Midwestern Gas Transmission Company

Third Revised Volume No. 1

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Effective Date: 03/10/2004, Docket: RP04-163-001, Status: Effective

Substitute Original Sheet No. 275 Substitute Original Sheet No. 275 : Effective

 

 

GENERAL TERMS AND CONDITIONS

 

 

35. RESERVATION OF CAPACITY FOR EXPANSION/EXTENSION PROJECTS

 

Company may elect to reserve for a future expansion/extension project any unsubscribed

capacity or capacity under expiring or terminating Service Agreements where such

Agreements do not have a right of first refusal or Shipper does not exercise its right

of first refusal. Company may only reserve capacity for a future expansion/extension

project for which an open season has been or will be held within one (1) year of the

date that Company posts such capacity as being reserved. Prior to reserving capacity

for an expansion/extension project, Company shall first post for bid all of its

available capacity on its web site as set forth on its Informational Postings web site

for at least five (5) Business Days before capacity will be reserved. Company shall

post available capacity in accordance with Subsection 19.2 of the General Terms and

Conditions of Company's FERC Gas Tariff. Capacity shall be awarded pursuant to

Section 25 of the General Terms and Conditions of Company's FERC Gas Tariff.

 

Capacity may be reserved for expansion/extension projects only for a 12-month period

prior to Company filing for certificate approval for construction of proposed

expansion/extension facilities, and thereafter until all expansion/extension

facilities related to the certificate filing are placed into service.

 

If Company reserves capacity for an expansion/extension project, it will notify

Shippers of its intent as part of Company's posting of capacity on its Informational

Postings web site. Company's posting for reserved capacity for future

expansion/extension projects shall include the following information: (a) a

description of the project for which the capacity will be reserved; (b) the total

quantity of capacity to be reserved; (c) the location of the proposed reserved

capacity on the pipeline system; (d) whether, and if so when, Company anticipates that

an open season for the capacity will be held or the reserved capacity will otherwise

be posted for bids; (e) the projected in-service date of new facilities; and (f) on an

ongoing basis, how much of the reserved capacity has been sold on a limited-term basis

that would otherwise be eligible for a right of first refusal. Company will make

reasonable efforts to update the reservation posting up to the in-service date of the

project to reflect any material changes in the scope of the project. If unsubscribed

capacity, that has been posted for bid remains unsubscribed after posting, and if such

unsubscribed capacity is insufficient to serve the expansion/extension project, the

reservation posting or open season will include a non-binding solicitation for

turnback capacity from Company's existing Shippers to serve the expansion/extension

project. Company shall post on its Informational Postings web site a non-binding

solicitation for expansion project related turnback capacity no later than 90 days

after the close of an expansion project's open season specifying the minimum term for

a response to the solicitation.

 

Any capacity reserved under this Subsection will be made available for transportation

service pursuant to Company's FERC Gas Tariff on a limited-term basis up to the

in-service date of the expansion/extension project. Company reserves the right to

limit any extension rights provided in the Service Agreement and pursuant to

Section 16 of the General Terms and Conditions commensurate with the proposed

in-service date of any facilities. Any capacity reserved for a project that does not

go forward for any reason shall be reposted as generally available within 30 days of

the date the capacity becomes available. The previously reserved capacity will become

available when the Company posts the capacity on its Informational Postings web site.