Cheyenne Plains Gas Pipeline Company, L.L.C.
Original Volume No. 1
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Effective Date: 07/26/2010, Docket: RP10-876-000, Status: Effective
First Revised Sheet No. 297 First Revised Sheet No. 297
Superseding: Original Sheet No. 297
GENERAL TERMS AND CONDITIONS
(Continued)
16. RESERVATION CHARGE CREDIT
16.1 Reservation Charge Credit
(f) The reservation charge specified in the TSA, and any related
surcharge, will be reduced for any service failures on each
Day during the period described in Sections 16(a) and
16(b)(iii) by an amount equal to the product of (1) the
quantity of gas up to the Shipper's MDQ not scheduled by
Transporter times(2) the rate per Dth equal to the quotient of
the reservation rate in the TSA divided by the number of
applicable Days, rounded to the nearest tenth of a cent times
40% of the maximum recourse rate (representing Transporter's
equity return and associated taxes). Reservation charge
credits under discounted or negotiated rate TSAs shall be
applicable only to that portion of the rate that exceeds 60%
(the amounts other than equity return and associated tax
portion) of the maximum recourse rate. This percentage will
be re-determined whenever the maximum recourse rate changes.
(g) Any adjustment shall be credited against transportation
charges for a future Month or refunded if the TSA has
terminated. In no event shall such credit be provided to
Shippers later than 90 Days after the Month in which the
credit was earned. Such crediting shall be Shipper's sole and
exclusive remedy for Transporter's failure as described herein
unless damages incurred by Shipper are shown to be the result
of gross negligence or willful misconduct by Transporter. If
a court makes such a finding, then Transporter shall only be
liable for its proportionate amount of negligence.
(h) No adjustments shall be required if Transporter's failure to
schedule gas is due to Shipper's failure to perform in
accordance with the terms of the TSA and the Tariff,
including, but not limited to, Critical Condition Orders and
failure of supply, transportation, and/or market upstream of
or downstream from Transporter's pipeline system.