Liberty Gas Storage, LLC

Original Volume No. 1

 Contents / Previous / Next / Main Tariff Index

 

 

Effective Date: 04/15/2007, Docket: RP07-357-000, Status: Effective

Original Sheet No. 152 Original Sheet No. 152 : Effective

 

GENERAL TERMS AND CONDITIONS

30. POLICY WITH RESPECT TO FEES AND CONSTRUCTION OF NEW FACILITIES

30.1 Except as provided in Section 30.2 herein, Customer shall reimburse

Liberty (a) for the costs of any facilities installed by Liberty with

Customer's consent to receive, measure, store or deliver Gas for Customer's

account and (b) for any and all filings and approval fees required in

connection with Customer's Storage Service Agreement that Liberty is obligated

to pay to the Commission or any other governmental authority having

jurisdiction. Any reimbursement due Liberty by Customer pursuant to this

Section 30.1 shall be due and payable to Liberty within ten (10) days of

receipt by Customer of Liberty's invoice(s) for same; provided, however, that

subject to Liberty's consent, such reimbursement, plus carrying charges

thereon, may be amortized over a mutually agreeable period not to extend beyond

the primary contract term of the Storage Service Agreement between Liberty and

Customer. Carrying charges shall be computed utilizing interest factors

acceptable to both Liberty and Customer.

30.2 Liberty may waive from time to time, at its discretion, all or a portion

of the facility cost reimbursement requirement set forth in Section 30.1 for

Rate Schedules FSS and SFS if Customer provides Liberty adequate assurances to

make construction of the facilities economical to Liberty. All requests for

waiver shall be handled by Liberty in a manner which is not unduly

discriminatory. For purposes of determining whether a project is economical,

Liberty will evaluate projects on the basis of various economic criteria, which

will include the estimated cost of the facilities, operating and maintenance as

well as administrative and general expenses attributable to the facilities, the

revenues Liberty estimates will be generated as a result of such construction,

and the availability of capital funds on terms and conditions acceptable to

Liberty. In estimating the revenues to be generated, Liberty will evaluate the

existence of capacity limitations downstream of the facilities, the

marketability of the capacity, the Interruptible versus the firm nature of the

service, and other similar factors which impact whether the available capacity

will actually be utilized.

31. OFF-SYSTEM CAPACITY

Liberty may, from time to time, acquire transportation and/or storage capacity

on a third-party pipeline system. Liberty will only provide transportation and

storage services for others using such capacity pursuant to its open access

FERC Gas Tariff subject to its rates approved by the Federal Energy Regulatory

Commission. For purposes of transactions entered into subject to this Section

31, the “shipper must hold title” policy is waived to permit such use.