Millennium Pipeline Company, L. L. C.

Original Volume No. 1

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Effective Date: 11/01/2009, Docket: RP10-17-000, Status: Effective

First Revised Sheet No. 561 First Revised Sheet No. 561

Superseding: Original Sheet No. 561

 

MASTER PALS SERVICE AGREEMENT

(Continued)

 

Section 4. Rates. Shipper will pay Transporter the rates as set forth in

the PALS Transaction. Transporter may agree to discount its rate to Shipper

below Transporter's maximum rate, but not less than Transporter's minimum

rate. Such discounted rate may apply to: a) specified quantities

(Transportation Demand or commodity quantities); b) specified quantities

above or below a certain level or all quantities if quantities exceed a

certain level; c) quantities during specified time periods; and d) quantities

at specified points, locations, or other defined geographical areas. In

addition, the discount agreement may include a provision that if one rate

component which was at or below the applicable maximum rate at the time the

discount agreement was executed subsequently exceeds the applicable maximum

rate due to a change in Transporter's maximum rate so that such rate

component must be adjusted downward to equal the new applicable maximum rate,

then other rate components may be adjusted upward to achieve the agreed

overall rate, so long as none of the resulting rate components exceeds the

maximum rate applicable to that rate component. Such changes to rate

components will be applied prospectively, commencing with the date a

Commission order accepts revised tariff sheets. However, nothing contained

herein will be construed to alter a refund obligation under applicable law

for any period during which rates, which had been charged under a discount

agreement, exceeded rates which ultimately are found to be just and

reasonable.

 

Section 5. Quantities and Points of Service. Transporter will, as specified

in the PALS Transaction, park or loan quantities of natural gas at mutually

agreed upon point(s) of service in accordance with the PALS Transaction.

 

Section 6. Notices. Notices to Transporter under this Agreement will be

addressed to it at the address set forth in the PALS Transaction, and notices

to Shipper will be addressed to it at the address set forth in the PALS

Transaction, until changed by either party by written notice.