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. 276 Original Sheet No. 276 : Effective

GENERAL TERMS AND CONDITIONS

38. PERIODIC RATE ADJUSTMENT (PRA) - FL&U REIMBURSEMENT (Contd.)

38.3 PERIODIC RATE ADJUSTMENT

A. The initial level of the FL&U Reimbursement Percentage for

each zone or facility for which a FL&U% is charged shall be

established in Transporter's certificate proceeding. The

FL&U Reimbursement Percentages shall be re-determined based

upon Transporter's twelve (12) Months of operating

experience for each zone or facility for which a FL&U% is

charged, ending each December 31 and then based upon each

succeeding twelve (12) Month period thereafter. The FL&U

Reimbursement Percentages shall be re-determined in interim

filings to be effective each April 1 or at other times at

Transporter's discretion.

B. Transporter shall file its adjustment to the FL&U

Reimbursement Percentage for each zone or facility for which

a FL&U% is charged at least thirty (30) Days prior to the

proposed effective date of the re-determination, based on

the procedures set out in Sections 38.4 and 38.5. Tracking

filings submitted in accordance with this section shall

become effective on the designated effective dates. Any

changes from the prior tracking level shall be subject to

review in the periodic Fuel rate adjustment filing.

38.4 CURRENT FL&U REIMBURSEMENT

The methodology used to derive the FL&U Reimbursement

Percentage(s) for each periodic rate adjustment is as follows:

A. Lost and Unaccounted-for Gas volumes. The Lost and

Unaccounted-for Gas volumes to be included in the FL&U

Reimbursement Percentage(s) consist of the actual Lost and

Unaccounted for Gas volumes consumed during the Base Period,

as adjusted for changes that are known and measurable with

reasonable accuracy, expressed as Dth.

B. Electric Compression Costs. Electric Compression Costs,

if any, to be expressed in Dth and to be included in the

FL&U Reimbursement Percentage calculation are to be

determined as set out in this Subsection B. First, the

Electric Power Costs are calculated by taking the sum of:

the total actual electric power charges during the Base

Period, as adjusted for changes which are known and

measurable with reasonable accuracy. Then, the sum is

divided by the applicable MIP to calculate the electric

power cost Gas equivalents of the Electric Power Costs,

expressed in Dth.