Cheniere Creole Trail Pipeline, L.P.

Original Volume No. 1

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Effective Date: 04/28/2008, Docket: RP08-137-000, Status: Effective

Original Sheet No. 164 Original Sheet No. 164 : Pending

 

 

GENERAL TERMS AND CONDITIONS

(Continued)

 

H. Remedies Available to Transporter

 

In the event a Shipper does not respond to an OFO and Transporter believes it

is necessary to take actions, such as buying or selling Gas to maintain system

integrity or to prevent interrupting service to another Shipper, Transporter

shall have the right, but not the obligation, to take such actions as it deems

necessary to remedy the circumstance causing issuance of an OFO. If

Transporter takes such actions, Transporter shall be made whole by such

non-responding Shipper for all reasonable costs that Transporter incurs.

Transporter shall not be liable for any costs incurred by a Shipper as

required to comply with an OFO. Remedies available to Transporter include the

following.

 

(i) Transporter may enter into gas sales and/or purchase contracts on such

terms and conditions as Transporter deems necessary in order to sell or

purchase natural gas supplies for the purpose of preventing or curing an OFO

that would be caused, or has been caused, by a Shipper failing to respond to a

Critical Notice or OFO issued by Transporter.

 

(ii) This remedy available to Transporter hereunder shall be limited to

circumstances where the Shipper responsible for Transporter's issuance a

Critical Notice or an OFO fails to respond in a timely manner to prevent or

remedy the OFO, or where the Shipper informs Transporter of its inability to

prevent or remedy the circumstance causing issuance of an OFO.

 

(iii) A Shipper identified by Transporter under Section 18.E(ii) herein as

responsible for Transporter's need to enter into any gas sale or purchase

contracts in order to avoid the issuance an OFO, or in order to remedy an OFO,

shall reimburse Transporter for any and all costs Transporter incurs as a

result of entering into such gas sale or purchase contracts. Such contract

costs shall be recovered by Transporter from Shipper through a direct bill, a

surcharge to the rate paid by the Shipper or by any other means allowed by the

Commission. Transporter shall not be liable for any costs incurred by Shipper

hereunder.

 

Transporter may avail itself of any other remedies approved by the Commission.