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

Fourth Revised Sheet No. 324A Fourth Revised Sheet No. 324A

Superseding: Third Revised Sheet No. 324A

 

TRANSPORTATION GENERAL TERMS AND CONDITIONS

(Continued)

 

 

15. REVENUE SHARING MECHANISM

 

15.1 This Section 15 will become applicable only when Transporter

collects Short-Term Rates that exceed the related Long-Term

Rates.

 

15.2 Total Jurisdictional Revenue, for purposes of this Section 15,

shall only include revenue collected under Transporter's rate

schedules. Total Jurisdictional Revenue shall not include

amounts otherwise credited to Shippers under Transporter's

Tariff, revenues otherwise not retained by Transporter or the

other revenues specifically listed below.

 

(a) Total Jurisdictional Revenue shall not include: penalty

revenue credited to Shippers; revenue associated with ACA

Surcharges and any other FERC-required surcharges in which

revenue collected by Transporter is not retained by

Transporter, as in the case of the ACA Surcharge; revenue

that compensates Transporter for the cost of service of

new, incrementally-priced facilities added to Transporter's

system after December 31, 2008, to the extent such

facilities add new mainline or new lateral capacity to

Transporter's system (to the extent such new lateral

capacity does not utilize existing mainline capacity);

revenue recorded to Account Nos. 490, 491, 492, 493, 494

and 495.

 

(b) For revenue crediting purposes, revenue for prior period

adjustments will be considered as revenue for the

production Month for which Transporter invoiced the service

which generated such revenue.

 

15.3 Beginning January 1, 2009, if Transporter's Total Jurisdictional

Revenue collections in a calendar year exceed the annual cost of

service established in the Docket No. RP08-426-000 rate case,

Transporter shall provide a credit to all Shippers by using the

method described below.

 

(a) Transporter shall compute the amount of annual Total

Jurisdictional Revenue that exceeds the annual cost of

service.

 

(b) Transporter shall compute the amount of revenues from

Short-Term Rate transactions to the extent the Short-Term

Rate exceeded the related Long-Term Rate.