Columbia Gas Transmission LLC

Third Revised Volume No. 1

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Effective Date: 05/01/2010, Docket: RP10-577-000, Status: Pending

First Revised Sheet No. 401 First Revised Sheet No. 401

Superseding: Original Sheet No. 401

 

GENERAL TERMS AND CONDITIONS (Cont'd)

 

 

48. Offsystem Pipeline Capacity

 

48.1 From time to time, Transporter may acquire capacity on a third-party system. When Transporter

acquires such offsystem capacity, it will utilize the offsystem capacity for operational reasons, to meet

existing or new firm service commitments, or to provide service to Transporter's shippers under its FERC Gas

Tariff, and the "shipper must have title" policy is waived to permit such use. When offsystem capacity is

not required for operational reasons or to meet firm service commitments, Transporter will offer the

offsystem capacity to Shippers on a primary firm basis. This Section 48 does not preclude Transporter from

seeking case specific authorization for the utilization of off-system capacity by Transporter for other

purposes, nor does it preclude Transporter from releasing any capacity it holds on offsystem pipelines.

 

48.2 In the event that offsystem capacity used to render service to Transporter's Shippers is

subject to renewal limitations, consistent with the offsystem capacity provider's tariff or operating

statement, Transporter will indicate, in any posting of capacity available for service, any limitation to

extension rights that will apply as a result of the limitation on the offsystem capacity. Transporter may

also limit any applicable right to first refusal on capacity offered to Shippers on a primary firm basis to

the extent that Transporter determines, in its reasonable discretion, that it will require additional

offsystem capacity for operational reasons or to meet existing or new firm service commitments. Any such

extension limitation shall be reflected in the Service Agreement between Transporter and Shipper. This

provision shall not impact any right of first refusal Shipper may have pursuant to this tariff, except that

extension of the affected Service Agreement may: (1) be limited to the term of Transporter's contract or

service agreement with the offsystem capacity provider, or (2) the amount of capacity subject to the right

of first refusal may be reduced to reflect changes in Transporter's operational requirement.

 

48.3 If a Shipper to whom Transporters has sold offsystem capacity on a primary firm basis incurs

penalties on the on the offsystem pipeline associated with that Shipper's use of that capacity, Transporter

will directly assign the costs of such penalties to that Shipper.