Midwestern Gas Transmission Company
Third Revised Volume No. 1
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Effective Date: 05/12/2006, Docket: RP06-304-000, Status: Effective
First Revised Sheet No. 270.03 First Revised Sheet No. 270.03 : Effective
Superseding: Original Sheet No. 270.03
GENERAL TERMS AND CONDITIONS
25. REQUESTS FOR SERVICE (Continued)
25.5 Creditworthiness Notices (Continued)
25.5.3 Designating Notice Representatives
Company's and Customer's authorized creditworthiness representative(s)
for Internet E-mail notifications, responses and requests as described
in this Section 25 shall be established by initiating a request as
prescribed on Company's Customer Activity site.
In complying with the creditworthiness-related notifications pursuant
to this Section 25 and Section 6 of the General Terms and Conditions of
Company's FERC Gas Tariff, Shipper and Company may mutually agree to
other forms of communication in lieu of Internet E-mail notification.
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25.6 Solicitation of Bids for Capacity
(a) Company shall (1) post notices for solicitation of Bids on a first-come,
first-served basis, for available capacity for service to start
immediately or in the future, or (2) post notice of an open season for its
available capacity, or (3) post notice of an open season for expansion
projects including requests for incremental service at a date later than
the in-service date of the expansion facilities.
Regarding (2) and (3), the open season notice will be posted for a period
of no less than three Business Days for available capacity and no less
than 20 Business Days for expansion projects on Company's system and will
include the following information:
(i) the location of the capacity or proposed expansion;
(ii) the total quantity, if applicable;
(iii) the date capacity is available or proposed to be available; and
(v) Bid evaluation methodology, if applicable.
(b) Regarding (2) and (3), if an open season notice includes service to start
at some time in the future, the Bid methodology will include a net present
value analysis and the notice will be posted at least three Business Days
prior to bidding. In addition, Company will post whether Bids have been
received and show the full net present value (NPV) analysis for the
highest Bid received, the Shippers' Bids, and provide the actual
calculation of the NPV. Company will award the capacity based upon the
highest net present value. In the event of equal Bids on the basis of a
NPV calculation, capacity will be awarded on a pro rata basis. Shipper
shall be required to indicate in its Bid whether it is willing to accept a
lesser quantity in the event such capacity is awarded on a pro rata basis
due to equal Bids.
(c) Regarding (2), if no acceptable Bids are received during an open season,
Company will post the capacity on its system in order that it may be
awarded on a first-come, first-served basis at a mutually agreed upon
rate. Shippers must submit a request for such capacity by electronic mail
and/or facsimile to Company's Marketing Department. The time stamp on the
communication will be used to determine the sequence of Bids.