El Paso Natural Gas Company

Second Revised Volume No. 1A

 Contents / Previous / Next / Main Tariff Index

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

First Revised Sheet No. 326 First Revised Sheet No. 326

TRANSPORTATION GENERAL TERMS AND CONDITIONS

(Continued)

16. RESERVATION CHARGE CREDIT

Transporter shall provide reservation charge credits to Rate

Schedules FT-1, FTH-V, FT-H, FDBS, NNTD and NNTH Shippers when it is

unable to schedule such Shippers' nominated and confirmed quantities on a

firm daily basis, subject to the following conditions:

16.1 Reservation charge credits shall not be applicable:

(a) When a Shipper:

(i) fails to properly nominate or confirm pursuant to the

scheduling timeline of Section 6.1 of the GT&C and the

other scheduling provisions of the Tariff,

(ii) underdelivers gas to Transporter and adversely affects

system integrity pursuant to Section 6.3 of the GT&C,

(iii) fails to deliver gas that conforms to the quality

specifications detailed in Section 3 of the GT&C, or

(iv) does not comply with Critical Operating Condition

requirements pursuant to Section 11.1(b).

(b) To quantities in excess of Shipper's TCD under its firm TSA,

to quantities in excess of the Path Quantity or contractual

MRQ specified at a particular Receipt Point or contractual

MDQ specified at a particular Delivery Point or when the

Operator exceeds the maximum MDO under an OPASA covering the

Delivery Point; and

(c) To a primary firm Shipper that is unable to schedule at a

Receipt or Delivery Point or mainline Segment due to the

point or Segment being scheduled by an alternate firm Shipper

that was properly scheduled in an earlier nomination cycle

that is not eligible to be reduced (bumped) in the current

cycle; and

(d) To transactions using point or path rights scheduled as Flow

Point Secondary, Flow Path Secondary, First Alternate and

Second Alternate Capacity, as defined in Section 1 of the

GT&C. However, reservation charge credits shall be

applicable to quantities scheduled to non-primary points, to

the extent Transporter is unable to schedule Shipper's

nominated quantities due to a constraint occurring on the

portion of the primary Flow Path utilized by that Shipper for

that Gas Day.