Eastern Shore Natural Gas Company

Second Revised Volume No. 1

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Effective Date: 11/01/2002, Docket: RP00-393-002, Status: Effective

First Revised Sheet No. 162A First Revised Sheet No. 162A : Effective

Superseding: Original Sheet No. 162A

EASTERN SHORE NATURAL GAS COMPANY

GENERAL TERMS AND CONDITIONS

(Continued)

 

22. Unauthorized Daily Overrun (Continued)

 

(d) Disposition of Penalties

 

Seller shall refund or carry forward penalty revenues

net of costs associated with Unauthorized Daily Overrun

quantities in accordance with Section 36 of the General

Terms and Conditions of Seller's FERC Gas Tariff.

 

(e) Reservation

 

The payment of a penalty for an Unauthorized Daily

Overrun quantity shall under so circumstances be

considered as giving any Buyer the right to take such

Unauthorized Daily Overrun quantity, nor shall such

payment be considered as a substitute for any other

remedy available to Seller or to any other Buyer

against the offending Buyer for failure to respect its

obligations to avoid the Unauthorized Daily Overrun.