Gulf Crossing Pipeline Company LLC

Original Volume No. 1

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Effective Date: 12/20/2008, Docket: RP09-61-000, Status: Effective

Original Sheet No. 704 Original Sheet No. 704

 

GENERAL TERMS AND CONDITIONS

Section 9

(Continued)

 

 

9.4 Negotiated Rates

 

(a) Gulf Crossing and Customer may negotiate a rate for service

under any cost-based rate schedule contained in this Tariff.

A negotiated rate shall be any rate which has the ability to

exceed the applicable maximum Tariff rate, the ability to be

less than the minimum Tariff rate for any month, is fixed

for the life of the service agreement without regard to cost

of service rates, or is based upon a rate design other than

Straight Fixed Variable. The recourse rate is available to

any Customer that does not desire to negotiate a rate with

Gulf Crossing. The recourse rate is defined as the maximum

reservation charge, if applicable, and/or the maximum

commodity charge set forth on Gulf Crossing's rate sheets

for the applicable cost-based service.

 

(b) For purposes of awarding capacity and determining the best

bid pursuant to Section 8 and for scheduling interruptible

transportation pursuant to Section 12, Customers willing to

pay a negotiated rate which, when calculated on a 100% load

factor basis, exceeds the maximum Tariff rate, will be

considered to be paying the maximum Tariff rate. Under

Section 8, the highest rate the original Customer must match

if it wishes to continue its firm service is the maximum

Tariff rate.

 

(c) No later than the Business Day on which Gulf Crossing

commences service at a negotiated rate (or if the Day on

which Gulf Crossing commences such service is not a Business

Day, then the next Business Day after Gulf Crossing

commences such service), Gulf Crossing shall file all

negotiated rate service agreements with the Commission, and

an affirmation that the negotiated rate agreement does not

deviate in any material aspect from the applicable form of

service agreement in Gulf Crossing' Tariff.