lower than the maximum rate level for those

components as part of a Negotiated Rate Agreement, it will assume

any risk of under-recovery of costs or Fuel retention from

Negotiated Rate Shippers in order to ensure that its FL&U Recourse

Rate Shippers are not adversely affected due to Negotiated Rate

Agreements with individual Shippers. If Transporter negotiates

specific surcharge components of its rates, rather than total

rates, as part of a Negotiated Rate Agreement, the discount order

policy in Section 12.6 of these General Terms and Conditions shall

not apply.