Northern Natural Gas Company
Fifth Revised Volume No. 1
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Effective Date: 04/17/2010, Docket: RP10-502-000, Status: Effective
Eighth Revised Sheet No. 264 Eighth Revised Sheet No. 264
Superseding: Seventh Revised Sheet No. 264
(d) Other Flow Orders. Northern and Shipper may agree to a contract specific
receipt or delivery point flow requirement which could require receipts from
or deliveries to the primary points under a Shipper's firm agreement in
order to alleviate conditions on Northern's system that threaten the safe
operations or system integrity or to maintain conditions on Northern's
system that are required to maintain safe operations or system integrity.
Northern and Shipper may agree to discount the transportation rate, provide
a contribution in aid of construction, or other consideration consistent
with the terms of Northern's FERC-approved tariff as the consideration for a
contract specific flow order. Northern will post on its Internet website,
under Transactional Reporting, applicable provisions and consideration
provided under this provision.
(e) OBA GENERAL TERMS & CONDITIONS
If requested by a Shipper, Northern agrees that it will negotiate an
Operational Balancing Agreement (OBA) with an entity that operates the
facilities interconnecting with Northern or controls supplies entering
Northern's system at interconnection point and/or receipt point(s)
("Operator"), as applicable. An OBA is a contract between two parties which
specifies the procedures to manage operating variances at an interconnect.
Such an OBA with Operator will be subject to the following conditions.
GENERAL TERMS AND CONDITIONS
1. Quantities nominated by Shipper are confirmed on a reliable basis by
2. Data Acquisition Systems or other monitoring equipment generally
acceptable by industry standards exists at the interconnection point
and/or receipt point(s);
3. Operator must meet the same credit worthiness standards as Shipper(s)
for whom it is operating on behalf of;
4. Operator must possess sufficient quantities of gas for it to balance
receipts and/or deliveries under the OBA.
An Operational Balancing Agreement may be subject to certain conditions as
1. Any receipt point imbalance and scheduling penalties otherwise
applicable to Shipper will be applicable to operator unless Northern
maintains flow control equipment at the wellhead receipt or
interconnection point(s) under the Operational Balancing Agreement.
2. Operator and Northern will negotiate in good faith to agree on a method
of valuing imbalances based on market price indices. The method of
valuing imbalances will be applied in a non-discriminatory manner.
Nothing in this section is intended to restrict Northern's ability to
either execute an Operational Balancing Agreement without market based
imbalance evaluation or to terminate such an agreement for lack
thereof. However, OBAs applicable to non-contiguous facilities shall
be resolved by cash in/out.
30. BILLING THROUGHPUT QUANTITY
A. Single Shipper. The Billing Throughput Quantity ("BTQ") shall be the volumes
actually delivered for a Shipper. For monthly billing purposes, the
determination of the BTQ for a Shipper transporting gas under more than one
Throughput Rate Schedule shall be in the following order (Default Order)
unless agreed to otherwise by Northern and the Shipper prior to the
close of business of such production month:
(1) volumes, including overrun volumes, scheduled for delivery under Rate
Schedule(s) TFX and LFT, if any;
(2) volumes, including overrun volumes, scheduled for delivery under Rate
Schedule(s) TI and GS-T, if any;