Crossroads Pipeline Company
First Revised Volume No. 1
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Effective Date: 05/03/2008, Docket: RP08-308-000, Status: Effective
Second Revised Sheet No. 83 Second Revised Sheet No. 83 : Effective
Superseding: First Revised Sheet No. 83
GENERAL TERMS AND CONDITIONS
as they may be adjusted from time to time by Transporter. Transporter shall
have the right to reject any bids that: (i) are for a rate that is less than
the minimum rate stated in Transporter's posting of that capacity; (ii) do
not satisfy any of the other terms specified in the posting; or (iii) include
conditions or provisions that Transporter determines, in its reasonable
discretion, to be unacceptable.
(c) Assessing Bids.
(1) Transporter shall assess the bids to assure that capacity is
available to serve the precise delivery point(s) requested. If capacity
is not available, Transporter shall reject the bids and advise Shipper.
(2) Transporter shall evaluate bids based upon their net Present
Value as set forth below, taking into account the price and term
offered. Transporter shall use the current Commission-approved interest
rate in calculating the net Present Value of bids with the current value
of any future service commencement date bids reduced by the time value
of the delay in the receipt of the revenue. Capacity shall be awarded,
as set forth in paragraph (d) below, based on the acceptable highest
value of the bids offered to Transporter calculated in accordance with
this Section. Transporter shall publish the winning bids on its EBB.
(d) Awarding Capacity; Pro Rata Awards To Equal Bidders. Consistent
with the bid assessment criteria set forth in paragraph (c) immediately
above, Transporter shall award capacity: (i) first to an existing capacity
holder that exercises a right of first refusal to match the highest value
bid; provided that the highest rate that such holder must match is the
Recourse Rate; and (ii) then to the bidder submitting the highest value bid
or if two or more bidders submit equal acceptable highest value bids then pro
rata to all bidders that submitted equivalent highest value bids based upon
daily quantities requested.
(e) Binding Nature of Bids. All bids are binding; provided, however,
that a bidder may decline to accept a pro rata allocation of capacity
resulting in an award of less than the full capacity requested if such
Shipper notifies Transporter of that decision through Transporter's EBB
within one hour of Transporter's notice to that Shipper of the pro rata
allocation. Otherwise, if a successful bidder fails to execute a Service