Midwestern Gas Transmission Company

Third Revised Volume No. 1

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Effective Date: 05/10/2010, Docket: RP10-587-000, Status: Pending

Original Sheet No. 59S Original Sheet No. 59S

 

RATE SCHEDULE FT-D

FIRM TRANSPORTATION SERVICE (Conditional)

 

8. FAILURE OF COMPANY

 

8.1 In the event Company fails to deliver on any day the quantity of gas requested

up to the Transportation Quantity that Company is obligated by the FT-D

Agreement to deliver to Shipper on such day, then Shipper shall not be relieved

from its obligation to make payment of amounts then due or that become due

hereunder including, but not limited to, the Demand Charge(s) set forth in this

Rate Schedule if such failure is attributable to Shipper's conduct or results

from an event that excuses performance under Section 10 of the General Terms

and Conditions. Provided that:

 

(a) in situations in which Company's failure to deliver the Scheduled

Quantities results from a force majeure event that excuses performance

under Section 10 of the General Terms and Conditions, Shipper will remain

liable for all amounts due or that become due under the Rate Schedule

during the time of reduced deliveries for a period not to exceed ten days

from the occurrence of the force majeure event;

 

(b) in situations in which Company's failure to deliver the Scheduled

Quantities results from repair and maintenance that excuses performance

under Section 10 of the General Terms and Conditions, Shipper will remain

liable for all amounts due or that become due under this Rate Schedule

only to the extent that Company has provided 30 days prior notice of the

repair and maintenance to Shipper. If a Shipper does not receive all

Scheduled Quantities due to maintenance and repair, then, to the greatest

extent possible, such Shipper will be provided an opportunity to

re-schedule the quantities at the FT-D commodity rate that Company failed

to deliver even if such scheduling would result in a Shipper exceeding its

Transportation Quantity on a given day;

 

(c) in situations in which Company experiences an FT-D Curtailment and, as a

result, fails to tender for delivery during any one or more days 95

percent of the Scheduled Quantity up to the Transportation Quantity

specified in the transportation contract, Shipper will receive a pro-rata

credit against its Demand Charges, as set forth in Section 8.2.

 

 

8.2 In the event of an FT-D Curtailment and in all other circumstances not

referenced in Subsection 8.1 above, including the issuance of an Operational

Flow Order, if Company fails to tender for delivery during any one or more days

95 percent of the Scheduled Quantity up to the Transportation Quantity

specified in the transportation contract, then the Demand Charge as otherwise

computed hereunder shall be reduced by an amount equal to the applicable Daily

Demand Rate per Dekatherm times the difference between the quantity of natural

gas tendered for delivery during said day or days, and 95 percent of the

Scheduled Quantity. If Company fails to schedule the full quantity nominated

by a Shipper as a result of an Operational Flow Order, then the Demand Charge

as otherwise computed hereunder shall be reduced by an amount equal to the

applicable Daily Demand Rate per Dekatherm times the difference between the

quantity nominated by Shipper and the quantity scheduled by Company.