Northern Natural Gas Company
Fifth Revised Volume No. 1
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Effective Date: 02/21/2009, Docket: RP09-233-001, Status: Effective
Ninth Revised Sheet No. 288 Ninth Revised Sheet No. 288
Superseding: Eighth Revised Sheet No. 288
GENERAL TERMS AND CONDITIONS
G. Posting of Completed Release Transactions. Releases will remain posted for seven (7) days for
informational purposes only, as follows:
(i) All releases at maximum rate(s), Level I permanent releases and Level II and III
prearranged releases: the name of the Releasing Shipper, name of the Acquiring Shipper,
price, quantity and term.
(ii) All other releases: the name of the Releasing Shipper, name of the Acquiring Shipper, the
term, price, quantity, primary receipt and delivery point(s), whether subject to recall,
whether the Acquiring Shipper is an affiliate of Northern or the Releasing Shipper, if
known, and Releasing Shipper's best offer standard, if any.
H. Re-release. Re-releases will be allowed on the same terms and basis as the primary release
(except as prohibited by the regulations).
I. Liability of Releasing Shipper on a Temporary Release.
For all temporary capacity releases, the Releasing Shipper will remain liable for the demand-
related terms and conditions of the contract. Any other outstanding payments,
imbalances or other liabilities accrued by the Acquiring Shipper will be the responsibility of
the Acquiring shipper.
(i) Commodity Charge. Offers for released capacity must contain the maximum firm commodity
charge, regardless of whether primary or alternate firm receipt and delivery points are
utilized, unless Northern and the Acquiring Shipper agree to a discount.
(ii) Demand Credit. Unless Northern and the Releasing Shipper have agreed to a different
credit, the Releasing Shipper will receive a demand charge credit equal to the
amount of throughput reservation charges received from the Acquiring Shipper less any
marketing fee if applicable. Such credit will be on the invoice for the month of the
(iii) Marketing Fee. A negotiated marketing fee will be applicable when the Releasing or
Acquiring Shipper agrees in advance to engage Northern's services and pay the fee.
(iv) Maximum One-Part Rate. The maximum one-part rate that may be charged to an Acquiring
Shipper cannot produce daily revenue that exceeds the revenue that would have been
produced by use of Northern's maximum demand and commodity charges on a daily basis.
(v) Maximum Two-Part Rate. The maximum two-part rate that a Releasing Shipper may charge
cannot exceed Northern's maximum demand and commodity charges.
For TF or TFX capacity, Northern shall directly bill the Acquiring Shipper the agreed to rate
for the released capacity, as well as any applicable usage charges and penalties plus a
marketing fee, if applicable. The Releasing Shipper will be billed at the contractual
transportation rates, plus a marketing fee, if applicable. The Releasing Shipper will be
credited in the same billing month with all demand-related revenues received from the
Acquiring Shipper. Any amounts credited shall be limited to demand-related revenues received
from the Acquiring Shipper.
L. Termination of Contract.
(i) For Non-Payment by the Releasing Shipper. Northern may elect to terminate an
Acquiring Shipper's service agreement upon 30 days written notice of such
termination to an Acquiring Shipper, under the following conditions:
a. The Releasing Shipper has failed to pay in accordance with Section 8 of the
GENERAL TERMS AND CONDITIONS of this tariff; and