Crossroads Pipeline Company

First Revised Volume No. 1

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Effective Date: 11/01/2001, Docket: RP02- 14-000, Status: Effective

Original Sheet No. 156 Original Sheet No. 156 : Superseded

 

GENERAL TERMS AND CONDITIONS

(Continued)

 

14.8 Billing.

 

(a) Transporter, in accordance with the terms of this Tariff, shall: (i) bill the Releasor for

the full reservation charge, applicable reservation-related surcharges and any other fixed charges for which

Releasor is otherwise obligated to Transporter, less either the reservation charge bid by Releasor's

Replacement Shipper, or the reservation charge portion of amounts billed to Replacement Shippers paying one-

part volumetric rates; and (ii) bill the Replacement Shipper for (A) the reservation charge bid by that

Replacement Shipper (except for periods during which the Releasor has recalled the capacity), (B) all

commodity charges, or all payments under one-part volumetric rates, and any minimum volumetric commitment

agreed to but not met by the Replacement Shipper, (C) any commodity surcharges, (D) any penalties or

imbalance correction costs associated with the assigned capacity, and (E) any applicable overrun charges, as

any of these charges may change from time to time upon approval of the Commission. For all payments

received from Replacement Shipper, Transporter shall allocate such payment first to the reservation charge

(or to the reservation charge component under a one-part rate) and then any amounts above that level to the

commodity charge (or to the commodity charge component under a one-part rate). Replacement Shipper may,

upon notice to Transporter and approval of the Releasor, appoint Releasor as its agent to receive such

billings from Transporter. The charges shall be pro-rated for a Billing Month if necessary.

 

(b) For all assignments of service rights, Releasor shall remain ultimately responsible to

Transporter for full payment of the reservation charge, any applicable reservation-related surcharges, and

any other fixed charges for which Releasor is otherwise obligated to Transporter. For permanent releases of

capacity, Transporter may in its reasonable discretion agree to release the Releasor from this

responsibility. Such discretion shall be exercised by Transporter in a nondiscriminatory manner. Until

payment by Replacement Shipper to Transporter of any unpaid reservation charges, any claims Releasor may

have relating to those charges shall be subordinated to those of Transporter. Any reservation charge

payments made by Replacement Shipper to Transporter will not be withheld from Releasor by Transporter due to

Replacement Shipper's failure to pay Transporter other amounts owed that are unrelated to the released

capacity.

 

(c) In the event that a Replacement Shipper (including a Secondary Replacement Shipper) fails to

pay Transporter's invoice relating to the released capacity, Transporter shall within five business days (or

as soon thereafter as possible) provide the Releasor (the most recent Releasor, where the capacity has been

secondarily assigned) with written or telephonic notice of such nonpayment. Upon Releasor's receipt of such

notice of Replacement Shipper's nonpayment, Releasor, without prejudice to any other rights it may have, may

immediately recall the assigned capacity upon 24-hour notice to Replacement Shipper unless within such

period Replacement Shipper pays in full the outstanding indebtedness, together with accrued interest at the

Commission approved interest rate, and furnishes adequate assurance of payment to Releasor if required by

Releasor.