Dominion Transmission, Inc.

Third Revised Volume No. 1

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Effective Date: 05/26/2010, Docket: RP10-643-000, Status: Effective

Second Revised Sheet No. 1158 Second Revised Sheet No. 1158

Superseding: Sub First Revised Sheet No. 1158

 

GENERAL TERMS AND CONDITIONS

Pregranted Abandonment and Right of First Refusal

 

24. Pregranted Abandonment and Right of First Refusal.

 

24.1 Pregranted Abandonment. Upon expiration and/or termination of any Service Agreement for services

rendered pursuant to Part 284 of the Commission's regulations, Pipeline is entitled to pre-granted

abandonment of service under the expired and/or terminated Service Agreement, without further

application to the Commission for abandonment authority, subject to any right of first refusal Customer

may have pursuant to applicable law and this Section 24.

 

24.2 Right of First Refusal

 

A. Customer shall have a right of first refusal (ROFR) as set forth in this Section 24 only where

Customer's Service Agreement provides for services rendered pursuant to Part 284 of the Commission's

regulations and (1) provides for services under Rate Schedules FT, FTNN, GSS, or GSS-E, with a term

of twelve or more consecutive months of service; (2) provides for services under Section 9 of Rate

Schedule FT (FT-GSS) or Section 8 of Rate Schedule FTNN (FTNN-GSS) with a multiyear term; or (3)

provides for services under a firm rate schedule with a term of more than one year, for a service

which is not available for twelve consecutive months. Furthermore, unless otherwise agreed between

Pipeline and a Customer, no ROFR shall apply to any such Service Agreement, or amendment thereto,

entered into after March 27, 2000, that includes a negotiated or discounted rate. Customer's ROFR

gives it the right to continue service consistent with this Section 24.

 

B. Customer must notify Pipeline in writing of its intent to retain its option to exercise its ROFR

within one month from the date that either party gives notice of termination relating to all or a

portion of the quantities under the Service Agreement; provided, however, that Customer is not

required to notify Pipeline of its intent any earlier than one month after the applicable deadline

for giving notice of termination under the terms of the Service Agreement. When providing notice of

its intent, a Customer may elect to retain its option to exercise its ROFR with respect to a

volumetric portion of its capacity and to have pre-granted abandonment apply to the remainder. For

any Service Agreement that terminates by its own terms, with no prior notification required by

either party, Customer shall be presumed to have given timely notice of its election to retain the

option to exercise its ROFR for the entire amount of the capacity, unless Customer has informed

Pipeline otherwise in writing.

 

C. If a Customer elects to exercise the ROFR as to only a volumetric portion of its capacity, its

rights under its contract shall be reduced as follows: (1) Customer's maximum entitlement shall be

reduced in the same proportion on each Day that Customer is entitled to receive service during the

year; (2) to the extent that Customer had rights at Points of Receipt and Delivery (including

MDDOs) in excess of its maximum transportation entitlements, the aggregate point rights shall be

reduced in proportion to the reduction in transportation capacity; (3) if the election is made under

a storage Service Agreement, then the Storage Capacity and Storage Demand shall be reduced

proportionately; and (4) Customer may specify the allocation of its volumetric reduction among

applicable Points of Receipt and Delivery, provided however, that Pipeline may require a different

allocation among Points if Customer's proposal is operationally infeasible or would detrimentally

impact operational integrity and Pipeline provides a written explanation to Customer of that result.

If Customer does not specify a particular allocation of the reduction among Points of Receipt and

Delivery, Customer shall retain the same Points with a proportionate reduction at each Point.

 

D. To the extent that Customer elects not to retain its option to exercise its ROFR or waives its ROFR

pursuant to GT&C Section 24.2.G, Pipeline shall post the availability of such capacity in accordance

with the provisions of GT&C Section 43.