Northwest Pipeline Corporation G P

Fourth Revised Volume No. 1

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Effective Date: 01/31/2008, Docket: RP08-130-000, Status: Effective

Original Sheet No. 256 Original Sheet No. 256 : Effective

 

 

GENERAL TERMS AND CONDITIONS

(Continued)

 

21. RECEIPT AND DELIVERY FACILITIES (Continued)

 

(g) If Transporter is unable to fully collect all associated

costs of facilities from Shipper, Transporter will not seek

recovery of such costs in a future rate proceeding, nor will such

associated costs of facilities (whether collected from Shipper or

not) be used to establish Transporter's general system rates.

 

21.4 Sharing of Expanded Facilities Costs. If Transporter agrees, at

the request of a Shipper (Second Shipper), to increase or upgrade

compression under this Section 21 to increase the capacity of lateral

facilities previously constructed for a different Shipper (First

Shipper) pursuant to this Section 21, the following cost sharing

procedures will be applicable.

 

(a) Transporter will add its actual or imputed depreciated cost

of the original facilities to the incremental expansion cost and

apportion the combined costs between the First Shipper and the

Second Shipper pro rata based on the original and incremental

expansion firm design capacity of the subject facilities. (If the

First Shipper reimbursed Transporter by a lump sum payment

pursuant to Section 21.3(a), Transporter will calculate the

imputed depreciated cost of the facilities using a depreciation

rate equal to the higher of Transporter's mainline transmission

depreciation rate or a depreciation rate based on the contract

life of the First Shipper's service agreement for firm capacity on

the subject facilities, if any.)

 

(b) If the resulting apportioned cost to the Second Shipper is

greater than the incremental expansion cost, the Second Shipper's

reimbursement responsibility under either Section 21.3(a) or

Section 21.3(b) will be based on its apportioned cost. Otherwise,

the Second Shipper will only be responsible for the incremental

expansion cost.

 

(c) If the apportioned cost to the Second Shipper is greater than

the incremental expansion cost, the difference (Cost Sharing

Adjustment) will be credited or refunded by Transporter to the

First Shipper, or a superseding or replacement Shipper pursuant to

Section 21.3(d) (Subsequent Shipper), as applicable, pursuant to

the following procedures:

 

(i) If the First Shipper and/or Subsequent Shipper is

currently reimbursing Transporter for the cost of the