Colorado Interstate Gas Company
First Revised Volume No. 1
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Effective Date: 06/01/2010, Docket: RP10-689-000, Status: Effective
Sixth Revised Sheet No. 341 Sixth Revised Sheet No. 341
Superseding: Fifth Revised Sheet No. 341
GENERAL TERMS AND CONDITIONS
(Continued)
(d) Bid Evaluation Methods. All bids received will be evaluated
pursuant to one of the following methods:
(i) Present Valuation Calculation. Releasing Shipper may
elect to have all bids evaluated and ranked pursuant to
a Present Value Calculation, as follows:
1 - (1 + i)^-n
R x ----------- x V = present value
i
where: i = interest rate. Transporter's return on equity in
its currently effective rates
n = term of the release
R = the Reservation Rate(s) bid (and the storage
capacity rate bid for releases under Rate
Schedules FS-1, TSB-Y, TSB-T, FS-Y and FS-T)
V = Quantity stated in Dth
(ii) Highest Rate. Releasing Shipper may elect to have bids
evaluated on the basis of the highest Reservation
Rate(s) bid;
(iii) Net Revenue. Releasing Shipper may elect to have bids
evaluated on the basis of the total Reservation
Rate-based revenues received over the term of the
release;