Dauphin Island Gathering Partners

First Revised Volume No. 1

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Effective Date: 01/20/2005, Docket: RP05-131-000, Status: Effective

Second Revised Sheet No. 15 Second Revised Sheet No. 15 : Effective

Superseding: First Revised Sheet No. 15

4.5 Lost-And-Unaccounted-For Gas:

 

Shipper shall furnish, or be credited if a gain, its pro rata

share of the quantity of lost-and-unaccounted-for gas associated

with rendering transportation service pursuant to this Rate

Schedule.

 

4.6 Negotiated Rates:

 

Shipper and Transporter may agree, on a prospective basis, to a

Negotiated Rate with respect to the charges identified in Sections

4.1, 4.2, 4.3 and 4.4 herein which may be less than, equal to or

greater than the Maximum FT-1 (MP) Rates set forth on the

applicable currently effective sheets of Transporter's FERC Gas

Tariff, shall not be less than Minimum FT-1 (MP) Rates set forth

on the applicable currently effective sheets of Transporter's FERC

Gas Tariff, may be based on a rate design other than straight

fixed variable and may include a minimum quantity. Such

Negotiated Rate shall be set forth on Exhibit "B" of the executed

Transportation Service Agreement and on the applicable currently

effective sheets of Transporter's FERC Gas Tariff. The Maximum

FT-1 (MP) Rates shall be available to any Shipper that does not

choose a Negotiated Rate.

 

Shippers paying a Negotiated Rate which exceeds the Maximum FT-1

(MP) Rates will be considered to be paying the Maximum FT-1 (MP)

Rates for purposes of scheduling, curtailment and interruption and

matching competing bids for the right of first refusal. Acquiring

Shippers may not bid or pay a rate greater than the Maximum FT-1

(MP) Rates and are not eligible for Negotiated Rates.

 

In the event that capacity subject to a Negotiated Rate which is

based on a rate design other than straight fixed variable is

released, Shipper and Transporter may agree on billing adjustments

to the Releasing Shipper that may vary from or are in addition to

those set forth in Section 19.7 of the General Terms and

Conditions in order to establish the basis of accounting for

revenue from an Acquiring Shipper as a means of preserving the

economic basis of the Negotiated Rate. Such payment obligation

and crediting mechanism for capacity release shall be set forth on

Exhibit "B" of the executed Transportation Service Agreement.

Nothing in this Section 4.6 shall authorize Transporter or Shipper

to negotiate terms and conditions of service.