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. 283 Original Sheet No. 283

 

GENERAL TERMS AND CONDITIONS (Cont'd)

 

Prior to reserving Available Reservation Capacity for future expansion projects, Transporter shall

first make such capacity generally available to any Shipper or potential Shipper by posting such Available

Reservation Capacity for bidding through an open season for a time period of at least five (5) business days.

This Available Reservation Capacity open season posting shall contain the posting information required by

General Terms and Conditions Section 4.2(a)(i) - (vi) and shall conform to the bidding and capacity award

procedures of General Terms and Conditions Sections 4.2(b) - (g). When the Available Reservation Capacity open

season is held prior to the expansion project open season, Transporter shall have the right to state in the

Available Reservation Capacity open season posting minimum terms and conditions for bids that would be

acceptable for consideration that are the same as the minimum terms and conditions anticipated for the future

expansion project open season. In the event that the subsequent expansion project open season imposes minimum

terms and conditions that are materially different from the terms and conditions imposed in the previous

Available Reservation Capacity open season, Transporter shall hold another open season for the Available

Reservation Capacity that uses the same minimum terms and conditions as were imposed for the expansion project

open season. If the expansion project open season is held prior to or during the Available Reservation

Capacity open season, Transporter shall use the same minimum terms and conditions as used for the expansion

project open season.

 

Available Reservation Capacity may only be reserved in the 12-month period prior to the filing of the

certificate application. Any Available Reservation Capacity reserved pursuant to this Section 4.2(i) for an

expansion project that does not go forward because Transporter does not file any required application with the

Commission within one year from such reservation date, or because Transporter ultimately does not receive

authorization, shall be posted as generally available within 30 days of the date the capacity becomes available

subject to then existing commitments for the capacity.

 

Transporter postings for reserved Available Reservation Capacity shall include the following

information: (a) a description of the expansion project for which the capacity will be reserved; (b) the total

quantity of capacity to be reserved; (c) the location of the proposed reserved capacity on the pipeline system;

(d) whether, and if so, when Transporter anticipates that an open season for the capacity will be held or it

will otherwise be posted for bids under the expansion; (e) the projected in-service date of the expansion

projects; and (f) on a rolling basis, how much of the reserved capacity has been sold on a limited-term basis.

Transporter shall make reasonable efforts to update the reservation posting to reflect material changes in the

expansion project up to the in-service date of the expansion project. The reservation posting shall also

include a non-binding solicitation (or reverse open-season) for turnback capacity from Transporter's existing

shippers to serve the expansion project, provided that Transporter shall post the non-binding solicitation for

turnback capacity no later than 90 days after the close of the expansion project open season.

 

(j) Future Sale of Capacity Procedures.

 

(i) Transporter may conduct an open season to sell the following types of capacity with a

service commencement date that begins immediately or at anytime in the future: (1) any unsubscribed capacity;

(2) any capacity under expiring or terminating service agreements where such agreements do not have a right of

first refusal or shipper does not exercise its right of first refusal; or (3) any capacity that becomes

available due to modification, construction, or acquisition of facilities in accordance with the Commission's

blanket certificate regulations (collectively "Available Sale Capacity").

 

(ii) If Transporter conducts an open season, it will post notice of availability of the

"Available Sale Capacity" on its EBB for at least five (5) Business Days to afford all potential shippers an

opportunity to acquire the capacity. Any potential shippers wishing to acquire the "Available Sale Capacity"

may participate in the open season and may request an immediate or any future service commencement date.

Transporter will award the "Available Sale Capacity" on a net present value basis consistent with Section

4.2(c)(2) of these General Terms and Conditions.

 

(iii) If Transporter sells "Available Sale Capacity" pursuant to this subsection (j) with a

future service commencement date, the capacity that has been sold will be made available to other shippers on

an interim basis up to the commencement date of the prospective firm transportation service agreement. The

provisions of General Terms and Conditions Section 4.2(a) - (h) will apply to the sale of capacity on an

interim basis. Where the requested service commencement date extends more than one year into the future and

the interim capacity would otherwise be eligible for the right of first refusal provided in the service

agreements and/or pursuant to General Terms and Conditions Section 4.1 governing rights of first refusal,

Transporter will limit the right of first refusal rights associated with that interim capacity commensurate

with the future service commencement date. If right of first refusal rights are limited, the transportation

service agreement will note the limitation.