Midwestern Gas Transmission Company

Third Revised Volume No. 1

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Effective Date: 08/09/2006, Docket: RP06-430-001, Status: Effective

Third Revised Sheet No. 426 Third Revised Sheet No. 426 : Effective

Superseding: First Revised Sheet No. 426

 

MIDWESTERN GAS TRANSMISSION COMPANY

OPERATIONAL BALANCING AGREEMENT

(For Use at Delivery Points)

 

 

ARTICLE 2 - NOMINATIONS AND CONFIRMATIONS

(Continued)

 

2.2 Allocations Based on Scheduled Quantities - The Parties intend that the quantity

actually delivered at the Delivery Point(s) will equal the Scheduled Quantities.

Balancing Party shall use all reasonable efforts to ensure that the quantities

actually delivered at the Delivery Point(s) equal the Scheduled Quantities. Unless

prohibited by applicable law or regulation, all gas delivered by Company shall be

allocated each day based upon the Scheduled Quantities or by such other methods as

may be mutually agreed to by both Parties.

 

2.3 Allocation of Variances - The difference on any day between the Scheduled Quantities

and the actual quantity delivered at the Delivery Point(s) shall be the Daily

Variance and shall be allocated to this Agreement. The difference between the sum of

the Scheduled Quantities during a calendar month and the total actual quantity

delivered at the Delivery Point(s) during the calendar month shall be the Monthly

Operational Imbalance. Any Monthly Operational Imbalances will be resolved in

accordance with Article 3.

 

2.4 Unauthorized Overruns - On any day that Balancing Party takes gas in excess of the

Daily Limit applicable to a Delivery Point controlled by Balancing Party, Balancing

Party shall be subject to an Unauthorized Overrun Charge of fifteen dollars ($15.00)

for each Dekatherm of excess volumes taken beyond a 2 percent allowable variation.

The Daily Limit shall be posted in an Operational Flow Order issued pursuant to

Section 8 of the General Terms and Conditions of Company's Tariff.

 

2.5 Reports on Actual Deliveries - Should Company not have the ability to monitor actual

deliveries at any Delivery Point on a daily basis, Balancing Party shall provide to

Company the best available information compiled on a daily basis on the actual

deliveries at such Delivery Point(s) within two Business Days after the date of

delivery. Furthermore, the Balancing Party shall provide meter statements within

five (5) Business Days after the close of a calendar month at any Delivery Point(s)

where Company does not operate the meter. If the Balancing Party does not provide

such information or meter statements at any Delivery Point(s), or the information

provided contains significant inaccuracies as reasonably determined by Company, and

such conditions continue for fifteen days or more (whether or not such days are

consecutive) after the first notice to the Balancing Party, then such Delivery

Point(s) will be deleted from Exhibit A upon written notice from Company at the end

of that calendar month. Any Delivery Point that is deleted from this Agreement in

accordance with this Section, may be added to Exhibit A in the future if the Parties

mutually agree.

 

 

ARTICLE 3 - CORRECTION OF OPERATIONAL IMBALANCES

 

3.1 Corrections in Flow Rates During a Day - Balancing Party will be able to request

adjustments to actual deliveries at its Delivery Points at any time during the day by

coordinating with Company's gas dispatchers. Company will use reasonable efforts to

deliver those changed quantities when the operating conditions on Company's system

permits, taking into consideration the nominations made by firm Shippers on Company's

system.