Kinder Morgan Illinois Pipeline LLC
Original Volume No. 1
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Effective Date: 12/01/2007, Docket: RP08- 34-000, Status: Effective
Original Sheet No. 189 Original Sheet No. 189 : Effective
GENERAL TERMS AND CONDITIONS
Request shall be rejected outright. Any Qualified Bid with a
contingency must have such contingency eliminated before 3:00 p.m.
Central Clock Time following the close of the open season, unless
the Releasing Shipper's offer has specified a later time; otherwise,
such Qualified Bid will be rejected.
(b) KMIP shall calculate a Bid Value for each
Qualified Bid and Prearranged Release (if any), and shall calculate
the Winning Bid Value, as follows:
(1) For each Month, the volume and reservation
charge per Dth stated in the Qualified Bid shall be multiplied
together to derive a gross Monthly revenue figure. If the Qualified
Bids contain volumetric-based charges permitted by the Capacity
Release Request, then the gross Monthly revenue figure shall be
equal to any minimum amount designated by the bidder to be billed as
a reservation charge even if there is no (or insufficient) flow.
(2) Each gross Monthly revenue figure shall be
discounted to a net present value figure as of the first Day of the
capacity release as sought in the Capacity Release Request, using
the current Federal Energy Regulatory Commission interest rate as
defined in 18 C.F.R. Section 154.501(d)(1).
(3) The net present value figures for the
proposed release shall be summed, and such sum shall be the Bid
(c) Capacity shall be awarded among the bids, best bid
first (highest Bid Value or other evaluation criteria as specified
by the Shipper in the Capacity Release Offer), until all offered
capacity is awarded. The best qualified bid will be awarded its
Maximum Bid Volume and any subsequent bids will be awarded up to
their Maximum Bid Volume but no less than their Minimum Bid Volume.
(d) In the event ties exist among Qualified Bids, the
Qualified Bid submitted and received earliest by KMIP's Interactive
Web Site (or if KMIP's Interactive Web Site is not available and the
Qualified Bid is submitted in writing, the time KMIP received the
Qualified Bid) shall be the winning bid.
(e) The following are examples of how (c) and (d) are