Columbia Gas Transmission LLC

Third Revised Volume No. 1

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Effective Date: 03/03/2009, Docket: RP09-340-000, Status: Effective

Original Sheet No. 165 Original Sheet No. 165

 

NTS-S RATE SCHEDULE

SUMMER HOURLY NO-NOTICE TRANSPORTATION SERVICE (Cont'd)

 

(c) The charges and surcharges described above are subject to adjustment in accordance with the

procedures set forth in the General Terms and Conditions.

 

(d) The Reservation Charge shall apply as of the date service is deemed to commence by the terms

of Shipper's NTS-S Service Agreement.

 

(e) In addition to collecting the applicable charges and surcharges, Transporter shall retain

from the gas tendered for transportation, including quantities tendered for replenishment of GSQ Draws, the

effective Transportation Retainage Percentage set forth in the currently effective Sheet No. 37 of this

Tariff, unless otherwise negotiated by Transporter and Shipper, and specified in Shipper's NTS-S Service

Agreement. That Transportation Retainage Percentage shall be subject to adjustment in accordance with

Section 35 (Retainage Adjustment Mechanism) of the General Terms and Conditions. Transporter shall not

assess Transportation Retainage on GSQ Draws.

 

6. PENALTIES

 

(a) The penalties set forth in this Section are in addition to applicable penalties set forth at

Section 19 (Penalties) of the General Terms and Conditions.

 

(b) If Shipper, during a given Month, does not deliver to Transporter quantities of gas under

this Rate Schedule sufficient to replenish Shipper's outstanding GSQ Draws to reach a zero balance during the

immediately preceding Month, Shipper shall pay Transporter a penalty for each Dth of such unreplenished GSQ

Draws, grossed up for the Retainage percentage applicable to Transporter's NTS-S Rate Schedule. The penalty

shall be 120 percent of the Spot Market Price for the Month during which such quantities are replenished by

Transporter. For purposes of this Section, "Spot Market Price" shall mean, for the applicable Month, the

contract index price for gas delivered to "Columbia Gas Transmission, LLC, Appalachia", as reported in Inside

FERC's Gas Market Report or successor publication. Upon payment of such penalty, Shipper's GSQ Balance shall

be restored to the extent of the quantities underlying the penalty payment, less Retainage.

 

(c) For purposes of calculating Penalty Revenues pursuant to Section 19.6 of the General Terms

and Conditions, any amount above 100 percent of the Spot Market Price, net of Transporter's costs, will be

treated as a penalty revenue to be credited back to non-offending Shippers.

 

7. CONVERSION RIGHT

 

A Shipper under Rate Schedules FTS and OPT shall have a one-time, irrevocable right to convert all or

a portion of its service entitlements under Rate Schedules FTS and OPT to an equivalent level of service

entitlements under this rate schedule, provided that Shipper provides written notice to Transporter of its

intent to convert at least 30 days from the effective date of this rate schedule. Such converting shipper

shall have the right to retain its winter period (October 1 - March 31) OPT and/or FTS firm transportation

capacity. Transporter will accommodate Shipper requests to exercise the one-time conversion right, subject

to operational availability. Any such conversion must be at least revenue neutral, and Transporter reserves

the right to deny conversion requests that would not be revenue neutral. After exercising such conversion

right, a Shipper may not later return any of the converted service rights to service under the FTS or OPT

Rate Schedules.

 

8. GENERAL TERMS AND CONDITIONS

 

All of the General Terms and Conditions are applicable to this Rate Schedule and are hereby made a

part hereof.