Dominion Transmission, Inc.

Third Revised Volume No. 1

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Effective Date: 05/27/2005, Docket: RP05- 51-001, Status: Effective

Sub Second Revised Sheet No. 1159 Sub Second Revised Sheet No. 1159 : Effective

Superseding: Sub First Revised Sheet No. 1159

GENERAL TERMS AND CONDITIONS

Pregranted Abandonment and Right of First Refusal

 

24.2 Right of First Refusal (continued)

 

E. In the event that a Service Agreement is permanently released pursuant to GT&C Section 23.2.F.9, the

Replacement Shipper shall succeed to all of the elements of the ROFR originally held by the

Releasing Shipper with respect to the capacity permanently released. In the event that a Service

Agreement is released on a temporary basis, the Releasing Shipper's ROFR shall not be affected and

the Replacement Shipper shall have no ROFR.

 

F. Posting and Bidding Procedures for ROFR Capacity

 

1. After Customer gives notice of its intent to retain the option to exercise its ROFR, Pipeline

shall post such capacity for bidding pursuant to GT&C Section 43, as modified by this section.

Pipeline shall post the capacity for bidding no earlier than one year prior to the expiration

of the Service Agreement, and the bidding period for the capacity shall be completed no later

than 60 days prior to the expiration of the Service Agreement. The capacity shall be posted on

Pipeline's EBB for no less than ten Business Days. The capacity posting shall include the

information described in GT&C Section 43.3.

 

2. Eligible bidders shall be identified in accordance with the bidding procedures described in GT&C

Section 43.4 and shall comply with and be bound by such procedures. Pipeline shall entertain

valid bids for all or any portion of the posted ROFR capacity.

 

3. Pipeline shall evaluate and determine the best bid(s), if any, for the posted ROFR capacity in

accordance with the standards of GT&C Section 43.5.A through D.

 

4. Pipeline shall notify Customer and the winning bidder(s) in writing of the best bid(s), within

five Business Days after the close of the bid period. The notice to Customer shall include an

executable copy of a Service Agreement in the Form of Service Agreement set forth in this FERC

Gas Tariff and containing terms matching the best bid(s). If Customer modifies that Service

Agreement in any way, Pipeline shall use the evaluation criteria specified in its posted notice

pursuant to GT&C Section 43.3 and consistent with Section 43.5, as applied to the quantity of

service that Customer elects to retain to determine whether the Customer's bid matches the best

third party bid(s); provided, that in the event Customer elects to match only a volumetric

portion of the best bid, Customer shall only be obligated to match that proportionate amount of

the best bid. If a competing bidder or bidders submits a bid for only a volumetric portion of

Customer's capacity subject to the ROFR, the Customer must match any such bid for a volumetric

portion of its capacity only if that bid is determined pursuant to Section 24.2.F.3, above, to

be the best bid of all bids received for Customer's capacity. In such case, Customer must

match that winning bid to retain the volumetric amount of capacity to which the winning bid

applies or such lesser amount of that capacity that Customer desires to retain, and the

procedures set forth in Section 24.2.F.6, below, regarding instances where there are no

acceptable bids submitted will then apply to Customer's remaining capacity. As provided in

Section 43.5.D, Pipeline shall consider any bid in excess of the then-applicable maximum rate

component to be equivalent to the maximum rate component for purposes of awarding capacity.

The executed Service Agreement must be received by Pipeline within fifteen Business Days of the

date of Customer's receipt of Pipeline's best bid notification; provided, however, Pipeline may

extend the deadline for receipt by up to five Business Days when warranted as determined by

Pipeline's discretion on a not unduly discriminatory basis.

 

5. If Customer elects not to match the best bid(s) for all or for any volumetric portion of its

capacity, then such election shall constitute an irrevocable waiver of Customer's ROFR with

respect to the capacity covered by the bid(s) not matched (except as provided in GT&C Section

43.5.H) and Pipeline shall deliver a Service Agreement to the winning bidder(s) for execution

pursuant to the terms of GT&C Section 43.