Colorado Interstate Gas Company

First Revised Volume No. 1

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Effective Date: 06/01/2010, Docket: RP10-689-000, Status: Effective

First Revised Sheet No. 345 First Revised Sheet No. 345

Superseding: Original Sheet No. 345

 

GENERAL TERMS AND CONDITIONS

(Continued)

 

9.22 Refunds. In the event that the Commission orders refunds of any

rate(s) charged by Transporter, Transporter shall flow-through

refunds to any Replacement Shipper to the extent such Shipper has

paid a rate in excess of Transporter's applicable maximum rate(s).

For releases that become effective on or after July 30, 2008, the

rate paid by a Replacement Shipper in any capacity release

transaction with a term of one year or less which is not subject to

the maximum rate limitation will be deemed to be a final rate and is

not subject to refund.

 

9.23 Administrative Costs. Transporter shall retain a portion of the

revenues received from the Replacement Shipper as reimbursement for

any incremental cost of administering a capacity release prior to

crediting revenues to the Releasing Shipper, subject to the

following conditions:

 

(a) The release transaction involves ten or more Replacement

Shippers.

 

(b) Revenues may only be retained if Transporter demonstrates to

the Releasing Shipper that the costs are incremental (such as

the employment of an outside contractor to administer the

release).

 

(c) Transporter will notify the Releasing Shipper upon awarding the

capacity to the Replacement Shipper as to whether Transporter

intends to claim such administrative costs.

 

(d) Money received by Transporter from the Replacement Shipper(s)

will be placed in escrow to the extent of Transporter's claim

pending the Releasing Shipper'(s) agreement as to the validity

of the claim. If agreement cannot be reached within 30 days of

Transporter's claim, binding arbitration will be used to

resolve the issue.

 

(e) If Transporter notifies the Releasing Shipper under paragraph

(b) hereof, the Releasing Shipper may, within two Business

Days, notify Transporter that the Releasing Shipper will

administer the release transaction. In such event, Transporter

shall only accept from or direct to Releasing Shipper

Nominations and other such communications including notices and

invoices.