Colorado Interstate Gas Company

First Revised Volume No. 1

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Effective Date: 03/01/2008, Docket: RP07-666-000, Status: Suspended

First Revised Sheet No. 380K First Revised Sheet No. 380K : Suspended

Superseding: Original Sheet No. 380K

GENERAL TERMS AND CONDITIONS

(Continued)

 

Article 42 - FUEL AND L&U (Continued)

 

42.5 True-up Mechanism

 

(a) The calculation of the Fuel Reimbursement Percentages for

Transportation Fuel Gas, Lost, Unaccounted For and Other Fuel

Gas, Storage Fuel Gas and Rate Schedule CS-1 Cheyenne Firm

Compression Fuel Gas shall include a true up feature. The true

up feature will be implemented as follows.

 

(i) For all fuel and L&U and other fuel gas reimbursement

percentages, Fuel Gas shall be the sum of the (1) actual

gas used and (2) the amount, if any, of under or over

recovered Fuel Gas quantity (positive or negative) which

is accumulated for the twelve-months reported in the

annual fuel filings.

 

(ii) The unrecovered Fuel Gas shall be determined each month

and shall consist of the quantity difference between (1)

the actual fuel and/or lost and unaccounted for

quantities according to Transporter's books and records

and (2) the retention volumes received from Shippers

pursuant to this provision. Prior period adjustments,

either credits or debits, will be included.

 

(iii) The unrecovered (or over-recovered) quantity of gas

related to revenues and costs for Fuel, other fuel,

shrinkage, linepack adjustments, system balancing

activities and other such credit/debit activity,

including cash outs, (collectively, "Cost and Revenue

True-up Adjustment") shall be recorded in a net deferred

asset or net deferred liability account and included in

the L & U and Other Fuel true up. The actual balance

(positive or negative) for each twelve-month period shall

be recouped from/ or credited to Shippers prospectively

in an annual filing. The deferred account will be

subdivided so that each period's accumulation (twelve-

months) of unrecovered (or over-recovered) amount and the

amortization thereof through a rate adjustment will be

kept separate from future accumulations. Any over or

under recovery of L & U and Other Fuel will be carried

forward to the next period. Prior period adjustments,

either credits or debits, will be included. The

amortization of decatherms will be accounted for and

reported upon in an annual L & U and Other Fuel True-Up

filing.