Kentucky West Virginia Gas Company
Third Revised Volume No. 1
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Effective Date: 11/01/1997, Docket: RP97-104-005, Status: Effective
Second Revised Sheet No. 171 Second Revised Sheet No. 171 : Superseded
Superseding: First Revised Sheet No. 171
GENERAL TERMS AND CONDITIONS (Continued)
in excess of four percent which exists at the end of the 45
It is Pipeline's intention to operate without having to
impose imbalance penalties. Therefore, Pipeline will waive
imbalance penalties so long as the Customer is making
reasonable effort to balance receipts and deliveries and has
attempted to work with Pipeline to alleviate the imbalances.
Additionally, no imbalance penalties will be assessed against
Customer delivering gas on-system (i.e., at primary delivery
points in Kentucky) so long as the Customer designates a
secondary delivery point and recipient of gas at the Columbia
Gas Transmission interconnects who will be responsible for
any excess quantities transported on Pipeline and not
delivered at the primary delivery point. No imbalance penalty
will be assessed when a prior period adjustment applied to
the current period causes or increases a current month penalty.
b. Disposition of Penalties or Cash Out Amounts
Any net penalty revenue received under (a)(1) and (2) from
affiliated companies of Pipeline will be credited on a
prospective basis to firm Customers in proportion to their
contract quantity. Any net cash out revenue will be credited
to Customers in the form of a negative surcharge on firm and
interruptible service rates.
36. EXIT FEES
36.1 Upon the effective date of this Tariff, any Customer that desires
to reduce or terminate any capacity entitlement it holds on
Pipeline's system may do so upon payment of an exit fee.
Pipeline will permit the negotiation of an exit fee in the event
no other party equals or betters the current Customer's rate or
no bids are made and the current Customer wants to be released
from the capacity prior to the end of its service agreement.
However, if another party bids for the capacity at a rate equal to
or higher than the current Customer's rate, up to the maximum
rate, Pipeline will release the current Customer if it does not
wish to retain the capacity.
36.2 For any exit fee payable under this Section 36, Pipeline shall
issue an invoice for the amount of the negotiated exit fee. The
entire amount of the invoice shall be payable ten (10) days after
receipt of the invoice and interest shall accrue on all amounts
not paid when such amounts become payable, at the rate computed
using the factors specified in Section 157.67 of the Commission's
regulations, until such time as the full amount has been paid.