Columbia Gulf Transmission Company

Second Revised Volume No. 1

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Effective Date: 10/01/2007, Docket: RP07-657-000, Status: Effective

Ninth Revised Sheet No. 145 Ninth Revised Sheet No. 145 : Effective

Superseding: Eighth Revised Sheet No. 145

GENERAL TERMS AND CONDITIONS (Continued)

 

 

(3) In the event that Shipper provides Transporter with a six-month notice of intent to

exercise its right of first refusal, Transporter shall promptly post on its EBB the information

described in Section 4.2. Transporter shall begin accepting bids from any prospective Shipper, for all

or a portion (volume but not geographic portion) of the service rights under the existing Shipper's

long-term Service Agreement, at least five months prior to the termination of such Service Agreement,

and for the posting time periods set forth in Section 4.2(a) below.

 

(4) If Transporter receives an offer for all or a portion (volume but not geographic

portion) of the service rights under Shipper's long-term Service Agreement, Transporter, within five

days after the last day for receiving offers, shall notify Shipper through the EBB of the offer having

the greatest economic value to Transporter. For purposes of comparing the respective values of offers

under this section, Transporter shall evaluate all bids in accordance with the criteria set forth at

Section 4.2(c) below. If Shipper elects to match the offer, Shipper shall notify Transporter of such

election through the EBB within 15 days after receiving Transporter's notice and shall execute a new

Service Agreement matching the offer prior to the termination of the existing long-term Service

Agreement. The highest rate that Shipper must match to continue such service is the Recourse Rate. If

Shipper does not elect to match the offer within 15 days after receiving Transporter’s notice, Shipper’s

right of first refusal will immediately terminate.

 

(5) If no acceptable offers meeting Transporter's minimum terms are received,

Transporter will notify Shipper within five days after the close of the capacity auction periods as set

forth in Section 4.2(a) below. Shipper may, thereafter, consistent with the terms of this Tariff,

continue to receive all or a portion (volume but not geographic portion) of its service (i) on a month-

to-month basis or for such other term and rate agreed to by Transporter and Shipper, or (ii) at the

applicable Recourse Rate for a term to be specified by Shipper. Shipper shall execute any new Service

Agreement prior to the termination of the existing long-term Service Agreement. Shipper continuing

service under either (i) or (ii) retains its right of first refusal on the portion continued, if it is

under a Service Agreement with a term of 12 or more consecutive months of service, at the applicable

Recourse Rate for that service, or is a firm multi-year seasonal Service Agreement at the applicable

Recourse Rate for that service. If Shipper does not continue all or a portion (volume but not geographic

portion) of its service pursuant to the provisions of (i) or (ii) above, within 20 business days

following Transporter’s five day notification period as described in this Section 4.1(c)(4) above, or

such other period as may be mutually agreed to between Transporter and Shipper on a not unduly

discriminatory basis, Shipper’s right of first refusal will immediately terminate.

 

(6) If no acceptable offers satisfying Transporter's stated minimum terms are received,

and no new long-term Service Agreement has been reached between Transporter and the Shipper holding the

capacity under the expiring Service Agreement, Transporter shall post such capacity for an indefinite

period as Generally Available Capacity. Transporter will post minimum price and other terms for such

Generally Available Capacity, as described at Section 4.2 below. Transporter may change those minimum

price and other terms, or may withdraw the posting of such Generally Available Capacity, at any time

prior to receipt of a bid satisfying the posted minimum terms for that capacity. Any such minimum price

or other terms shall be subject to the same limitations applicable to other available capacity as set

forth in this Section 4.

 

(7) Transporter will accept Recourse Rate bids for posted Generally Available Capacity on

a first-come, first-served basis. If Transporter receives an acceptable bid for such Generally

Available Capacity that meets its stated minimum conditions but is at less than the Recourse Rate,

Transporter will post that bid on its EBB for the posting periods set forth in Section 4.2 (a) below.

Any other competing bidder may obtain the capacity by submitting during the posting period a highest

value bid (a bid that exceeds the value of the initial posted bid), as determined in accordance with the

bid evaluation criteria set forth at Section 4.2(c) below,