Crossroads Pipeline Company

First Revised Volume No. 1

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Effective Date: 05/03/2008, Docket: RP08-308-000, Status: Effective

Third Revised Sheet No. 78 Third Revised Sheet No. 78 : Effective

Superseding: Second Revised Sheet No. 78

GENERAL TERMS AND CONDITIONS

(Continued)

 

4. AUCTIONS OF AVAILABLE FIRM SERVICE

 

This Section governs the manner in which Transporter shall accommodate

requests for firm services when capacity is or becomes available, unless

otherwise indicated in the applicable Rate Schedule. With the exception of

capacity referenced in Section 4.2(j)(i)(3), this Section applies to existing

firm capacity that may become available and not to new pipeline capacity.

 

4.1 Circumstances Under Which Capacity Becomes Available.

 

(a) Termination of Short-Term Service Agreements. Upon the

termination of any firm Service Agreement having a term of less than one

year, the capacity associated with such terminated Service Agreement shall be

made available for bidding under the procedures described at Section 4.2

below, provided that: (i) the capacity is not previously committed under the

terms of this Tariff and (ii) facility capacity remains available.

 

(b) Continuing Service Under Certain Long-Term Agreements.

 

(1) Transporter shall notify Shipper in writing of the upcoming

expiration or termination of any firm Service Agreement with a term of

12 or more consecutive months of service or any firm multi-year seasonal

Service Agreement (a long-term Service Agreement) at the applicable

Recourse Rate for that service, and will provide such notice at least 30

days before Shipper is obligated to notify Transporter of its intent to

exercise its right of first refusal or other service continuation rights

under the Service Agreement as described in paragraph (c)(2) below.

Upon completion of the term of any long-term Service Agreement, Shipper

shall have the right to continue receiving service under that long-term

Service Agreement if that Service Agreement is at the Recourse Rate and

(i) contains a provision that continues service absent notice of

termination by Transporter or Shipper (an evergreen provision) and

neither party has provided such notice, (ii) otherwise extends beyond

that term according to its terms, or (iii) does not provide for

pregranted abandonment and Shipper executes a new long-term Service

Agreement at the Recourse Rate. If the above requirements are not

satisfied at the termination date of the primary term of a long-term

Service Agreement, service under that long-term Service Agreement

(regardless of the origination date of that long-term Service Agreement)

shall be subject to the termination and right of first refusal

provisions set forth at paragraph (c) below.