Guardian Pipeline, L.L.C.

Original Volume No. 1

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Effective Date: 04/01/2010, Docket: RP10-446-000, Status: Effective

Fourth Revised Sheet No. 202 Fourth Revised Sheet No. 202

Superseding: Third Revised Sheet No. 202

 

GENERAL TERMS AND CONDITIONS

(Continued)

 

 

26. DISCOUNTS, NEGOTIATED RATES, RATE CHANGES, AND ADJUSTMENTS

 

26.1 Discounting

 

(a) Subject to the applicable regulations and orders of the

FERC, Transporter shall have the right to discount, on a

not unduly discriminatory basis, as agreed to in writing

between Transporter and Shipper, any of the rates or

charges for service under any Service Agreement under

Transporter's Rate Schedule(s) FT-1, FT-2, IT-1, IT-2,

MA, PAL, EAW, OSS, and LBS. For example, Shipper and

Transporter may agree that a specified discounted rate

shall apply: (a) only to certain Quantities under this

Agreement; (b) only if specified Quantity levels are

actually achieved or only with respect to Quantities

above or below a specified level; (c) only during

specified periods; (d) only to specified Points of

Receipt, Points of Delivery, mainline segments,

transportation paths or defined geographical areas;

(e) in a specified relationship to the Quantities

actually transported (i.e., that the rates shall be

adjusted in a specified relationship to Quantities

actually transported); (f) if one rate component which

was equal to or within the applicable maximum and minimum

rate at the time the discount agreement was executed

subsequently exceeds the applicable maximum rate or is

below the applicable minimum rate due to a change in

Transporter's maximum rates and/or minimum rates, so that

the rate component must be adjusted downward or upward to

achieve the agreed upon overall rate; or (g) if based

upon published index prices for specific receipt and/or

delivery points or other agreed upon published pricing

reference points for price determination provided,

however, that any such discounted rate set forth above

shall be between the maximum rate and minimum rate

applicable to the service provided under this Agreement.

Any such discount shall be effective on a prospective

basis only and only as specified in the written agreement

between Transporter and Shipper.

 

(b) To the extent that Transporter agrees to discount its

rates in accordance with Section 26.1(a) above, given

that Transporter's rates do not include any discountable

surcharges, any such discounts shall be attributable to

Transporter's base tariff reservation rates.