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

Fifth Revised Sheet No. 321 Fifth Revised Sheet No. 321

Superseding: Fourth Revised Sheet No. 321

 

TRANSPORTATION GENERAL TERMS AND CONDITIONS

(Continued)

 

14. PENALTIES

 

14.1 The penalty provisions found in this Section 14.1 shall be

applicable to Rate Schedules FT-1, FT-2, FTH-V, FT-H, NNTH, NNTD

and IT-1 as described below.

 

(a) Shipper shall pay only one penalty/charge when Shipper's

actions result in hourly scheduling penalties, daily

unauthorized overrun penalties, and/or Critical Condition

charges. Shipper shall pay the highest of the hourly

scheduling penalty pursuant to this Section 14.1, the daily

unauthorized overrun penalty pursuant to the applicable rate

schedule, or the Critical Condition charge pursuant to Section

11.1 of the GT&C.

 

(i) Shipper's invoice(s) shall not include assessment for a

charge or penalty of less than two hundred dollars

($200).

 

(b) Hourly Scheduling Penalty

 

(i) Shipper shall pay an hourly scheduling penalty in each

hour when Shipper's Hourly Scheduling Penalty Quantity

exceeds the sum of: 1) the applicable Safe Harbor

Tolerance Quantities specified in Section 14.1(b)(ii),

and 2) any Rate Schedule IHSW quantities, if applicable,

at a Delivery Point. In any such hour, Shipper shall pay

an amount obtained by multiplying the hourly scheduling

penalty rate set forth on the Statement of Rates by the

Hourly Scheduling Penalty Quantity less: 1) the

applicable Safe Harbor Tolerance Quantities specified in

Section 14.1(b)(ii), and 2) any Rate Schedule IHSW

quantities, if applicable.

 

(ii) In non-Critical Conditions, Shipper is entitled to the

hourly Safe Harbor Tolerance Quantities equal to the

greater of 13% of Shipper's Hourly Scheduled Entitlement

at the Delivery Point or 200 dth per hour. In Critical

Conditions, Shipper is entitled to hourly Safe Harbor

Tolerance Quantities as determined and applied pursuant

to Sections 11.1(a)(viii)(C) and 11.1(i).

 

(iii)For purposes of the allocation of delivery quantities,

hourly scheduling penalties shall be treated in

accordance with Section 10.5.