El Paso Natural Gas Company

Second Revised Volume No. 1A

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Effective Date: 04/01/2010, Docket: RP10-454-001, Status: Effective

Second Revised Sheet No. 284H Second Revised Sheet No. 284H

Superseding: First Revised Sheet No. 284H

 

TRANSPORTATION GENERAL TERMS AND CONDITIONS

(Continued)

 

9. CAPACITY RELEASE PROGRAM (Continued)

9.14 Rates

(a) The reservation charge(s) and reservation surcharge(s) for

any released firm capacity shall be the reservation charge(s)

and reservation surcharge(s) bid by the Acquiring Shipper.

Such reservation charge(s) and reservation surcharge(s) shall

not be less than Transporter's minimum or more than

Transporter's maximum reservation charge(s) and reservation

surcharge(s) under the applicable rate schedule as in effect

from time to time, except as noted in Section 9.8(c) of the

GT&C. In addition, Acquiring Shipper shall pay the maximum

usage charge as well as all other applicable charges and

surcharge(s) for the service rendered unless discounted by

Transporter. For a volumetric reservation charge, the sum of

the reservation charge(s) and reservation surcharge(s) shall

be converted to a daily rate by multiplying the monthly

reservation charge by 12 and then dividing by 365.

 

9.15 Marketing Fee - When a Releasing Shipper requests that Transporter

actively market the capacity to be released, the Releasing Shipper

and Transporter shall negotiate the terms of the marketing service

to be provided by Transporter and the marketing fee to be charged

therefor.

 

9.16 Billing - Transporter shall bill the Acquiring Shipper the rate(s)

specified in the Acquired Capacity Agreement or the TSA and any

other applicable charges and such Acquiring Shipper shall pay the

billed amounts directly to Transporter. Further, the Acquiring

Shipper who has acquired capacity on a volumetric reservation rate

basis shall be billed the daily reservation rate(s) plus the usage

rate(s) and all applicable surcharges times the quantities actually

transported. Releasing Shipper shall be billed the reservation

charge(s) and reservation surcharge(s) associated with the released

capacity pursuant to its TSA. The Releasing Shipper shall receive

a concurrent conditional credit for temporary capacity releases

equal to the reservation charge(s) and reservation surcharge(s) due

from the Acquiring Shipper less any marketing fee, if applicable.

As a part of the marketing fee, Transporter and the Releasing

Shipper may agree to a different crediting amount. This bill shall

include an itemization of credits and adjustments associated with

each Acquired Capacity Agreement. Releasing Shipper shall also be

billed a marketing fee, if applicable, pursuant to the provisions

of Section 9.15.