Dominion Transmission, Inc.
Third Revised Volume No. 1
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Effective Date: 09/23/2000, Docket: RP00-555-000, Status: Effective
Original Sheet No. 1188 Original Sheet No. 1188 : Effective
GENERAL TERMS AND CONDITIONS
Construction of Delivery Tap Facilities
Related Costs incurred prior to the in-
service date of the Requested Facilities, which
shall be defined to include, but are not limited to,
operating and maintenance expenses, administrative
and general expenses, employee salaries on a time-
devoted basis and related expenses, taxes other than
income taxes, depreciation costs and the time value
of money, as set forth in a facilities agreement,
and (3) a gross-up for state and federal income
taxes, if applicable. Unless the Pipeline agrees to
allow the Requesting Customer to pay such costs at
some other time or in installments, any agreement
for Construction of Requested Facilities shall
provide that the Requesting Customer shall pay
Pipeline the costs of Construction and Related Costs
prior to the commencement of Construction. If
actual costs are not known, Pipeline shall be
entitled to bill the Requesting Customer based upon
estimated costs and the Requesting Customer shall be
required to pay such estimated costs, provided
however, upon determining its actual costs, Pipeline
shall have thirty days to either refund any excess
collections or bill for any under-collections, as
appropriate, to provide for the Pipeline's
collection of its actual costs, including the time
value of money. If DTI fails to use due diligence
in pursuing the construction of Requested Facilities
or the filing of the necessary governmental permits
and such failure delays the commencement of service
beyond 60 days of the agreed in-service date, DTI
will reimburse Requesting Customer the time value of
money advanced for each day beyond the agreed in-
service date at the FERC approved interest rate.
37.5 Pipeline may agree to pay all or part of the costs
of the Requested Facilities and their Construction,
Related Costs and tax gross up if the Construction
is economically or operationally beneficial to
Pipeline. In determining economic or operational
benefit, Pipeline may consider the following
factors, among others: costs of the Requested
Facilities and their Construction; the estimated
incremental throughput and/or revenues attributable
to the Requested Facilities; the Related Costs and
tax gross up attributable to the Requested
Facilities; the marketability of the capacity
associated with the Requested Facilities; the
location of the markets associated with the
Requested Facilities; the interruptible or firm
nature of the transportation service; the
availability of capital funds on terms and
conditions acceptable to Pipeline; the time value of
money; increased system or operational reliability
or flexibility; and increased access to new supplies
or markets.